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Protectly Terms of Service

Acceptance of These Terms of Service

Protectly LLC . (“Protectly,” “we,” “us,” or “our”) provides our services (described below) and related content to you through our website(s) and affiliates located at getprotectly.com and others (the “Site”, and collectively, the Site, including any updated or new features, functionality and technology, the “Service”). All access and use of the Service is subject to the terms and conditions contained in these Terms of Service (as amended from time to time, these “Terms of Service”). By accessing, browsing, or otherwise using the Site or any other aspect of the Service, you acknowledge that you have read, understood, and agree to be bound by these Terms of Service. If you do not accept the terms and conditions of these Terms of Service, you may not access, browse, or otherwise use the Service.

We reserve the right, at our sole discretion, to change or modify portions of these Terms of Service at any time. If we do this, we will post the changes on this page and will indicate at the top of this page the date these Terms of Service were last revised. You may read a current, effective copy of these Terms of Service by visiting the Terms and Conditions link on the Site. We will also notify you of any material changes, either through the Service user interface, a pop-up notice, email, or through other reasonable means. Your continued use of the Service after the date any such changes become effective constitutes your acceptance of the new Terms of Service. You should periodically visit this page to review the current Terms of Service so you are aware of any revisions. If you do not agree to abide by these or any future Terms of Service, you will not access, browse, or use (or continue to access, browse, or use) the Service.

Definitions

  • Protectly: Refers to Protectly LLC, the Service provider.
  • Merchant: An e-commerce business that integrates Protectly to offer shipping protection to its Customers at checkout.
  • Customer: An end user who purchases shipping protection through a Merchant’s online store at checkout.
  • Widget: A user interface element (e.g., badge or toggle) displayed in the Merchant’s checkout or cart, allowing Customers to opt in to shipping protection.
  • Service Fee: The small shipping protection fees your customers pay at checkout. Protectly collects these fees to resolve shipping issues on your behalf and cover the full cost of resolutions.
  • Maximum Coverage Amount: The maximum total value (including subtotal, taxes, and shipping) covered per protected order. Unless otherwise agreed in writing, the standard Maximum Coverage Amount is $2,500.00. Protectly reserves the right to adjust this amount on a per-Merchant basis, including for Merchants on Protectly’s Contract Tier, based on operational risk, shipping performance, or other relevant factors.

Allowable Claim Types

General Eligibility

Protectly’s Services are available only to Customers located in the United States. To be eligible to file a claim, the Customer must have purchased shipping protection by paying the applicable protection fee at checkout. The protection fee is non-refundable.

All claims are subject to review by Protectly and are limited to the Maximum Coverage Amount. Customers may submit only one claim per order. Approved claims may result in either a refund replacement order, or denial at Protectly’s discretion.

Only consumer purchases made using a valid credit or debit card are eligible for protection. Claims arising from Customer error, such as providing an incorrect shipping address, or returns based on buyer’s remorse, are not covered and are not eligible for a refund or replacement.

Customers must file a claim within the timeframes outlined in the applicable sections below. If Protectly requests additional information from a Customer to process a claim and the Customer fails to respond, the claim may be denied.

Additional Terms

1. Service Availability and Account Status

If a Merchant disables the Protectly plugin, or if Protectly suspends or terminates a Merchant’s account, shipping protection services will no longer be available to Customers. Protectly will perform a final reconciliation (“true-up”) of all resolved claims and collect any amounts owed via an automatic credit card charge. If the credit card charge is unsuccessful, Protectly will issue an invoice for the unpaid balance, which must be paid within ten (10) days of receipt. Protectly will also provide the Merchant with a report detailing any new or in-progress claims, along with instructions for refunding affected Customers or resolving outstanding issues directly.

2. Claim Support and Merchant Responsibilities

Merchants are required to provide accurate and complete tracking information for all orders covered under shipping protection. Missing, incorrect, or delayed tracking data may result in denial of claims or delays in resolution processing.

3. Protection Fee Calculation

The shipping protection fee is calculated based on the order subtotal and an estimated amount for shipping and taxes. This total is used to apply either the flat fee or percentage-based fee assigned to the Merchant and should closely reflect the actual order value.

