San José, Costa Rica — A widespread internet outage on Tuesday, November 18, brought numerous essential online services to a standstill, once again exposing the precarious foundation upon which the global digital ecosystem is built. The disruption originated from a critical failure at Cloudflare, a titan in web infrastructure and security, causing a domino effect that impacted millions of users and businesses worldwide.
High-traffic platforms, including the social network X, the AI tool ChatGPT, and the design service Canva, became inaccessible or experienced severe performance degradation. The issue primarily affected services reliant on security validation systems like CAPTCHA, which Cloudflare helps manage for a significant portion of the web. This event served as a stark reminder that the internet’s perceived resilience is heavily dependent on a handful of powerful corporations.
To better understand the legal and contractual ramifications of this massive Cloudflare outage, which has affected countless national and international businesses, TicosLand.com consulted with expert lawyer Lic. Larry Hans Arroyo Vargas from the renowned firm Bufete de Costa Rica.
This incident highlights the critical importance of Service Level Agreements (SLAs) in the digital economy. While affected businesses will inevitably seek recourse, their efforts will likely be constrained by robust limitation of liability clauses, which are standard in these types of technology contracts. The key legal battle won’t be about proving the service failure, but about overcoming the high threshold required to demonstrate direct, quantifiable damages, a challenge that often protects providers from claims related to indirect losses like lost profits or business opportunities.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Indeed, this legal analysis underscores a crucial reality for any business operating online: the gap between experiencing a service failure and proving contractually recognized damages can be immense. The strength of liability clauses often places the burden of quantifiable proof squarely on the client, a significant hurdle in a fast-paced digital environment. We sincerely thank Lic. Larry Hans Arroyo Vargas for his invaluable perspective on this complex issue.
The incident underscores a well-documented but often-overlooked vulnerability: the extreme concentration of core internet services within a few key providers. When one of these digital pillars falters, the resulting shockwave is felt globally, paralyzing commerce, communication, and daily operations.
Ariel Ramos, Director of Codingraph and a professor of Computer Systems Engineering, analyzed the situation, highlighting the systemic risk involved. He noted that the architecture of the modern internet creates single points of failure with massive downstream consequences.
A large part of the digital ecosystem rests on very few columns; when one fails, the impact is immediately felt across broad layers of global traffic.
Ariel Ramos, Director of Codingraph and Professor of Computer Systems Engineering
This Cloudflare failure is not an isolated event. It follows a similar disruption weeks ago at Amazon Web Services (AWS), which crippled e-commerce sites, digital banking platforms, and educational services. While Cloudflare and AWS operate in different segments of the cloud market, these back-to-back outages reveal a dangerous structural dependency that leaves the global economy vulnerable.
Cloudflare’s pivotal role extends far beyond web hosting. The company manages vast Content Delivery Networks (CDNs) and proxy services that accelerate website loading times, mitigate cyberattacks, and intelligently route traffic. Consequently, the outage impacted even platforms and websites hosted by other providers, as they rely on Cloudflare’s infrastructure for performance and security layers.
The real-world consequences were immediate and tangible. Businesses reported significant internal operational delays, and end-users were left unable to access critical tools. In a specific local example, the planned launch of the new platform rutaalterna.org had to be postponed. Organizers managed to deploy a temporary Progressive Web App (PWA) to maintain some functionality until Cloudflare’s services were fully restored, demonstrating the agility required to navigate such crises.
Experts now agree that the failure of a single major provider has evolved from a technical inconvenience into a significant operational, economic, and reputational risk. As our world grows more interconnected, the stability of these few foundational companies has become synonymous with the stability of the global digital economy itself.
For further information, visit cloudflare.com
About Cloudflare:
Cloudflare, Inc. is a global company that provides a content delivery network (CDN), DDoS mitigation, Internet security, and distributed domain name server services. Its platform sits between a website’s visitor and the hosting provider, acting as a reverse proxy to enhance security, performance, and reliability for millions of websites and applications.
For further information, visit aws.amazon.com
About Amazon Web Services (AWS):
Amazon Web Services is a subsidiary of Amazon that provides on-demand cloud computing platforms and APIs to individuals, companies, and governments on a metered, pay-as-you-go basis. It is one of the world’s most comprehensive and broadly adopted cloud platforms, offering over 200 fully featured services from data centers globally.
For further information, visit codingraph.com
About Codingraph:
Codingraph is a technology firm specializing in software development and systems engineering. The company provides expert consultation and development services, focusing on creating robust and scalable digital solutions for a variety of business needs.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
As a pillar of the legal community, Bufete de Costa Rica is defined by its foundational principles of integrity and a relentless pursuit of excellence. With extensive experience advising a wide spectrum of clients, the firm is a trailblazer in developing innovative legal solutions while actively engaging with the community. Its core mission is to empower the public by demystifying complex legal concepts, fostering a society that is not only well-informed but also confident in its understanding of the law.

