The agreement states that unauthorized third-party access to the account, device, username, or password is solely the customer's risk. Any instruction or order given for the account, including via the platform using the account username or password, is treated as authorized by the customer regardless of who placed it.
This analysis describes what Robinhood'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 places full risk of unauthorized access on the customer if someone else obtains account credentials, and treats all orders placed using account credentials as authorized. The allocation of responsibility for unauthorized access interacts with FINRA investor protection rules and applicable consumer protection law, which may impose obligations on the broker-dealer that are not fully captured by this contractual allocation.
Interpretive note: The practical enforceability of the full risk allocation to the customer for unauthorized access may depend on the specific circumstances of the access event and applicable FINRA dispute resolution standards, which are not purely contractual.
Under this clause, any order placed using the customer's account credentials is treated as fully authorized by the customer, and Robinhood bears no liability for losses from unauthorized access where the customer permitted another person access to their credentials or device. Customers must notify Robinhood within 24 hours of becoming aware of any unauthorized access.
Cross-platform context
See how other platforms handle Customer Responsibility for All Losses from Account Access and similar clauses.
Compare across platforms →"You agree not to allow any person access to your Account, your Account username or password, or permit any other person to give orders or instructions on your Account to Robinhood, without the prior consent of Robinhood. If any other person has access to your Account, your Device, your Account username or password, that is solely at your own risk. Robinhood may execute your orders on any exchange or market.Excerpt from Robinhood's Customer Agreement (PDF)
(1) REGULATORY LANDSCAPE: The allocation of unauthorized access risk in broker-dealer agreements engages FINRA customer protection rules, applicable SEC investor protection standards, and state consumer protection law.
Enforcement risk, jurisdiction flags, contract triggers, and due diligence action items.
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This provision places full risk of unauthorized access on the customer if someone else obtains account credentials, and treats all orders placed using account credentials as authorized. The allocation of responsibility for unauthorized access interacts with FINRA investor protection rules and applicable consumer protection law, which may impose obligations on the broker-dealer that are not fully captured by this contractual …
Under this clause, any order placed using the customer's account credentials is treated as fully authorized by the customer, and Robinhood bears no liability for losses from unauthorized access where the customer permitted another person access to their credentials or device. Customers must notify Robinhood within 24 hours of becoming aware of any unauthorized access.
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