10 Total
3 High severity
6 Medium severity
1 Low severity
Summary

The AWS Customer Agreement is the primary contract between AWS and its cloud services customers, covering account access, payment obligations, service suspension rights, data handling, intellectual property, and dispute procedures. The agreement states that AWS may suspend customer access immediately without advance notice if AWS determines there is a security risk, violation of the Acceptable Use Policy, or legal requirement to do so, and that customers remain liable for fees incurred through the suspension period. The agreement also caps AWS's total liability to the customer at the amount the customer paid in the twelve months preceding the claim, and explicitly excludes liability for indirect, incidental, consequential, or punitive damages regardless of cause.

Technical / Legal Breakdown

The AWS Customer Agreement governs the contractual relationship between Amazon Web Services, Inc. (or the applicable AWS contracting entity) and customers accessing AWS cloud services, establishing the legal basis for service access, payment, data handling, and dispute resolution. The agreement states that customers are responsible for all activity under their accounts, that AWS may suspend or terminate services immediately for cause (including suspected security incidents or legal compliance requirements), and that fees are due without offset based on AWS usage records unless customers raise disputes within 60 days of the applicable invoice. The agreement asserts a limitation of liability capping AWS's aggregate liability at the fees paid by the customer in the twelve months prior to the claim, excludes consequential and indirect damages, and reserves broad unilateral rights to modify service terms by posting updated versions, with continued use constituting acceptance; these provisions are operationally distinct in that they place significant financial risk on customers operating production workloads. The agreement engages GDPR, CCPA, and sector-specific frameworks such as HIPAA through its Data Processing Addendum and service-specific terms, with regulatory applicability varying by customer geography, service type, and data categories processed. Compliance teams should note that the governing law and jurisdiction provisions vary by contracting entity and customer location, and that the agreement incorporates by reference a substantial body of supplemental terms including the Service Terms, Acceptable Use Policy, and Privacy Notice, each of which may carry independent compliance obligations.

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2 important changes detected

3 versions captured · Last updated: June 2026

What changed AWS simplified its Mexico customer contracting rules on June 1, 2026. Previously, Mexico-based customers were routed to the Mexico AWS entity based on their payment method and address in two separate phases (January and February 2026). The updated terms consolidate this: as of June 1, 2026, all customers located in Mexico now contract with the Mexico-based AWS entity, eliminating the prior bifurcated approach.
Why this matters The updated terms establish a single, simplified rule for Mexico-based customers: as of June 1, 2026, all customers located in Mexico contract with AWS's Mexico-based entity. This replaces the prior structure, which routed customers to the Mexico entity based on payment method and address in two separate phases (January and February 2026). The change consolidates which legal entity is party to the contract but does not state a change to service terms, availability, pricing, or obligations.
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What changed AWS updated its Customer Agreement on May 19, 2026, making 39 additions, 15 removals, and 52 modifications across 309 sentences. The most material change was removal of a specific provision governing AWS India operations (formerly Amazon Internet Services Private Limited). The document also clarified tax withholding language and adjusted formatting in multiple sections, but the functional scope of customer obligations, service level commitments, and fee change procedures remains substantially intact.
Why this matters The updated agreement removes a specific provision that previously governed AWS India operations (formerly Amazon Internet Services Private Limited), eliminating contractual language unique to that regional entity. Tax withholding language was clarified to explicitly state that AWS will provide tax forms as reasonably requested to reduce or eliminate withholding taxes on payments. The removal of the India-specific clause may affect customers in that jurisdiction by consolidating them under standard global agreement terms rather than a region-specific addendum. No action is required by users; the change takes effect as updated terms.
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Recent Provision Changes Jun 2, 2026

Added (5)
Aggregate Liability Cap High

This new provision imposes a strict monetary cap on AWS's liability, significantly limiting customer recovery to 12 months of fees paid or $25 for free services, fundamentally altering liability exposure.

Consequential Damages Exclusion High

This standalone provision clarifies and strengthens the exclusion of consequential damages with explicit enumeration of damage types, making the liability limitation more specific and enforceable.

60-Day Fee Dispute Waiver Medium

This new provision imposes a strict 60-day deadline for billing disputes with automatic waiver of rights, eliminating customer ability to challenge charges beyond this window.

Intellectual Property License Grant Low

This new provision explicitly defines the limited scope of license rights granted to customers, restricting copying and use of AWS Content to only what is necessary for service use.

Data Processing and Privacy Medium

This revised provision clarifies customer ownership of content while obtaining explicit consent for collection and processing, and limits AWS's use to service provision and written agreements only.

Removed (5)
Limitation of Liability

Removal of the original limitation of liability provision was replaced with more granular provisions (Consequential Damages Exclusion and Aggregate Liability Cap), potentially shifting liability treatment.

Content License Grant to AWS

Removal of AWS's broad content use and disclosure rights for government requests eliminates explicit legal justification for disclosing customer data without additional consent.

Customer Indemnification of AWS

Removal of the explicit indemnification clause eliminates customer obligation to defend AWS against third-party claims related to customer use and content, reducing customer liability.

Data Processing and Privacy Addendum Structure

Removal of explicit reference to Data Processing Addendum availability and GDPR compliance specificity eliminates clear guidance on obtaining a DPA for regulatory compliance.

Fees, Payment, and Taxes

Removal of comprehensive fees and payment provision eliminates detail about monthly billing, fraud-based acceleration billing, payment methods, and prohibition on setoff and counterclaim.

Modified (5)
Immediate Suspension Without Notice

Capitalization of 'Your' changed to match formal style conventions, but substantive meaning remains identical.

Customer Account Responsibility

Added explicit reference to 'our affiliates' in the liability disclaimer, expanding AWS's liability shield.

Modifications to Terms and Services

Specified notification channels (Service Health Dashboard, email, Management Console) rather than general notification, providing more detailed implementation guidance.

Governing Law and Dispute Jurisdiction

Narrowed dispute scope from 'your use of the Service Offerings or to products or services sold or distributed by AWS or through AWS.com' to 'the Service Offerings or this Agreement' and changed 'you consent' to 'each party consents'.

Acceptable Use Policy Incorporation

Expanded to explicitly cover Your Content compliance, added requirement to comply with all policies and applicable law, and introduced sole responsibility clause for content development and operation.

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High — 3 provisions
Medium — 6 provisions
Low — 1 provision

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Cross-platform context

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Mapped Governance Frameworks

CFAA
United States Federal
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Archival ProvenanceSource & Archival Record
Last Captured June 2, 2026 21:10 UTC
Capture Method Automated scheduled archival capture
Document ID CA-D-000674
Version ID CA-V-003352
SHA-256 9df8e129bfd7d38f49d5f527b5c87cb344da507e62f98112482fffa7af8bd0f0
✓ Snapshot stored ✓ Text extracted ✓ Change verified ✓ Hash verified

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