4. Payment Method Requirements and Dispute Resolution

To avoid any interruption in shipping protection services or automated invoicing, Merchants must maintain a valid credit card on file at all times. Merchants agree not to dispute or initiate chargebacks on Protectly charges through their credit card provider. Any questions or concerns related to charges or invoices must be directed to accounting@getprotectly.com for review and resolution.

Lost Items

  • Covered: Packages marked as “shipped” without delivery updates for 7 days (domestic) or 20 days (international) or packages delivered to the wrong address due to carrier error. Claims must be filed within 20 days of the order shipping date. Orders that exceed this timeframe are not eligible for claims. The foregoing also applies to orders shipped in multiple packages.
  • Not Covered: Packages with invalid addresses, delivery barriers, or marked “return to sender”; or where the Customer entered an incorrect address. Also includes orders (i) with status “pre-shipment,” “label created,” or “shipment information received”; (ii) stuck in customs or seized by law enforcement; or (iii) paid for by cash on delivery or collect on delivery.

Stolen Items

  • Covered: Packages marked as “delivered” but not received. Claims must be filed between 2 and 10 days after the delivery date. Orders that exceed this timeframe are not eligible for claims. Customers may need to submit an affidavit or police report to qualify for stolen claims. Customers must have courier tracking provided by the Merchant proving successful delivery.
  • Not Covered: Packages (i) delivered to a secure location but later stolen; (ii) delivered to a neighbor or alternate location; or (iii) where the Customer provided an incorrect address.

Damaged Items

  • Covered: Items that arrive damaged and unusable. Damage must have occurred during shipping, not before. Claims must be filed within 10 days of delivery. Orders that exceed this timeframe are not eligible for claims. Claims for damaged items shall include supporting evidence, e.g., an affidavit and a photo or video of the damaged item matching the ordered item. Merchants are responsible for accurately representing the sold items. Protectly reserves the right to reject claims if item imagery is misrepresented until corrected by the Merchant.
  • Not Covered: Items (i) with manufacturing defects or minor cosmetic damage which does not affect usability; or (ii) damaged due to improper handling by the Customer.

All other claims will not be reviewed or reimbursed by Protectly LLC. Protectly LLC reserves the right to reject any and all claims at Protectly LLC’s sole discretion

Fees & Payments

Shipping Protection Fee Structure

Protectly applies a standardized shipping protection fee to each order based on total order value, inclusive of estimated shipping and taxes. For orders under $100, a flat fee of $2.95 applies. For orders of $100 or more, a percentage-based fee of 2.95% is applied to the total order value.

This fee structure is applicable to all Merchants by default. However, Protectly reserves the right, in its sole discretion, to modify the applicable flat or percentage-based fee on a per-Merchant basis, including but not limited to adjustments based on the Merchant’s historical shipping issue rate, claim volume, fulfillment practices, or other operational risk factors.

Merchant Fee Structures

Protectly collects service fees from Merchants on a weekly basis, representing the shipping protection fees paid by Customers at checkout. These fees are automatically charged to the Merchant’s credit card on file, net of any reimbursements Protectly owes the Merchant for approved claim resolutions, including replacement orders and refunds.

There are two merchant pricing tiers:

  • Free Tier: The full amount of Customer-paid shipping protection fees is collected weekly via a single net credit card charge after subtracting any reimbursements owed to the Merchant.
  • Contract Tier: Protectly collects the full amount of Customer-paid shipping protection fees from the Merchant on a weekly basis, via a single net credit card charge. Separately, Protectly issues a monthly revenue share payment to the Merchant pursuant to the terms of the applicable written agreement.

Merchants are responsible for collecting payment from Customers, including any shipping protection fees. These amounts are processed through the Merchant’s checkout flow and deposited into the Merchant’s own payment account. Protectly then invoices the Merchant weekly, with payment due immediately via automatic credit card charge as specified on the invoice.

Filing a Claim

Claims shall only be accepted if the Customer (i) logs in via the secure link provided; (ii) selects the protected products from an eligible order; (iii) provides a valid claim reason (lost, stolen, or damaged); and (iv) where applicable, provides supporting evidence as required by Protectly, including, without limitation, photos, videos, descriptions, proof of delivery, affidavit, etc.

Claim Investigation

Protectly shall investigate claims and either approve a refund or replacement or deny each claim in its sole discretion.

