California law governs this agreement, and any court disputes not covered by arbitration must be filed in courts located in Santa Clara County, California.
This analysis describes what Venmo'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 California venue requirement means that users who opt out of arbitration and pursue litigation must do so in California courts, which may be geographically and financially impractical for users in other states.
Interpretive note: Enforceability of the California forum selection clause against consumers in states with forum selection restrictions depends on applicable state law and the specific court in which a claim is filed.
The updated terms expand the arbitration clause to explicitly state that users agree to resolve 'most disputes by arbitration on an individual basis, a class action waiver, and a jury trial waiver.' The terms note that arbitration involves 'less discovery and appellate review than in court.' Additionally, Venmo's cash back rewards program has been restructured with specific tiered thresholds: users earn 1% baseline cash back, 2% if they spend at least $250 in a month, and 5% if they spend at least $1,500 in a month. Rewards are only applied to qualifying transactions with 'Bundle merchants' and exclude cash advances, gambling, wire transfers, cryptocurrency purchases, and certain financial institution transactions. If you return a purchase or receive a refund after earning cash back, Venmo states it may debit or withhold rewards to offset the amount. You must close your account before any changes become effective if you do not wish to be bound by them.
View change record →The removal of the explicit governing law and jurisdiction provision eliminates clarity on which state's laws apply and which courts have jurisdiction, though this may be addressed elsewhere in the current agreement.
View full change record →Under this provision, any legal claim against Venmo that proceeds to court must be filed in Santa Clara County, California, regardless of where the user lives; for users outside California, this creates a practical barrier to court-based dispute resolution for claims that are not covered or resolved through arbitration.
How other platforms handle this
In the EU and EEA, the choice of Texas governing law shall not apply only where a mandatory consumer protection law explicitly prohibits such choice of law provisions.
For any claims that are not subject to arbitration...U.S. Residents: Delaware law; venue exclusively in the state or federal courts in New Castle County, Delaware
These Terms are governed by the laws of the State of California and the United States without regard to conflicts of laws provisions
"This agreement and any dispute or claim arising out of or in connection with it or its subject matter or formation shall be governed by and construed in accordance with the laws of the State of California, without regard to conflicts of law provisions. Any disputes not subject to arbitration shall be resolved exclusively in the state or federal courts located in Santa Clara County, California.Excerpt from Venmo's User Agreement
1) REGULATORY LANDSCAPE: Forum selection clauses requiring litigation in a specific venue interact with state consumer protection laws in various jurisdictions; some states have statutes that limit the enforceability of out-of-state forum selection clauses in …
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The California venue requirement means that users who opt out of arbitration and pursue litigation must do so in California courts, which may be geographically and financially impractical for users in other states.
Under this provision, any legal claim against Venmo that proceeds to court must be filed in Santa Clara County, California, regardless of where the user lives; for users outside California, this creates a practical barrier to court-based dispute resolution for claims that are not covered or resolved through arbitration.
ConductAtlas has identified this type of provision across 266 platforms. See the full comparison.
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