Cursor has a feature that runs AI-generated code automatically without you reviewing it first. If you turn this on, you take on all responsibility for any resulting damage including data loss or security breaches.
Enabling auto-code execution means you accept full legal and financial responsibility for any harm caused by AI-generated code running without human review — including system outages, data loss, and security breaches — with no ability to hold Cursor liable.
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Compare across platforms →This clause eliminates Anysphere's liability for potentially catastrophic outcomes — including data loss and security vulnerabilities — that result from automatically executing unreviewed AI-generated code in production or development environments.
1. REGULATORY FRAMEWORK: This provision engages general tort liability principles and potentially the EU AI Act (Regulation 2024/1689), which classifies certain automated AI systems as high-risk and imposes obligations on deployers (Articles 26 and 29). For enterprise users, automated code execution without human oversight may conflict with SOC 2 Type II control requirements, ISO 27001 operational controls, and NIST Cybersecurity Framework requirements for change management. If the feature causes a data breach, GDPR Article 33 (72-hour breach notification), CCPA §1798.150 (private right of action for data breach), and state breach notification laws (e.g., NY SHIELD Act, Cal. Civ. Code §1798.82) are engaged. 2.
Compliance intelligence locked
Regulatory citations, enforcement risk, and due diligence action items.
Watcher: regulatory citations. Professional: full compliance memo.