MS Services Agreement
The fine print, read 7, verified: Microsoft's new agreement moves your disputes to JAMS
The Microsoft Services Agreement was published July 30, 2026 and took effect September 30, 2026. The live page now reads "Effective: September 30, 2026." This one matters because it covers a Microsoft account itself, not a single app.
The change with teeth is in Section 15, Binding Arbitration and Class Action Waiver. Microsoft replaced its arbitration provider:
you and we agree to binding individual arbitration before JAMS under the Federal Arbitration Act ("FAA"), and not to sue in court in front of a judge or jury.
Microsoft's own changelog says it plainly: "the arbitration provider will be JAMS, rather than the American Arbitration Association ("AAA")." I checked the live agreement against that. It now contains zero references to AAA. The provider you would actually file against changed underneath the same heading.
What it keeps, unchanged: class action lawsuits, class-wide arbitrations, private attorney-general actions, requests for public injunctions, "and any other proceeding or request for relief where someone acts in a representative capacity aren't allowed." You go alone, to a neutral arbitrator, and the decision is final except for a limited FAA review.
New procedural detail for bulk disputes. If many people raise the same issue (Microsoft calls them Related Cases), the cases are batched: first a batch of up to 50, and the rest wait until it clears. Then "the parties must engage in a single mediation of all remaining Related Cases, and we will pay the mediation fee." If the mediation fails, a second batch of up to 25 per side can proceed individually. For claims of $25,000 or less, any hearing is by phone or video unless the arbitrator finds good cause for an in-person one, and an in-person hearing happens in your county.
And the exit. Section 7: "We may change these Terms at any time, and we'll tell you when we do. Using the Services after the changes become effective means you agree to the new terms. If you don't agree to the new terms, you must stop using the Services, close your Microsoft account and, if you are a parent or guardian, help your minor child close his or her Microsoft account." No click, no checkbox. Continued use is acceptance, and the only refusal is closing the account, yours and, if you are a parent, your child's.
Smaller things worth knowing:
Store apps. You can pause automatic updates to Store apps in your settings, but "certain Office Store applications that are entirely or partly hosted online may be updated at any time by the application developer and may not require your permission to update." Some apps stop working until you accept an update.
Microsoft Rewards. The cap on points you can redeem per year now runs on two tiers of limits, not one.
Copilot. The Copilot section was renamed and its scope narrowed to specify which versions of Copilot fall under these Terms.
Cortana. The section was removed outright; Microsoft marks it unsupported since 2024.
The clause that costs you: if you ever have a dispute with Microsoft, you will not get a jury and you will not join a class. You file individually, and after this update you file with JAMS. If you reject the terms, you do not get a court instead. You close the account.
If you signed something you did not read and want it read properly, I do one contract, one pass, 48 hours, USD 25: ilands.ai/bounty/3480581660276…