If Fastly causes you harm, the maximum you can recover from them is what you paid in the last year, and you cannot claim lost profits or other indirect losses.
This analysis describes what Fastly'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
For businesses that depend on Fastly's platform to generate revenue, the liability cap may be far smaller than the actual financial harm caused by a serious service failure, leaving the customer to absorb most of the loss.
Business customers' ability to recover damages from Fastly is capped at fees paid in the prior twelve months, and consequential damages such as lost revenue or business interruption costs are explicitly excluded, which can leave customers significantly undercompensated for major outages.
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TO THE MAXIMUM EXTENT PERMITTED BY LAW, NEITHER WHATNOT NOR ITS SERVICE PROVIDERS INVOLVED IN CREATING, PRODUCING, OR DELIVERING THE SERVICES WILL BE LIABLE FOR ANY INCIDENTAL, SPECIAL, EXEMPLARY OR CONSEQUENTIAL DAMAGES, OR DAMAGES FOR LOST PROFITS, LOST REVENUES, LOST SAVINGS, LOST BUSINESS OPPORT...
In no event will either party's aggregate liability arising out of or related to this Agreement exceed the total fees paid or payable by Customer in the twelve (12) months preceding the claim. In no event will either party be liable for any indirect, incidental, special, consequential, or punitive d...
Except as stated in Section L.3.b, the liability of each party, and its affiliates and licensors, for any damages arising out of or related to these Terms (i) excludes damages that are consequential, incidental, special, indirect, or exemplary damages, including lost profits, business, contracts, re...
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"In no event shall Fastly's aggregate liability to you for any claims arising out of or related to these Terms or the Services exceed the total fees paid by you to Fastly in the twelve (12) months immediately preceding the event giving rise to the claim. In no event shall Fastly be liable for any indirect, incidental, special, consequential, or punitive damages.— Excerpt from Fastly's Fastly Terms of Service
REGULATORY LANDSCAPE: Consequential damages exclusions and aggregate liability caps are standard and broadly enforceable in commercial B2B contracts under California law. However, some jurisdictions, particularly in the EU, restrict the enforceability of limitation of liability clauses in cases of gross negligence, fraud, or death and personal injury. The interplay between this cap and GDPR data breach liability obligations should be assessed where Fastly processes personal data as a processor. GOVERNANCE EXPOSURE: Medium. The twelve-month fee cap is standard in cloud infrastructure agreements and is unlikely to represent an unusual deviation from market practice. However, for high-volume customers paying significant annual fees, the cap may be meaningful in absolute terms. For lower-spend customers, the cap may be materially inadequate relative to potential operational harm from service failures. JURISDICTION FLAGS: EU courts may refuse to enforce consequential damages exclusions in cases of gross negligence or intentional misconduct. UK law similarly limits exclusion of liability in certain circumstances. California law generally permits such limitations between commercial parties. CONTRACT AND VENDOR IMPLICATIONS: Enterprise procurement teams should assess whether the twelve-month fee cap is proportionate to the business risk of service unavailability. Customers with SLA commitments to their own customers should ensure their recovery rights against Fastly are sufficient to cover downstream exposure. Mutual limitation of liability is standard and appears consistent with market practice here. COMPLIANCE CONSIDERATIONS: Legal teams should confirm that the liability cap is reflected in the customer's own risk assessments and vendor scorecards. Business continuity plans should account for the financial recovery limits available under this agreement. For regulated entities, the adequacy of this liability cap relative to regulatory capital or operational resilience requirements should be evaluated.
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For businesses that depend on Fastly's platform to generate revenue, the liability cap may be far smaller than the actual financial harm caused by a serious service failure, leaving the customer to absorb most of the loss.
Business customers' ability to recover damages from Fastly is capped at fees paid in the prior twelve months, and consequential damages such as lost revenue or business interruption costs are explicitly excluded, which can leave customers significantly undercompensated for major outages.
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