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Plain-English summary
The terms of service for Perplexity AI include concerning clauses regarding dispute resolution. Users agree to binding individual arbitration (risk_flags-1), which means they waive their right to a judge or jury for most disputes. Additionally, users waive their right to participate in any class actions (risk_flags-2). For paid services, subscriptions automatically renew (cancellation_renewal-1) and payments are nonrefundable (cancellation_renewal-2).
90% confidence
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Risk Flags
These clauses contain core user rights, legal disclosures, or issues that would trigger a terms of service violation. They are usually material and can result in significant harm to the user.
high95% confidence confidence
Mandatory Arbitration
You agree to resolve all disputes related to the company's services and/or products through binding individual arbitration, waiving any right to have those disputes decided by a judge or jury.
Why it matters: This means you give up your right to a trial by judge or jury in most disputes with the company.
SECTION 9 CONTAINS AN ARBITRATION CLAUSE AND CLASS ACTION WAIVER. BY AGREEING TO THESE TERMS, YOU AGREE (A) TO RESOLVE ALL DISPUTES (WITH LIMITED EXCEPTION) RELATED TO THE COMPANY’S SERVICES AND/OR PRODUCTS THROUGH BINDING INDIVIDUAL ARBITRATION, WHICH MEANS THAT YOU WAIVE ANY RIGHT TO HAVE THOSE DISPUTES DECIDED BY A JUDGE OR JURY
These clauses govern the collection, processing, and sharing of your data, including personal information, content, and usage data.
Not clearly stated: The provided text refers to a Privacy Policy for an explanation of privacy practices but does not contain privacy or data use information directly relevant to the data_use concern bucket.
Cancellation and Renewal
These clauses outline the terms and conditions related to subscription renewals and cancellations.
medium90% confidence confidence
Automatic Subscription Renewal
Subscriptions will automatically renew at the frequency referenced on your subscription page, or monthly if not designated, and your payment method will be charged at the start of each new subscription period.
Why it matters: Your subscription will automatically renew and your payment method will be charged unless you cancel before the renewal date.
You agree that if you purchase a subscription, your subscription will automatically renew at the subscription period frequency referenced on your subscription page (or if not designated, then monthly) and at the then-current rates, and your payment method will automatically be charged at the start of each new subscription period for the fees and taxes applicable to that period.
## USER ACCOUNTS, SUBSCRIPTIONS AND FREE TRIALS, paragraph 3 · Citation strength: strong
medium95% confidence confidence
Non-Refundable Payments
Payments for any subscriptions to the Services are nonrefundable.
Why it matters: You will not receive a refund for subscription payments, even if you cancel partway through a period.
payments for any subscriptions to the Services are nonrefundable and there are no credits for partially used periods.
## USER ACCOUNTS, SUBSCRIPTIONS AND FREE TRIALS, paragraph 4 · Citation strength: strong
Gotchas
These clauses contain potentially surprising terms or conditions that could negatively impact the user.
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Verbaterm only flags concerns it can cite. Nothing easy-to-miss stood out in this section.
Protections
These clauses highlight commitments or features that benefit the user, offering enhanced privacy, control, or recourse.
Not clearly stated: The provided text indicates a right to opt-out of the arbitration clause and class action waiver, but the details of how to exercise this right are not included in the excerpt provided.
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