TOS Traps (Terms of Service)

Terms of Service for SaaS can cause more problems than you realize.  If you don’t fully understand the TOS you’re agreeing to it may end up costing you a lot of money.


  1. Hi Eli, I have experience with this ToS stuff. If you want to cancel your service you do a credit card charge back and as long as they are not providing you a service anymore you will win and get your money back.

  2. Very good advice, we all should read the TOS page.

    Just one quick note:
    I think every VPS service provider charges you even when your VPS is OFF.
    I just checked DigitalOcean, Linode and Amazon Lightsail, they all charge for stopped VPS.
    Only the cloud infrastructure providers (Amazon AWS, Google Cloud Platform, Microsoft Azure) don’t charge you for stopped instances.

  3. I’ve worked on a service where we required 90 days notice for cancellation, a form you print out and sign, or we’ll renew for another year. The common misconception customer service would hear from our customers was the expectation that you could cancel the service at any time and the service would be cancelled 90 days later. Even if you payed monthly, this was an annual service.

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