Claim Status

Customers will receive real-time notifications during key claim stages:

  • Claim creation
  • Claim decision (approval or denial)
  • Refund or replacement completion
  • More information required

Financial Responsibility

Protectly assumes full financial responsibility for the cost of refunds and replacement orders issued in connection with approved customer claims, up to the applicable Maximum Coverage Amount. Merchants bear no financial liability for such approved claims. Protectly covers the full cost of the resolution, including item value, shipping, and taxes, and reimburses Merchants accordingly.

Reimbursements are reflected as line items on the Merchant’s weekly invoice and deducted from the total shipping protection fees collected, resulting in a single net amount charged to the Merchant’s credit card on file.

Refunds and Replacements

Once a Customer claim is filed and approved, Protectly will initiate the appropriate resolution, either a refund or a replacement, on behalf of the Customer.

For approved refund claims, Protectly initiates a refund to the Customer through the Merchant’s online store. Protectly then reimburses the Merchant for the full refund amount, including item value, shipping, and taxes, as part of the automated weekly billing reconciliation.

For approved replacement claims, Protectly creates a $0 replacement order in the Merchant’s store, marked as “paid,” to enable fulfillment. The Merchant is expected to fulfill such orders in a timely manner. Protectly tracks all replacement orders and reimburses the Merchant for the full amount, including item value, shipping, and taxes, through the same automated weekly reconciliation process.

Payments and Invoicing

Each week, Protectly sends Merchants an automated invoice that summarizes:

  • The total shipping protection fees paid by Customers that is owed to Protectly.
  • Total reimbursements owed to the Merchant for approved claim resolution costs.

The difference between these two amounts is the net amount charged to the Merchant’s credit card on file. This charge happens automatically. All amounts and reimbursements are clearly itemized on the invoice.

Merchants agree that all amounts invoiced and automatically charged pursuant to this section are final, and further agree not to dispute or initiate chargebacks through their credit card provider. Any billing disputes must be directed to accounting@getprotectly.com.

Failed Payments

Failed Service Fee Collection: If the Service fee is not collected from the Merchant, Protectly will provide an immediate notice to the Merchant to complete such payment within 7 days. If Protectly has not received the payment within 7 days, then: (i) Protectly will disable the plugin and notify Merchant that such feature has been disabled; (ii) Protectly will discontinue issuances of refunds and replacements to Customers; and (iii) Customers having purchased the Service during such period of time shall be directed to contact the Merchant for further information.

Failed Compensation to Merchant: In the event of a failed payment to the Merchant, Protectly shall notify the Merchant via email of such failure and investigate and follow up with the Merchant within 30 days.

Force Majeure

Protectly is not responsible for claims resulting from natural disasters, war, or other uncontrollable events.

Customer Chargebacks

If a Customer disputes a charge with their bank (a chargeback) for an order that included a service fee, Protectly will pause any refund or replacement until the chargeback is resolved.

Term & Termination

This agreement begins when the Merchant subscribes and remains in effect until terminated by either party. The Merchant may terminate the agreement by providing 30 days’ written notice to support@getprotectly.com. Protectly reserves the right to terminate the agreement at any time.

Information Security

Merchants are responsible for securely maintaining all passwords and API keys provided by Protectly. Any actual or suspected unauthorized use of passwords or API keys must be promptly reported to Protectly.

Cooperation

Merchants are expected to: a. Reasonably cooperate with Protectly in all matters related to the Service. b. Respond promptly to Protectly’s requests for information, approvals, authorizations, or decisions necessary for Service provision. c. Provide requested materials or information to Protectly and ensure accuracy and completeness.

Grant of Rights

Protectly retains all rights, title, and interest in the Service, including data, content, and technology. Merchants retain ownership of their data. Limited rights are granted to use the Service and data in accordance with the agreement.

Customer Data

Merchant data is stored securely and used solely for service provision and improvement. Protectly may use anonymized and aggregated data for analytics and service enhancement.

Limited Warranty

Protectly provides the Service competently and warrants ownership or sufficient rights to grant licenses.

Disclaimer

Protectly disclaims all warranties except those explicitly provided. It does not guarantee uninterrupted Service or specific results.

