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The agreement states that all fees, taxes, and communications surcharges paid to Twilio are non-refundable and that payment obligations cannot be canceled once incurred, except where the agreement expressly provides otherwise.
This analysis describes what Segment'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 that customers cannot recover paid fees in most circumstances and cannot terminate payment obligations mid-term, creating financial exposure for customers who cease using services before the end of a billing or contract period.
The updated terms establish a binding arbitration requirement for users domiciled or registered in Mexico, replacing prior dispute resolution procedures. Under the revised Section 10.5, Mexico-domiciled users must first engage in good faith negotiations with Segment for up to 30 days, and if unresolved, disputes proceed to binding arbitration administered by the Centro de Arbitraje de México (CAM) in Mexico City before a sole arbitrator, with both parties splitting arbitration costs. Additionally, the agreement now explicitly carves out Mexico's Federal Consumer Protection Law (Ley Federal de Protección al Consumidor), stating it does not apply to this commercial agreement. Mexico users also face a new obligation to comply with anti-money laundering and anti-corruption requirements under applicable Mexican law.
View change record →Segment's updated terms now apply Japan-specific dispute resolution, verification, and tax requirements to customers domiciled or registered in Japan. The agreement now states that arbitration proceedings for Japanese customers will take place in Mexico City, Japan (implied Tokyo venue under the new Japan section), conducted in English. Japanese customers may be required to submit government-issued ID documents and complete verification processes as required under applicable Japanese law, including the Act on Prevention of Transfer of Criminal Proceeds and the Telecommunications Business Act. All fees are payable in Japanese Yen, and taxes will include Japanese consumption tax. Intellectual property rights now incorporate Japanese Copyright Act provisions. You can review the specific verification requirements by contacting Segment or reviewing the applicable service section.
View change record →Under this clause, amounts paid to Twilio for services, taxes, and communications surcharges are not recoverable, and the obligation to pay cannot be discontinued mid-period except as expressly specified elsewhere in the agreement.
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"Except as otherwise expressly set forth herein, payment obligations are non-cancelable and fees, Taxes, and Communications Surcharges (collectively, "Fees"), once paid, are non-refundable.Excerpt from Segment's Terms of Service
REGULATORY LANDSCAPE: This provision may interact with consumer protection frameworks in jurisdictions that impose mandatory refund or cancellation rights, including certain EU member state consumer contract regulations and California consumer protection statutes. However, because the agreement is explicitly limited to business or professional use, consumer protection statutes that apply only to natural persons acting outside a trade or profession may not be engaged in most deployment contexts. Applicable law in specific jurisdictions should be evaluated. GOVERNANCE EXPOSURE: Medium. The non-refundable, non-cancelable structure is standard in enterprise SaaS agreements, but the breadth of the provision, applying to fees, taxes, and communications surcharges collectively, means customers have limited financial recourse upon service disruption or dissatisfaction outside the narrow warranty remedy in Section 5.4. JURISDICTION FLAGS: EU customers subject to business-to-business contract regulations in specific member states should evaluate whether mandatory statutory rights override contractual non-refundability. UK customers should assess applicability of the Unfair Contract Terms Act 1977 in business contexts. CONTRACT AND VENDOR IMPLICATIONS: Procurement teams should assess whether Order Form terms introduce any fee credit or termination-for-convenience provisions that modify this baseline. The non-cancelable structure may affect total cost of ownership modeling for multi-year commitments. COMPLIANCE CONSIDERATIONS: Legal teams should confirm whether any applicable Order Forms or service-level agreements introduce exceptions to this non-refundable baseline and ensure that internal budget and procurement processes account for the absence of mid-period exit rights.
This provision establishes that customers cannot recover paid fees in most circumstances and cannot terminate payment obligations mid-term, creating financial exposure for customers who cease using services before the end of a billing or contract period.
Under this clause, amounts paid to Twilio for services, taxes, and communications surcharges are not recoverable, and the obligation to pay cannot be discontinued mid-period except as expressly specified elsewhere in the agreement.
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