This analysis describes what Gusto'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 Employer bears financial responsibility for covering Gusto and a wide range of affiliated parties against a broad range of legal and financial exposures.
Interpretive note: The excerpt is truncated with ellipses and does not include the full triggering conditions or scope of the indemnification obligation. The canonical claim reflects only what the quoted language explicitly establishes. Additional conditions or carve-outs may exist in the full clause.
The updated terms make explicit that requesting a background check through Gusto creates a legally binding agreement not just with Gusto but also incorporating terms from Gusto's payroll service and Checkr's service agreement. This means customers are committing to multiple overlapping sets of terms when they initiate a background check request. The change does not appear to alter the substantive rights or obligations, but rather clarifies their scope and binding nature in writing.
View change record →Developers integrating with Gusto's platform are now bound by mandatory arbitration and class action waiver provisions, meaning they cannot join or file class actions against Gusto and must resolve disputes through individual, binding arbitration. The updated terms also grant Gusto the right to modify, update, or discontinue developer tools at its sole discretion without notice or liability, which could disrupt integrations and require developers to absorb costs of upgrading to new versions. Developers should review Section 19 of the updated terms carefully before creating or maintaining integrations with Gusto's platform, and consider whether the arbitration and modification provisions align with their business and legal risk tolerance.
View change record →You are obligated to cover Gusto and its associated parties for losses, damages, expenses, claims, and actions that fall within this indemnification obligation.
How other platforms handle this
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 that the provisions in this section will survive any termination of your Account, the Agreement and/or your access to the Services.
These indemnity obligations shall survive any expiration or termination of your relationship with Chegg.
"Employer agrees to indemnify and hold harmless Gusto and its officers, directors, employees, successors, assigns, representatives, subsidiaries, affiliates, and agents...from and against any losses, damages, expenses, claims, actions...Excerpt from Gusto's Terms of Service
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The Employer bears financial responsibility for covering Gusto and a wide range of affiliated parties against a broad range of legal and financial exposures.
You are obligated to cover Gusto and its associated parties for losses, damages, expenses, claims, and actions that fall within this indemnification obligation.
ConductAtlas has identified this type of provision across 228 platforms. See the full comparison.
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