If Character.AI causes you harm, the most money you can recover from them is $100 or what you paid them — whichever is greater.
This analysis describes what Character.AI'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
The clause defines the maximum financial exposure Character.AI assumes under the agreement, establishing a ceiling on recoverable damages regardless of the nature or magnitude of claimed losses. This limitation applies across all liability categories and dispute types covered by the terms.
Users effectively have no financial recourse against Character.AI for most damages, including data breaches, psychological harm from AI outputs, or service failures. This cap may not apply in the EEA where liability for gross negligence and cardinal contractual breaches is preserved.
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"In no event will Character.AI's total liability to you for all damages, losses or causes of action exceed the greater of: (i) $100; or (ii) the amount you paid Character.AI (if any) in connection with your use of the Services.— Excerpt from Character.AI's Character.ai Terms of Service
The $100 aggregate liability cap excludes indirect, incidental, consequential, and exemplary damages. The document includes an EEA carve-out preserving liability for cardinal contractual obligations and gross negligence, reflecting GDPR and EU consumer law compliance awareness. US-based enforcement exposure remains limited but reputational risk from harm incidents is elevated.
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The clause defines the maximum financial exposure Character.AI assumes under the agreement, establishing a ceiling on recoverable damages regardless of the nature or magnitude of claimed losses. This limitation applies across all liability categories and dispute types covered by the terms.
Users effectively have no financial recourse against Character.AI for most damages, including data breaches, psychological harm from AI outputs, or service failures. This cap may not apply in the EEA where liability for gross negligence and cardinal contractual breaches is preserved.
ConductAtlas has identified this type of provision across 1 platforms. See the full comparison.
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