If your use of Scale AI's services causes a legal claim against Scale AI, you have to pay for Scale AI's legal costs and any damages — even if you didn't intend to cause harm.
If you accidentally violate Scale AI's terms — for example by uploading content that infringes a third-party copyright — you could be personally responsible for paying Scale AI's legal defense costs and any damages awarded against them.
Cross-platform context
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Compare across platforms →This is a broad indemnification clause that could expose individual users to significant financial liability for legal fees and damages arising from how they use the service, including unintentional violations.
REGULATORY FRAMEWORK: Governed by California contract law (Cal. Civ. Code §2772 et seq.) and general common law indemnification principles. FTC Act Section 5 may apply if the indemnification clause is so broad as to constitute an unfair or unconscionable consumer contract term. No specific regulatory agency holds primary enforcement authority over commercial indemnification clauses.
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Watcher: regulatory citations. Professional: full compliance memo.