132 Total
51 High severity
68 Medium severity
13 Low severity

Key Facts

Are all fees non-refundable?
Vercel makes all fees non-refundable unless the Agreement expressly states otherwise.
Are fees non-refundable unless the Agreement expressly states otherwise?
Vercel makes all fees non-refundable unless the Agreement expressly states otherwise.
How must remaining Claims be resolved?
Vercel requires that any remaining Claims—including threshold questions of arbitrability—be resolved by final and binding arbitration administered by JAMS in the English language.
Must remaining Claims be resolved by final and binding arbitration administered by JAMS?
Vercel requires that any remaining Claims—including threshold questions of arbitrability—be resolved by final and binding arbitration administered by JAMS in the English language.
What license does Vercel require users to grant it?
Vercel requires users to grant it a worldwide, non-exclusive, royalty-free, fully paid, sublicensable, and transferable license to use, copy, modify, adapt, reproduce, distribute, display, publish, store, perform, and create derivatives of the user's Content.
Is the license worldwide, non-exclusive, and royalty-free?
Vercel requires users to grant it a worldwide, non-exclusive, royalty-free, fully paid, sublicensable, and transferable license to use, copy, modify, adapt, reproduce, distribute, display, publish, store, perform, and create derivatives of the user's Content.
Must any proceeding to resolve a Claim be brought in the individual capacity of each party?
Vercel requires that any proceeding to resolve a Claim under the Agreement be brought and conducted only in the individual capacity of each party, not as part of any class or purported class proceeding.
Can a proceeding be conducted as part of any class or purported class proceeding?
Vercel requires that any proceeding to resolve a Claim under the Agreement be brought and conducted only in the individual capacity of each party, not as part of any class or purported class proceeding.
What does Vercel cap its liability for direct damages at?
Vercel caps its liability for direct damages at the greater of one hundred dollars or the fees paid by the user to Vercel in the six months prior to the act that gave rise to the liability.
Does Vercel prohibit users from hosting Protected Health Information on the Services?
Vercel prohibits users from hosting Protected Health Information or HIPAA-covered information on the Services unless the user first obtains Vercel's prior written approval.
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Summary

These terms govern what you can and cannot do with Vercel's Services and what happens if something goes wrong. If you are on a Hobby plan, you may only use Vercel for personal, non-commercial projects; if you host healthcare data covered by HIPAA, you need Vercel's prior written approval first. If you have a dispute with Vercel, it must be resolved through individual arbitration—not a lawsuit or class action—and Vercel's financial liability to you is capped at whichever is higher: $100 or the fees you paid in the six months before the problem arose.

Analysis

Vercel's Terms of Service establish the substantive rights, obligations, and limitations governing use of the Services. Users must grant Vercel a worldwide, royalty-free, sublicensable, and transferable license—including the right to create derivative works—over all user Content. Vercel caps its direct-damages liability at the greater of $100 or six months of fees paid and excludes all indirect, consequential, and punitive damages for both parties and their suppliers. Dispute resolution is channeled exclusively into individual-capacity, final and binding JAMS arbitration—including threshold arbitrability questions—with a class-action waiver, and all fees are non-refundable absent an express written exception in the Agreement.

What this means for you

As a user, you are legally bound by actions Vercel's AI Functionality takes on your behalf according to your settings, and you are responsible for indemnifying Vercel—including legal and accounting fees—for claims arising from your breach of the Agreement or infringement tied to your Content. All fees you pay are non-refundable unless the Agreement expressly states otherwise. If you are on a paid Pro plan, Model Training is off by default; you can opt in, and you can opt out at any time by adjusting your Team account settings or upgrading to an Enterprise plan.

Institutional Analysis
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Which mapped governance frameworks each document engages, tied to the specific provisions that engage them.

3 important changes detected

4 versions captured · Last updated: September 2026

What changed Vercel updated a single sentence in their Terms of Service that governs penalties for violating Flat Rate CDN fair use guidelines. The change altered the capitalization of 'PAYGO rates' to 'PAYGO Rates' in the clause describing enforcement actions Vercel may take. This is a formatting and capitalization correction with no change to the substantive rights, obligations, or penalties described.
Why this matters This change is a formatting correction only. The capitalization of 'PAYGO Rates' does not alter the substantive terms governing what happens if you violate Flat Rate CDN fair use guidelines. Vercel may still reduce performance, disable Flat Rate CDN and charge you PAYGO rates, or take other appropriate actions at the start of the next billing cycle, all in accordance with the Documentation.
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What changed Vercel added a new pricing option called Flat Rate CDN to its Terms of Service. Under the new terms, users on paid plans can access tiered CDN capacity with automatic upgrades if usage exceeds the current tier, and they receive at least 7 days' notice before tier upgrades incur higher fees. Users can disable Flat Rate CDN at any time to revert to pay-as-you-go rates, and Vercel may reduce CDN performance or disable the service if usage violates fair use guidelines.
Why this matters The updated terms establish a new Flat Rate CDN pricing tier available only on paid plans, with automatic upgrades to higher tiers when usage exceeds current capacity. Users receive at least 7 days' notice before tier upgrades take effect, allowing time to downgrade, disable the service, or cancel. You can disable Flat Rate CDN at any time to be charged at pay-as-you-go rates starting your next billing cycle.
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June 2, 2026 medium

Vercel updated its Terms of Service on June 2, 2026 to add new provisions governing AI functionality and third-party tools. The updated terms establish that users are legally responsible for …

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Featured, High severity

Complete Provision Index

Every distinct legal provision identified in this document. Featured provisions appear above with analysis.

132 provisions
12 featured
24 clause types
51 high severity
Restricted or Prohibited Content/Industries 2 1 high
Export Controls & Sanctions 1 1 high
Developer / API Restrictions 1
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Mapped Governance Frameworks

CCPA/CPRA
California, USA
View official text ↗
CFAA
United States Federal
View official text ↗
Connecticut Data Privacy Act Amendments
US-CT
View official text ↗
CAN-SPAM
United States Federal
View official text ↗
DMA
European Union
View official text ↗
DSA
European Union
View official text ↗
FAA
United States Federal
View official text ↗
FTC Act Section 5
United States Federal
View official text ↗
GDPR
European Union
View official text ↗
Indiana Consumer Data Protection Act
US-IN
View official text ↗
Kentucky Consumer Data Protection Act
US-KY
View official text ↗
Universal Opt-Out Mechanism Expansion 2026
US
View official text ↗
VPPA
United States Federal
View official text ↗
Archival ProvenanceSource & Archival Record
Last Captured September 10, 2026 01:04 UTC
Capture Method Automated scheduled archival capture
Document ID CA-D-000547
Version ID CA-V-006581
SHA-256 2cae39048927a0b9209456de9c6b5350238c2814848b62680e1f8932dce98fb9
✓ Snapshot stored ✓ Text extracted ✓ Change verified ✓ Hash verified

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