Pointing at their terms of service will definitely be the instantly summoned defense (as would most modern companies) but the fact that SaaS can so suddenly shift the quality of product being delivered for their subscription without clear notification or explicitly re-enrollment is definitely a legal oversight right now and Italy actually did recently clamp down on Netflix doing this[1]. It's hard to define what user expectations of a continuous product are and how companies may have violated it - and for a long time social constructs kept this pretty in check. As obviously inactive and forgotten about subscriptions have become a more significant revenue source for services that agreement has been eroded, though, and the legal system has yet to catch up.

1. Specifically, this suite was about price increases without clear consideration for both parties - but the same justifications apply to service restrictions without corresponding price decreases.

https://fortune.com/2026/04/20/italian-court-netflix-refunds...

OpenAI does this for all API calls

> Our systems will smartly ignore any reasoning items that aren’t relevant to your functions, and only retain those in context that are relevant. You can pass reasoning items from previous responses either using the previous_response_id parameter, or by manually passing in all the output items from a past response into the input of a new one.

https://developers.openai.com/api/docs/guides/reasoning

Disclosure - work on AI@msft

So to defend a litte, its a Cache, it has to go somewhere, its a save state of the model's inner workings at the time of the last message. so if it expires, it has to process the whole thing again. most people don't understand that every message the ENTIRE history of the conversion is processed again and again without that cache. That conversion might of hit several gigs worth of model weights and are you expecting them to keep that around for /all/ of your conversions you have had with it in separate sessions?

> There would be nothing lost if they said „If you click yes, we will prune your old thinking making Claude faster and saving you tons of tokens“. Most people would say yes probably so why not ask them

The irony is that Claude Design does this. I did a big test building a design system, and when I came back to it, it had in the chat window "Do you need all this history for your next block of work? Save 120K tokens and start a new chat. Claude will still be able to use the design system." Or words to that effect.