Two easy anecdotes, have seen it play out similarly multiple times over the past decade:

- <self-funded startup> has <big name B2B client> in the sales pipeline. Client wants an invasive <data/reporting> feature for <legal/compliance/ops> reasons. No chance to say no, <CxO> decides to build it due to <market pressure/big name/bonus>.

- <self-funded startup> has a platform that deals with anonymous <reviews/surveys/comments>. <big mean company> sues to take down mean <review/survey/comment> and sue the user for defamation. No chance to defend, need to give in to survive the lawsuit.

Those cases will come and they will hurt. It's probably healthy to up front think about how you would deal with it (and assume a worst-case-life-or-death scenario).