Not An Insurance Company

PROTECTLY IS NOT AN INSURANCE COMPANY AND IS NOT OFFERING INSURANCE TO ANY MERCHANT, CUSTOMER OF ANY MERCHANT, E-COMMERCE STORE, OR ANY OTHER INDIVIDUAL THAT USES PROTECTLY. USERS ARE NOT INSURED BY, OR ON BEHALF OF, PROTECTLY.

Limitations of Liability

YOU EXPRESSLY UNDERSTAND AND AGREE THAT THE PROTECTLY PARTIES WILL NOT BE LIABLE FOR ANY INDIRECT, INCIDENTAL, SPECIAL, CONSEQUENTIAL, OR EXEMPLARY DAMAGES, OR DAMAGES FOR LOSS OF PROFITS INCLUDING DAMAGES FOR LOSS OF GOODWILL, USE, OR DATA OR OTHER INTANGIBLE LOSSES (EVEN IF THE PROTECTLY PARTIES HAVE BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES), WHETHER BASED ON CONTRACT, TORT, NEGLIGENCE, STRICT LIABILITY, OR OTHERWISE, RESULTING FROM: (A) THE USE OR THE INABILITY TO USE THE SERVICE; (B) THE COST OF PROCUREMENT OF SUBSTITUTE GOODS AND SERVICES RESULTING FROM ANY GOODS, DATA, INFORMATION, OR SERVICES PURCHASED OR OBTAINED OR MESSAGES RECEIVED OR TRANSACTIONS ENTERED INTO THROUGH OR FROM THE SERVICE; (C) UNAUTHORIZED ACCESS TO OR ALTERATION OF YOUR TRANSMISSIONS OR DATA; (D) STATEMENTS OR CONDUCT OF ANY THIRD PARTY ON THE SERVICE; OR (E) ANY OTHER MATTER RELATING TO THE SERVICE. IN NO EVENT WILL THE PROTECTLY PARTIES’ TOTAL LIABILITY TO YOU FOR ALL DAMAGES, LOSSES, OR CAUSES OF ACTION EXCEED THE AMOUNT YOU HAVE PAID PROTECTLY IN THE PREVIOUS SIX (6) MONTHS, OR, IF GREATER, ONE HUNDRED DOLLARS ($100). SOME JURISDICTIONS DO NOT ALLOW THE DISCLAIMER OR EXCLUSION OF CERTAIN WARRANTIES OR THE LIMITATION OR EXCLUSION OF LIABILITY FOR INCIDENTAL OR CONSEQUENTIAL DAMAGES. ACCORDINGLY, SOME OF THE LIMITATIONS SET FORTH ABOVE MAY NOT APPLY TO YOU OR BE ENFORCEABLE WITH RESPECT TO YOU. IF YOU ARE DISSATISFIED WITH ANY PORTION OF THE SERVICE OR WITH THESE TERMS OF SERVICE, YOUR SOLE AND EXCLUSIVE REMEDY IS TO DISCONTINUE USE OF THE SERVICE. IF YOU ARE A USER FROM NEW JERSEY, THE FOREGOING SECTIONS TITLED “INDEMNIFICATION”, “DISCLAIMER OF WARRANTIES” AND “LIMITATION OF LIABILITY” ARE INTENDED TO BE ONLY AS BROAD AS IS PERMITTED UNDER THE LAWS OF THE STATE OF NEW JERSEY. IF ANY PORTION OF THESE SECTIONS IS HELD TO BE INVALID UNDER THE LAWS OF THE STATE OF NEW JERSEY, THE INVALIDITY OF SUCH PORTION WILL NOT AFFECT THE VALIDITY OF THE REMAINING PORTIONS OF THE APPLICABLE SECTIONS.

Security

Protectly prioritizes security to ensure data confidentiality and system integrity. Industry standard technologies and employee training are employed to maintain security standards.

Vulnerability Disclosure

To report vulnerabilities or security concerns, contact support@protectly.com.

