You agree to pay Twilio's legal costs and any damages if a third party sues Twilio because of something you did with the platform, the data you submitted, or a product you built using Twilio.
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
The terms require customers to bear Twilio's defense costs and any resulting liability for third-party claims connected to customer data, customer products, or alleged intellectual property infringement arising from customer use, creating potentially open-ended financial exposure for business customers.
Interpretive note: The scope of clause (c) covering customer products 'in connection with or related to the Services' is potentially broad, and its application in specific fact patterns may depend on judicial interpretation.
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 →Business customers accept financial responsibility for defending and compensating Twilio against third-party claims arising from how customers use the platform or what data they submit, including claims from end users of customer-built products.
How other platforms handle this
Twilio will have no liability or obligation under this Section 6.1 with respect to any Twilio Indemnifiable Claim arising out of...(c) Services for which there is no charge or Beta Offerings.
Any claim that any user submission made by you has caused damage to a third party
Any access to or use of the Services or goods through your account by others, including your spouse, dependents, Recipients, and any access by AI Agents you enable or that operate on your behalf...
"Customer will defend, indemnify, and hold harmless Twilio and its officers, directors, employees, agents, successors, and assigns from and against any losses arising out of or relating to any third-party claim, suit, action, or proceeding arising from or relating to (a) Customer Data; (b) Customer's or any Authorized User's use of the Services in breach of this Agreement; (c) any products or services offered by Customer in connection with or related to the Services; or (d) any allegation that Customer's use of the Services infringes a third party's intellectual property rights.Excerpt from Segment's Terms of Service
(1) REGULATORY LANDSCAPE: Broad indemnification clauses are governed by contract law and may interact with insurance requirements, professional liability standards, and in some jurisdictions, statutory limits on indemnification scope.
Enforcement risk, jurisdiction flags, contract triggers, and due diligence action items.
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The terms require customers to bear Twilio's defense costs and any resulting liability for third-party claims connected to customer data, customer products, or alleged intellectual property infringement arising from customer use, creating potentially open-ended financial exposure for business customers.
Business customers accept financial responsibility for defending and compensating Twilio against third-party claims arising from how customers use the platform or what data they submit, including claims from end users of customer-built products.
ConductAtlas has identified this type of provision across 229 platforms. See the full comparison.
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