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Ideogram's total liability for any claim is capped at the greater of the amount paid by the user in the 12 months preceding the event or USD $100, and excludes indirect, incidental, consequential, special, and punitive damages to the fullest extent permitted by law.
This analysis describes what Ideogram'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
This provision establishes a liability cap that limits the maximum financial exposure of Ideogram and its affiliates across all claim types arising from the Services, which is operationally significant for business users who may sustain losses exceeding this threshold.
Interpretive note: Enforceability of the liability cap may vary by jurisdiction; the 'to the fullest extent permitted by applicable law' qualifier acknowledges that statutory consumer protections in certain jurisdictions may override the cap.
Under this clause, the maximum recoverable amount from Ideogram for any claim is capped at the greater of 12 months of fees paid or USD $100, and the agreement excludes indirect, consequential, and punitive damages to the fullest extent permitted by applicable law.
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"To the fullest extent permitted by applicable law, the total liability of the Company and its affiliates, officers, employees, agents, service providers, partners and licensors for any claim arising out of or relating to these Terms or the Services will not exceed the greater of (a) the amount you paid us for use of the Services in the twelve (12) months before the event giving rise to the liability, or (b) one hundred U.S. dollars (US $100).Excerpt from Ideogram's Terms of Service
1. REGULATORY LANDSCAPE: Limitation of liability clauses are broadly enforceable in commercial contexts but may face constraints under consumer protection law in certain jurisdictions. EU/EEA consumer protection frameworks, including the EU Consumer Rights Directive, may limit the enforceability of liability caps in consumer contracts. The phrase 'to the fullest extent permitted by applicable law' acknowledges that statutory floors may override the cap in some jurisdictions. 2. GOVERNANCE EXPOSURE: Medium. For business users sustaining operational losses exceeding USD $100 or 12 months of fees paid, the liability cap creates a significant limitation on recovery. The exclusion of consequential and indirect damages is standard in B2B software agreements but may be less expected in consumer-facing generative AI service terms. 3. JURISDICTION FLAGS: EU/EEA jurisdictions may not permit enforcement of liability caps that eliminate consumer remedies below statutory minimums. California and other states may impose limitations on disclaimer of implied warranties or consequential damages in consumer contracts. 4. CONTRACT AND VENDOR IMPLICATIONS: Organizations using Ideogram in business workflows where service failures could cause material losses should assess whether the liability cap and consequential damages exclusion are compatible with their risk tolerance and whether additional contractual protections can be negotiated. 5. COMPLIANCE CONSIDERATIONS: Risk management teams should document the USD $100 floor as a material limitation in vendor risk assessments, particularly where Ideogram is integrated into client-facing or revenue-generating workflows.
This provision establishes a liability cap that limits the maximum financial exposure of Ideogram and its affiliates across all claim types arising from the Services, which is operationally significant for business users who may sustain losses exceeding this threshold.
Under this clause, the maximum recoverable amount from Ideogram for any claim is capped at the greater of 12 months of fees paid or USD $100, and the agreement excludes indirect, consequential, and punitive damages to the fullest extent permitted by applicable law.
No. ConductAtlas is an independent monitoring service. We are not affiliated with, endorsed by, or sponsored by Ideogram.