If your use of AI21's services causes someone to sue AI21, or results in legal claims or costs for the company, you are responsible for paying AI21's legal costs and any resulting damages.
This analysis describes what AI21 Labs's agreement states, permits, or reserves. It does not constitute a legal determination about enforceability. Regulatory applicability and practical outcomes may vary by jurisdiction, enforcement context, and individual circumstances. Read our methodology
This clause can expose individual users and enterprise customers to significant legal and financial liability if their use of AI21's platform generates third-party claims, including claims related to outputs produced by the AI itself.
The updated terms remove the explicit "Your Opt-Out Rights" button that previously allowed users to opt out of data sales and targeted advertising. In its place, the revised language establishes a general cookie consent framework requiring users to click "Accept" to allow cookies for site navigation, usage analysis, and marketing efforts. Users retain the ability to choose not to allow certain cookie types, but the prior dedicated opt-out mechanism for data sales and targeted advertising is no longer explicitly described in the accessible terms interface. If you wish to control cookie preferences, you can click on the cookie settings to modify consent for different types of cookies; however, strictly necessary cookies cannot be declined as they are required for core website functionality.
View change record →If content you generate using AI21's tools infringes a third party's intellectual property, violates applicable law, or otherwise causes harm, you could be required to compensate AI21 for any resulting legal costs or damages. This is particularly significant for users who publish or commercialize AI-generated content.
How other platforms handle this
Any claim that any user submission made by you has caused damage to a third party
Any access to or use of the Services or goods through your account by others, including your spouse, dependents, Recipients, and any access by AI Agents you enable or that operate on your behalf...
you agree to cooperate with Walmart if and as requested by Walmart in the defense and settlement of such matter.
"You agree to indemnify, defend, and hold harmless AI21 and its officers, directors, employees, and agents from and against any claims, liabilities, damages, losses, and expenses, including reasonable attorneys' fees, arising out of or in any way connected with your access to or use of the Services or your violation of these Terms.Excerpt from AI21 Labs's Terms of Use
(1) REGULATORY LANDSCAPE: Indemnification clauses are standard in commercial SaaS agreements but their scope and enforceability vary by jurisdiction.
Enforcement risk, jurisdiction flags, contract triggers, and due diligence action items.
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This clause can expose individual users and enterprise customers to significant legal and financial liability if their use of AI21's platform generates third-party claims, including claims related to outputs produced by the AI itself.
If content you generate using AI21's tools infringes a third party's intellectual property, violates applicable law, or otherwise causes harm, you could be required to compensate AI21 for any resulting legal costs or damages. This is particularly significant for users who publish or commercialize AI-generated content.
ConductAtlas has identified this type of provision across 228 platforms. See the full comparison.
No. ConductAtlas is an independent monitoring service. We are not affiliated with, endorsed by, or sponsored by AI21 Labs.