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BLAZE® Terms & Conditions: 4 Critical Legal Risks and How to Fix Them

Our analysis of BLAZE®'s Terms & Conditions reveals 4 critical legal and logical risks, including unenforceable liability waivers and ambiguous termination rights. Learn how to strengthen enforceability.

When We Examined BLAZE®'s Legal Framework: 4 Risks That Could Cost Millions

Imagine a scenario where a SaaS provider faces a $2M lawsuit due to ambiguous liability waivers, or regulatory fines exceeding $500,000 for non-compliance with privacy laws. Our analysis of BLAZE®'s Terms & Conditions reveals four critical legal and logical risks that could expose the company and its clients to substantial financial and reputational damage. Below, we break down each issue, quantify the potential impact, and provide actionable improvements.

1. Overbroad Limitation of Liability Clause

BLAZE®'s limitation of liability clause attempts to disclaim nearly all liability, including for direct damages, except in cases of willful negligence or fraud. However, such sweeping waivers are routinely struck down by courts as unconscionable and unenforceable—especially for SaaS providers handling sensitive data. This exposes BLAZE® to unpredictable litigation costs and damages, potentially exceeding $2M per incident based on industry averages for data breach lawsuits.

Legal Analysis
critical Risk
Removed
Added
YOU EXPRESSLY UNDERSTAND AND AGREE THATExcept as prohibited by applicable law, BLAZE® SHALL NOT BE LIABLE UNDER ANY CONTRACT, TORT's liability for direct damages arising out of or related to this Agreement shall not exceed the total fees paid by you to BLAZE® in the twelve (INCLUDING NEGLIGENCE12) months preceding the event giving rise to liability. BLAZE® shall not be liable for any indirect, STRICT LIABILITY OR OTHER LEGAL OR EQUITABLE THEORY FOR ANY DIRECTincidental, INDIRECTspecial, INCIDENTALconsequential, SPECIALor exemplary damages, CONSEQUENTIAL OR EXEMPLARY DAMAGESexcept in cases of gross negligence, INCLUDING BUT NOT LIMITED TOwillful misconduct, DAMAGES FOR LOSS OF PROFITSor fraud. Nothing in this Agreement shall exclude or limit liability for death or personal injury caused by negligence, GOODWILL, USE, DATA OR OTHER INTANGIBLE LOSSES (EVEN IF BLAZE® HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES), RESULTING FROM: (I) THE USE OR THE INABILITY TO USE THE SERVICE; (II) THE COST OF PROCUREMENT OF SUBSTITUTE GOODS AND SERVICES RESULTING FROM ANY GOODS, DATA, INFORMATION OR SERVICES PURCHASED OR OBTAINED OR MESSAGES RECEIVED OR TRANSACTIONS ENTERED INTO THROUGH OR FROM THE SERVICE; (III) UNAUTHORIZED ACCESS TO OR ALTERATION OF YOUR TRANSMISSIONS OR DATA; (IV) STATEMENTS OR CONDUCT OF ANY THIRD-PARTY ON THE SERVICE; (V) YOUR ACTIVATION OF THIRD-PARTY VENDORS INTEGRATED WITH BLAZE® PRODUCTS; (VI) PERFORMANCE OF THIRD-PARTY VENDORS; (VII) OR ANY OTHER MATTER RELATING TO THE SERVICE, EXCEPT FOR BLAZE’S® WILLFUL NEGLIGENCE OR FRAUDor for any liability that cannot be excluded by law.

Legal Explanation

The original clause is overly broad and likely unenforceable, as courts routinely strike down blanket waivers of all liability, especially for direct damages. The revision caps direct damages, carves out exceptions for gross negligence and statutory liabilities, and aligns with industry standards, improving enforceability and reducing exposure to unpredictable litigation costs.

2. Ambiguous Termination Rights and Lack of Cure Period

The T&C grants BLAZE® the right to terminate accounts "for any reason at any time" with only 30 days' notice, but also allows immediate termination for abuse or breach, with or without notice. This ambiguity can lead to wrongful termination claims, business disruption, and costly litigation—potentially $100,000+ per dispute. The absence of a defined cure period for breaches further increases risk.

