Udemy · Udemy Terms of Use · View original document ↗

Mandatory Binding Arbitration and Class Action Waiver

High severity Uncommon · 11 of 325 platforms
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Document Record

What it is

If you have a legal dispute with Udemy, you must resolve it one-on-one through a private arbitration process rather than suing in court, and you cannot join a class action lawsuit against Udemy.

This analysis describes what Udemy'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

ConductAtlas Analysis

Why it matters (compliance & governance perspective)

This clause prevents users from joining together to sue Udemy collectively, which is often the only practical way to hold companies accountable for widespread low-value harms.

Consumer impact (what this means for users)

This provision removes your right to a jury trial and bars you from joining class action lawsuits against Udemy, meaning you must pursue any claim individually through arbitration, which is costly and often impractical for small-value disputes.

What you can do

⚠️ These actions may provide transparency or partial mitigation but may not fully address the underlying issue. Effectiveness varies by jurisdiction and individual circumstances.
  • Opt Out of Arbitration
    Within 30 days
    Send an email to legal@udemy.com within 30 days of creating your Udemy account stating that you wish to opt out of the arbitration agreement. Include your full name and the email address associated with your account.

How other platforms handle this

Unity High

YOU AND UNITY AGREE THAT ANY DISPUTE, CLAIM OR CONTROVERSY ARISING OUT OF OR RELATING TO THESE TERMS OR THE BREACH, TERMINATION, ENFORCEMENT, INTERPRETATION OR VALIDITY THEREOF OR THE USE OF THE SERVICES (COLLECTIVELY, "DISPUTES") WILL BE SETTLED BY BINDING ARBITRATION, EXCEPT THAT EACH PARTY RETAIN...

Anthropic Medium

Any Dispute will be determined in English by final, binding arbitration according to the region-specific processes below. Judgment on any award issued through the arbitration process in this Section J.2 (Arbitration) may be entered in any court having jurisdiction. EACH PARTY AGREES THEY ARE WAIVING...

Stripe Medium

You and Stripe agree to resolve any disputes, controversies, or claims arising out of or relating to this agreement or the Services through binding individual arbitration instead of in court, except that either party may bring claims in small claims court if they qualify. There will be no right or a...

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▸ View Original Clause Language DOCUMENT RECORD
"
You and Udemy agree that any dispute, claim, or controversy arising out of or relating to these Terms or the breach, termination, enforcement, interpretation, or validity thereof or the use of the Services will be settled by binding arbitration between you and Udemy, except that each party retains the right to bring an individual action in small claims court and the right to seek injunctive or other equitable relief in a court of competent jurisdiction to prevent the actual or threatened infringement, misappropriation, or violation of a party's copyrights, trademarks, trade secrets, patents, or other intellectual property rights. You acknowledge and agree that you and Udemy are each waiving the right to a trial by jury or to participate as a plaintiff or class member in any purported class action or representative proceeding.

— Excerpt from Udemy's Udemy Terms of Use

ConductAtlas Analysis

Institutional analysis (Compliance & governance intelligence)

(1) REGULATORY FRAMEWORK: This provision implicates the Federal Arbitration Act (FAA) 9 U.S.C. §1 et seq. as the primary enforcement mechanism. California courts have scrutinized class action waivers under California Civil Code §1668 and the California Supreme Court's ruling in McGill v. Citibank, N.A. (2017) 2 Cal.5th 945, which held that waivers of public injunctive relief are unenforceable under California law. The FTC Act Section 5 may apply if the arbitration clause is found to constitute an unfair practice. EU users may be protected under Directive 93/13/EEC on unfair contract terms, which may render mandatory arbitration clauses unenforceable in EU member states. The primary enforcement authority in the US is the FTC and State AGs; in the EU, national consumer protection authorities. (2)

Full compliance analysis

Regulatory citations, enforcement risk, and due diligence action items.

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Applicable agencies

  • FTC
    The FTC has enforcement authority over unfair or deceptive trade practices including mandatory arbitration clauses that limit consumer rights under FTC Act Section 5.
    File a complaint →
  • State AG
    California AG has authority to enforce consumer protection laws including CLRA challenges to class action waivers and unfair arbitration terms.
    File a complaint →

Applicable regulations

FAA
United States Federal

Provision details

Document information
Document
Udemy Terms of Use
Entity
Udemy
Document last updated
May 5, 2026
Tracking information
First tracked
May 7, 2026
Last verified
May 7, 2026
Record ID
CA-P-005443
Document ID
CA-D-00163
Evidence Provenance
Source URL
Wayback Machine
Content hash (SHA-256)
0c3952f8896d10a895d67873660f119c635fbaa30914bef9a951ad8f87cf605e
Analysis generated
May 7, 2026 19:48 UTC
Methodology
Evidence
✓ Snapshot stored   ✓ Hash verified
Citation Record
Entity: Udemy
Document: Udemy Terms of Use
Record ID: CA-P-005443
Captured: 2026-05-07 19:48:56 UTC
SHA-256: 0c3952f8896d10a8…
URL: https://conductatlas.com/platform/udemy/udemy-terms-of-use/mandatory-binding-arbitration-and-class-action-waiver/
Accessed: May 13, 2026
Permanent archival reference. Stable identifier suitable for legal filings, compliance documentation, and research citation.
Classification
Severity
High
Categories

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Frequently Asked Questions

What does Udemy's Mandatory Binding Arbitration and Class Action Waiver clause do?

This clause prevents users from joining together to sue Udemy collectively, which is often the only practical way to hold companies accountable for widespread low-value harms.

How does this clause affect you?

This provision removes your right to a jury trial and bars you from joining class action lawsuits against Udemy, meaning you must pursue any claim individually through arbitration, which is costly and often impractical for small-value disputes.

How many platforms have this type of clause?

ConductAtlas has identified this type of provision across 11 platforms. See the full comparison.

Is ConductAtlas affiliated with Udemy?

No. ConductAtlas is an independent monitoring service. We are not affiliated with, endorsed by, or sponsored by Udemy.