The agreement prohibits users from bringing or participating in class action or representative action lawsuits against OpenAI, requiring any claims to be brought individually.
This analysis describes what OpenAI'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, combined with the arbitration clause, requires that each user pursue any claim against OpenAI individually rather than as part of a group proceeding. This applies to both arbitration and any court proceedings where the arbitration clause is found inapplicable.
Interpretive note: Enforceability of class action waivers varies significantly by jurisdiction; EU/EEA and certain US state courts may decline to enforce this provision against consumers.
Simplified the provision by removing the arbitrator consolidation restriction, the severability clause, and enforceability carve-out provisions.
View full change record →This clause requires that any claim a user brings against OpenAI proceed on an individual basis. Users who have opted out of arbitration are still subject to the class action waiver unless that waiver is separately found unenforceable under applicable law.
How other platforms handle this
You and Teachable agree to resolve any disputes through final and binding arbitration, except as set forth under Exceptions to Agreement to Arbitrate below. You also agree that disputes will only be resolved on an individual basis and not as a class, consolidated, or representative action.
Any dispute arising from or relating to the subject matter of these Terms shall be finally settled by arbitration in San Francisco County, California, in accordance with the Streamlined Arbitration Rules and Procedures of Judicial Arbitration and Mediation Services, Inc. ("JAMS") then in effect, by ...
WHERE PERMITTED UNDER THE APPLICABLE LAW, YOU AND NETFLIX AGREE THAT EACH MAY BRING CLAIMS AGAINST THE OTHER ONLY IN YOUR OR ITS INDIVIDUAL CAPACITY, AND NOT AS A PLAINTIFF OR CLASS MEMBER IN ANY PURPORTED CLASS OR REPRESENTATIVE PROCEEDING. Further, where permitted under the applicable law, unless ...
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"You and OpenAI agree that any claims against each other can only be brought on an individual basis and not as a plaintiff or class member in any purported class or representative action.— Excerpt from OpenAI's OpenAI Business Terms
(1) REGULATORY LANDSCAPE: Class action waivers in consumer contracts are subject to scrutiny under state consumer protection statutes, particularly in California under the Consumers Legal Remedies Act, and may be unenforceable in the EU/EEA under Directive 93/13/EEC. The FTC has noted that class action waivers can limit the practical availability of consumer remedies. Relevant enforcement authorities include state attorneys general and the FTC. (2) GOVERNANCE EXPOSURE: High. Class action waivers are among the most legally contested provisions in consumer contracts and their enforceability is jurisdiction-dependent. California courts have at times declined to enforce class action waivers where the practical effect is to insulate companies from small-dollar consumer claims. (3) JURISDICTION FLAGS: California, New Jersey, and EU/EEA jurisdictions present the highest enforceability risk for this clause. The clause is most clearly enforceable in federal court proceedings in jurisdictions where the Federal Arbitration Act applies. (4) CONTRACT AND VENDOR IMPLICATIONS: Operators deploying OpenAI to consumer-facing products should assess whether their own terms contain aligned class action waiver language, and whether the waiver creates any mismatch with their user-facing dispute resolution terms. (5) COMPLIANCE CONSIDERATIONS: Legal teams should monitor jurisdiction-specific developments regarding class action waiver enforceability, particularly in California and the EU. The interaction of this clause with the arbitration opt-out should be explicitly addressed in internal legal guidance.
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Coinbase's User Agreement includes a mandatory arbitration clause that most users may not have reviewed. Here is what the clause states and how the opt-out process works.
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This provision, combined with the arbitration clause, requires that each user pursue any claim against OpenAI individually rather than as part of a group proceeding. This applies to both arbitration and any court proceedings where the arbitration clause is found inapplicable.
This clause requires that any claim a user brings against OpenAI proceed on an individual basis. Users who have opted out of arbitration are still subject to the class action waiver unless that waiver is separately found unenforceable under applicable law.
ConductAtlas has identified this type of provision across 85 platforms. See the full comparison.
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