Indemnification

To the extent permitted under applicable law, you agree to defend, indemnify, and hold harmless Protectly, its affiliates, and its and their respective officers, employees, directors, service providers, licensors, and agents (collectively, the “Protectly Parties”) from any and all losses, damages, expenses, including reasonable attorneys’ fees, rights, claims, actions of any kind, and injury (including death) arising out of or relating to your use of the Service, any User Content, your connection to the Service, your violation of these Terms of Service, or your violation of any rights of another. Protectly will provide notice to you of any such claim, suit, or proceeding. Protectly reserves the right to assume the exclusive defense and control of any matter that is subject to indemnification under this section, and you agree to cooperate with any reasonable requests assisting Protectly defense of such matter. You may not settle or compromise any claim against the Protectly Parties without Protectly written consent.

Dispute Resolution By Binding Arbitration

PLEASE READ THIS SECTION CAREFULLY AS IT AFFECTS YOUR RIGHTS.

a. Agreement to Arbitrate

This Dispute Resolution by Binding Arbitration section is referred to in these Terms of Service as the “Arbitration Agreement.” You agree that any and all disputes or claims that have arisen or may arise between you and Protectly, whether arising out of or relating to these Terms of Service (including any alleged breach thereof), the Service, any advertising, or any aspect of the relationship or transactions between us, will be resolved exclusively through final and binding arbitration, rather than a court, in accordance with the terms of this Arbitration Agreement, except that you may assert individual claims in small claims court, if your claims qualify. Further, this Arbitration Agreement does not preclude you from bringing issues to the attention of federal, state, or local agencies, and such agencies can, if the law allows, seek relief against us on your behalf. You agree that, by entering into these Terms of Service, you and Protectly are each waiving the right to a trial by jury or to participate in a class action. Your rights will be determined by a neutral arbitrator, not a judge or jury. The Federal Arbitration Act governs the interpretation and enforcement of this Arbitration Agreement.

b. Prohibition of Class and Representative Actions and Non-Individualized Relief

YOU AND PROTECTLY AGREE THAT EACH OF US MAY BRING CLAIMS AGAINST THE OTHER ONLY ON AN INDIVIDUAL BASIS AND NOT AS A PLAINTIFF OR CLASS MEMBER IN ANY PURPORTED CLASS OR REPRESENTATIVE ACTION OR PROCEEDING. UNLESS BOTH YOU AND PROTECTLY AGREE OTHERWISE, THE ARBITRATOR MAY NOT CONSOLIDATE OR JOIN MORE THAN ONE PERSON’S OR PARTY’S CLAIMS AND MAY NOT OTHERWISE PRESIDE OVER ANY FORM OF A CONSOLIDATED, REPRESENTATIVE, OR CLASS PROCEEDING. ALSO, THE ARBITRATOR MAY AWARD RELIEF (INCLUDING MONETARY, INJUNCTIVE, AND DECLARATORY RELIEF) ONLY IN FAVOR OF THE INDIVIDUAL PARTY SEEKING RELIEF AND ONLY TO THE EXTENT NECESSARY TO PROVIDE RELIEF NECESSITATED BY THAT PARTY’S INDIVIDUAL CLAIM(S), EXCEPT THAT YOU MAY PURSUE A CLAIM FOR AND THE ARBITRATOR MAY AWARD PUBLIC INJUNCTIVE RELIEF UNDER APPLICABLE LAW TO THE EXTENT REQUIRED FOR THE ENFORCEABILITY OF THIS PROVISION.

c. Pre-Arbitration Dispute Resolution

Protectly is always interested in resolving disputes amicably and efficiently, and most Customer concerns can be resolved quickly and to the Customer’s satisfaction by emailing Customer support at support@getprotectly.com. If such efforts prove unsuccessful, a party who intends to seek arbitration must first send to the other, by email a written Notice of Dispute (“Notice”). The Notice to Protectly should be sent to support@getprotectly.com. The Notice must (i) describe the nature and basis of the claim or dispute and (ii) set forth the specific relief sought. If Protectly and you do not resolve the claim within sixty (60) calendar days after the Notice is received, you or Protectly may commence an arbitration proceeding. During the arbitration, the amount of any settlement offer made by Protectly or you will not be disclosed to the arbitrator until after the arbitrator determines the amount, if any, to which you or Protectly is entitled.