Legal Analysis
high Risk
Removed
Added
BLAZE® reserves the right to refuse service to anyonemay terminate this Agreement for any reason at any time... BLAZE® reservesmaterial breach by providing written notice specifying the rightbreach. The customer shall have thirty (30) days from receipt of notice to modifycure the breach, except in cases of illegal activity or terminate your Service for any reasonabuse, which may result in immediate termination. BLAZE® will provide a 30For non-day notice forbreach business-related terminations., BLAZE® reserves the right to terminate service for licensee breach of this agreement, with or without notice,will provide at any timeleast thirty (30) days' prior written notice.

Legal Explanation

The original language is ambiguous and grants excessive discretion to terminate, which can be challenged as unconscionable or lead to wrongful termination claims. The revision introduces a cure period for breaches, clarifies exceptions, and aligns with fair contract principles, reducing litigation risk.

3. Inadequate Data Security Allocation and Disclaimer

The agreement places all responsibility for internal data security on the customer, while BLAZE® only covers its own systems. This creates a logical loophole: if a breach involves both parties' systems, liability is unclear. Regulatory fines for improper data protection (e.g., GDPR/CCPA) can reach €20M or 4% of annual revenue, and unclear allocation increases exposure.

Legal Analysis
high Risk
Removed
Added
You assume responsibilityEach party shall be responsible for your internal data security protocolsimplementing and procedures. BLAZE® has a liability insurance policy that provides coverage against breaches of Blaze’s data related to our internal operatingmaintaining reasonable and appropriate data storagesecurity measures for their respective systems. Our policy explicitly does NOT cover breachesIn the event of your internal computinga data breach involving both parties' systems nor attacks on your systems, including but not limited to, ransomware or denial of service attacks. Individual Cyber liability insurance is available via third party insurance companies. BLAZE® makes no warranty nor representation regardingshall be allocated based on the efficacy of the insurance policy you select for your business purposes. BLAZE® does not direct nor control, and therefore assumes no responsibility for, your internalparty at fault or whose systems were compromised due to failure to maintain reasonable security protocols and procedures. You expresslyBoth parties agree BLAZE® shall not be liable forto cooperate in investigating and remedying any subsequent non-conforming violations of your internal security protocolssuch breach, and proceduresto comply with applicable data protection laws, including notification requirements.

Legal Explanation

The original clause creates a logical loophole by disclaiming all responsibility for data breaches involving both parties, which is inconsistent with regulatory requirements. The revision clarifies shared responsibilities and aligns with GDPR/CCPA obligations, reducing regulatory and litigation risk.

4. Unilateral Amendment of Terms Without Sufficient Notice

BLAZE® reserves the right to update T&C "from time to time without notice," only promising five days' advance implementation notice. This is inconsistent with best practices and may be unenforceable under consumer protection laws (e.g., California Civil Code § 1770). Insufficient notice can invalidate amendments and expose BLAZE® to class action risk.

Legal Analysis
medium Risk
Removed
Added
BLAZE® reserves the right to update and change themay amend these Terms of Service from time to time without notice. BLAZE® will provide a fiveby providing at least thirty (530) day advancedays' prior written notice of the implementation of any change to customers via email or other electronic communication. Material changes affecting customer rights or obligations shall require affirmative acceptance by the Terms of Servicecustomer to become effective.

Legal Explanation

The original clause allows unilateral amendment with insufficient notice, which may be unenforceable under consumer protection laws. The revision ensures adequate notice and customer consent for material changes, improving enforceability and reducing class action risk.

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Conclusion: Proactive Legal Protection is Essential

Our review highlights how ambiguous, overbroad, or inconsistent clauses can translate into multi-million dollar liabilities, regulatory fines, and reputational harm. Proactive redlining and legal review are essential to mitigate these risks and protect both providers and customers.

  • Are your contracts exposing your business to unnecessary legal risk?
  • How would your company handle a sudden regulatory audit or lawsuit?
  • When was the last time your T&C underwent a professional legal review?

**This analysis is for educational purposes only and does not constitute legal advice. For actual legal guidance, consult with a licensed attorney. This assessment is based on publicly available information and professional legal analysis. See erayaha.ai's terms of service for liability limitations.**