123 Total
37 High severity
69 Medium severity
17 Low severity

Key Facts

Must Modal notify Customer without undue delay of a Personal Data Breach?
Modal (as Processor) must notify Customer without undue delay and within 48 hours of becoming aware of a Personal Data Breach affecting Customer Personal Data, providing sufficient information.
What must Modal provide in notifying Customer of a Personal Data Breach affecting Customer Personal Data?
Modal (as Processor) must notify Customer without undue delay and within 48 hours of becoming aware of a Personal Data Breach affecting Customer Personal Data, providing sufficient information.
At what amount is each party's total liability capped?
Each party's total liability for all claims under the Agreement is capped at the amount of fees paid or payable by Customer during the twelve-month period preceding the events giving rise to the claim.
Where may Modal process Customer Data?
Modal will not process Customer Data on servers outside the geographic regions Customer specifies, except with Customer's prior written consent.
When may Modal process Customer Data outside the geographic regions Customer specifies?
Modal will not process Customer Data on servers outside the geographic regions Customer specifies, except with Customer's prior written consent.
What must Customer defend, indemnify, and hold Modal harmless from?
Customer must defend, indemnify, and hold Modal, its affiliates, suppliers, and licensors harmless from third-party claims arising out of or relating to alleged infringement related to Customer Data.
What is Customer's use of the Service restricted to?
Customer's use of the Service is restricted to Customer's internal business purposes.
Who is solely responsible for reviewing and validating any AI Output before publication?
Customer is solely responsible for reviewing, validating, editing, and amending any AI Output before publication, use, disclosure, or reliance on it.
What does Modal expressly exclude?
Modal expressly excludes all express or implied representations or warranties, including warranties of merchantability, whether under common law, statute, or otherwise.
What warranties does Modal exclude?
Modal expressly excludes all express or implied representations or warranties, including warranties of merchantability, whether under common law, statute, or otherwise.
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Summary

This document sets the rules for using Modal's service: you can only use it for your own internal business needs, and Modal cannot share your data with others or use it to train AI without your written permission. If something goes wrong financially, neither side can recover more than the fees paid in the previous twelve months, and Modal disclaims all warranties. Any AI outputs Modal's service produces are your responsibility to review before you rely on them.

Analysis

Modal's Terms of Service establish a framework governing Customer's use of the Service for internal business purposes only, with Modal acting as Processor of Customer Personal Data subject to strict constraints: Modal may not process Customer Data outside Customer-specified geographic regions without prior written consent, may not sell or share Customer Personal Data with third parties without prior written consent, and may not train AI models on Customer Data or feed it into large language models without prior written consent. The agreement imposes mutual liability caps at twelve months of fees paid or payable and excludes all indirect, consequential, punitive, and lost-profits damages for both parties, while also disclaiming all express and implied warranties on Modal's part. Customer bears sole responsibility for reviewing and validating AI Output before use, carries an indemnification obligation for third-party IP claims arising from Customer Data, and must accept that fees are non-refundable except as specified. Modal in turn carries an indemnification obligation for third-party IP infringement claims arising from Customer's authorized use of the Service and must notify Customer within 48 hours of becoming aware of a Personal Data Breach.

What this means for you

As a Customer, your data is protected by explicit prohibitions on Modal sharing it or using it for AI training without your written consent, and Modal must process it only in regions you designate. If Modal discovers a breach affecting your personal data, it must notify you within 48 hours with sufficient information. Your financial recovery in any dispute is capped at the fees you paid in the twelve months before the claim arose, and fees you have already paid are non-refundable except as specified. You are solely responsible for reviewing any AI-generated output before publishing, disclosing, or relying on it. If you need your data processed in a specific geographic region, you can specify that region in writing to enforce Modal's restriction on cross-border processing.

Institutional Analysis
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Which mapped governance frameworks each document engages, tied to the specific provisions that engage them.

4 important changes detected

5 versions captured · Last updated: August 2026

What changed Modal updated a product feature reference in its terms of service header from 'Shared API' to 'Shared Endpoint'. This is a terminology change that reflects how Modal now refers to this token-based pricing product offering. The operational terms and conditions of service remain substantively unchanged by this terminology update.
Why this matters The updated terms reflect a terminology change in how Modal refers to one of its product offerings. This change does not alter pricing, service features, or rights and obligations. Users continue to operate under the same service conditions; only the product name used in marketing materials has changed.
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What changed Modal updated a promotional example in the footer of its Terms of Service, replacing 'Analyze Parquet files from S3 with DuckDB' and 'Run hundreds of LoRAs from one app' with 'Deploy OpenCode agents in a cloud Sandbox' and removing 'Finetune an LLM to replace your CEO'. This is a product marketing refresh with no operational change to the actual terms governing service use.
Why this matters This change updates marketing examples displayed in the footer of Modal's Terms of Service but does not alter any substantive terms governing service use, fees, data handling, or user rights. No action is required.
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July 28, 2026 low

Modal updated the header section of its Terms of Service on July 28, 2026. The previous text mentioned 'Modal Inkling by Thinking Machines' and directed users to learn more about …

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July 16, 2026 low

Modal's Terms of Service header was updated on July 16, 2026 to include promotional language: 'Inkling by Thinking Machines is now available on Modal Learn more' was added to the …

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Featured, High severity

Complete Provision Index

Every distinct legal provision identified in this document. Featured provisions appear above with analysis.

123 provisions
12 featured
21 clause types
37 high severity
Restricted or Prohibited Content/Industries 2 2 high
Export Controls & Sanctions 1 1 high
Refunds & Chargebacks 1 1 high
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Mapped Governance Frameworks

FTC Act Section 5
United States Federal
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Archival ProvenanceSource & Archival Record
Last Captured August 5, 2026 01:10 UTC
Capture Method Automated scheduled archival capture
Document ID CA-D-000653
Version ID CA-V-005540
SHA-256 ae12c6acb43e6fd90e06d45322b1389b97dde59326818945d0756c5db11428cd
✓ Snapshot stored ✓ Text extracted ✓ Change verified ✓ Hash verified

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