d. Arbitration Procedures

Arbitration will be conducted by a neutral arbitrator in accordance with the American Arbitration Association’s (“AAA”) rules and procedures, including the AAA’s Consumer Arbitration Rules (collectively, the “AAA Rules”), as modified by this Arbitration Agreement. For information on the AAA, please visit its website, https://www.adr.org. Information about the AAA Rules and fees for consumer disputes can be found at the AAA’s consumer arbitration page, https://www.adr.org/consumer. If there is any inconsistency between any term of the AAA Rules and any term of this Arbitration Agreement, the applicable terms of this Arbitration Agreement will control unless the arbitrator determines that the application of the inconsistent Arbitration Agreement terms would not result in a fundamentally fair arbitration. The arbitrator must also follow the provisions of these Terms of Service as a court would. All issues are for the arbitrator to decide, including issues relating to the scope, enforceability, and arbitrability of this Arbitration Agreement. Although arbitration proceedings are usually simpler and more streamlined than trials and other judicial proceedings, the arbitrator can award the same damages and relief on an individual basis that a court can award to an individual under these Terms of Service and applicable law. Decisions by the arbitrator are enforceable in court and may be overturned by a court only for very limited reasons. Unless Protectly and you agree otherwise, any arbitration hearings will take place in a reasonably convenient location for both parties with due consideration of their ability to travel and other pertinent circumstances. If the parties are unable to agree on a location, the determination will be made by AAA. If your claim is for $10,000 or less, Protectly agrees that you may choose whether the arbitration will be conducted solely on the basis of documents submitted to the arbitrator, through a telephonic hearing, or by an in-person hearing as established by the AAA Rules. If your claim exceeds $10,000, the right to a hearing will be determined by the AAA Rules. Regardless of the manner in which the arbitration is conducted, the arbitrator will issue a reasoned written decision sufficient to explain the essential findings and conclusions on which the award is based.

e. Costs of Arbitration

Payment of all filing, administration, and arbitrator fees (collectively, the “Arbitration Fees”) will be governed by the AAA Rules, unless otherwise provided in this Arbitration Agreement. To the extent any Arbitration Fees are not specifically allocated to either Protectly or you under the AAA Rules, Protectly and you shall split them equally; provided that if you are able to demonstrate to the arbitrator that you are economically unable to pay your portion of such Arbitration Fees or if the arbitrator otherwise determines for any reason that you should not be required to pay your portion of any Arbitration Fees, Protectly will pay your portion of such fees. In addition, if you demonstrate to the arbitrator that the costs of arbitration will be prohibitive as compared to the costs of litigation, Protectly will pay as much of the Arbitration Fees as the arbitrator deems necessary to prevent the arbitration from being cost-prohibitive. Any payment of attorneys’ fees will be governed by the AAA Rules.

f. Confidentiality

All aspects of the arbitration proceeding, and any ruling, decision, or award by the arbitrator, will be strictly confidential for the benefit of all parties.

g. Severability

If a court or the arbitrator decides that any term or provision of this Arbitration Agreement (other than subsection (b) above titled “Prohibition of Class and Representative Actions and Non-Individualized Relief” above) is invalid or unenforceable, the parties agree to replace such term or provision with a term or provision that is valid and enforceable and that comes closest to expressing the intention of the invalid or unenforceable term or provision, and this Arbitration Agreement will be enforceable as so modified. If a court or the arbitrator decides that any of the provisions of subsection (b) above titled “Prohibition of Class and Representative Actions and Non-Individualized Relief” are invalid or unenforceable, then the entirety of this Arbitration Agreement will be null and void, unless such provisions are deemed to be invalid or unenforceable solely with respect to claims for public injunctive relief. The remainder of these Terms of Service will continue to apply.

h. Future Changes to Arbitration Agreement

Notwithstanding any provision in these Terms of Service to the contrary, Protectly agrees that if it makes any future change to this Arbitration Agreement (other than a change to the Notice Address) while you are a user of the Service, you may reject any such change by sending Protectly written notice within thirty (30) calendar days of the change to the Notice Address provided above. By rejecting any future change, you are agreeing that you will arbitrate any dispute between us in accordance with the language of this Arbitration Agreement as of the date you first accepted these Terms of Service (or accepted any subsequent changes to these Terms of Service).

Disapproved Merchant Products & Industries

Merchants selling disapproved products or operating in disallowed industries will face account cancellation.