SpotDrops Terms of Service

1. Introduction

Welcome to SpotDrops (spotdrops.app), a marketplace platform operated by Seven Pillar House LLC (“Company,” “we,” “us,” or “our”), a Wyoming limited liability company. These Terms of Service (“Terms”) govern your use of our platform and services.

SpotDrops is a digital marketplace that connects direct mail operators (“Operators”) with local businesses seeking to advertise (“Advertisers”). We are a platform facilitator, not a direct seller of advertising. Operators create and manage their own “drops” (direct mail campaigns), set their own advertising rates, handle print production and mailing, and are solely responsible for complying with all applicable advertising regulations.

SpotDrops is solely a technology platform. We do not design, print, mail, or deliver any advertising materials. We do not employ or control Operators. We do not guarantee the quality, accuracy, timeliness, or delivery of any drop. All disputes, complaints, or issues related to a specific drop — including print quality, delivery timing, ad placement, design, or fulfillment — must be directed to the Operator who created that drop, not to SpotDrops. SpotDrops will not mediate, arbitrate, or resolve disputes between Operators and Advertisers except as expressly stated in these Terms.

By accessing or using SpotDrops, you agree to be bound by these Terms. If you do not agree, do not use our platform. We may update these Terms at any time in accordance with Section 10.

2. Accounts and Eligibility

To use SpotDrops, you must be at least 18 years old and have the legal authority to enter into contracts on behalf of yourself or your organization.

Operators create a business account to list and manage direct mail advertising drops. Advertisers create a business account to purchase advertising spots in operators' drops.

You agree to:

• Provide accurate, complete, and current information when creating your account
• Maintain the confidentiality of your login credentials
• Accept responsibility for all activity that occurs under your account
• Notify us immediately of any unauthorized access at support@spotdrops.app

We reserve the right to refuse service, suspend, or terminate accounts that violate these Terms or our Acceptable Use Policy (Section 11).

3. Operator Obligations

3.1 Accuracy and Honesty

As an Operator, you agree to:

• Provide accurate information about your business, service areas, and drop details
• Be truthful about target audience, delivery timeline, expected reach, and mailing list characteristics
• Update drop information promptly if circumstances change
• Not misrepresent your qualifications, experience, or capabilities

3.2 Lawful Advertising and Compliance

• You are solely responsible for ensuring that all advertising content in your drops complies with federal, state, and local advertising laws and regulations
• You must comply with CAN-SPAM Act requirements (if applicable), FTC guidelines, USPS Every Door Direct Mail (EDDM) rules, and all other applicable laws
• You are responsible for obtaining and maintaining all necessary licenses, permits, and certifications required to operate a direct mail advertising business in your jurisdiction
• You must not facilitate advertising that is illegal, fraudulent, defamatory, or violates third-party rights
• You assume full liability for advertising content distributed through your drops

3.3 Print Quality and Mailing Commitments

• You are entirely responsible for print production quality, design, and materials
• You are solely responsible for fulfilling your mailing commitments to Advertisers
• You must deliver promised quantities to promised locations within promised timeframes
• You must not overcommit capacity or misrepresent your ability to deliver
• SpotDrops has no responsibility for print errors, mail delivery failures, postal service delays, or any issues arising from the mailing process

3.4 Refund Policy Responsibility

• You are responsible for handling refund requests from Advertisers in accordance with this agreement and your stated policies
• Refunds are processed by SpotDrops through Stripe but at your direction and expense (you authorize the refund)
• Important: When a refund is issued, the 7% SpotDrops platform fee is not returned to the Operator. This is because platform costs (payment processing setup, tracking infrastructure, intake form handling) are incurred at the time of sale regardless of whether a refund occurs later. This policy is disclosed during onboarding and repeated here for clarity.
• You may not dispute refunds that you approved or that are due to your non-performance

3.5 Content Policy

Operators may not create drops or facilitate advertising for the following categories without prior written approval from SpotDrops:

• Firearms, ammunition, or weapons
• Adult content or services
• Cannabis, CBD, or controlled substances
• Gambling or betting services
• Multi-level marketing or pyramid schemes
• Political campaign advertising
• Any product or service that is illegal in the jurisdiction where the drop is mailed

SpotDrops reserves the right to remove any drop or listing that violates this content policy or that we reasonably believe may expose the platform to legal liability.

3.6 Account Suspension and Termination

SpotDrops may suspend or terminate your account if you:

• Violate these Terms, the Content Policy, or the Acceptable Use Policy
• Consistently fail to deliver promised services to Advertisers
• Receive multiple substantiated complaints or refund requests
• Engage in illegal, fraudulent, or deceptive practices
• Misrepresent your qualifications or capabilities
• Fail to respond to compliance inquiries within 10 business days

Suspension is typically preceded by a warning, unless the violation is severe. Termination is permanent.

4. Advertiser Obligations

4.1 Accuracy and Authority

As an Advertiser, you agree to:

• Provide accurate information about your business, location, and contact details
• Ensure you have the legal right to use all submitted content, logos, images, and creative materials
• Not submit content that infringes on third-party intellectual property rights
• Not submit false, misleading, or deceptive advertising claims
• Update your business information if it changes

4.2 Content Rights

• You represent and warrant that you own or have a valid license to use all content you submit
• You grant SpotDrops a limited, non-exclusive, royalty-free license to display your submission information (business name, address, phone, logo, offer details) on the corresponding QR landing page for the duration of the drop campaign
• You retain full ownership and rights to all content you submit
• You are responsible for any claims arising from your submitted content

4.3 Dispute Resolution With Operators

Your primary point of contact for all drop-related issues is the Operator, not SpotDrops. This includes but is not limited to:

• Questions or complaints about print quality, card design, or ad placement
• Delivery timing, delays, or failure to mail
• Requests for changes to your submitted artwork or business information after intake
• Concerns about the accuracy of the drop's stated reach or target area
• Refund requests (which must be approved by the Operator — see Section 5.3)
• Any dissatisfaction with the final printed product

Each Operator's contact information is available on their drop page and in your purchase confirmation email. SpotDrops provides the technology platform only and has no role in the production, design, mailing, or fulfillment of any drop.

4.4 Payment and Purchase Terms

• You agree to complete payment for reserved spots before your intake form submission is finalized
• Spots are held for 10 minutes during checkout. If payment is not completed within this window, the reservation expires and the spot becomes available to other buyers.
• Payment failures or expired reservations result in automatic cancellation
• Spots are “reserved” when you initiate a purchase, “paid” when payment clears, and “filled” when you submit your intake form

5. Payment Terms and Platform Fee

5.1 Platform Fee Structure

• SpotDrops charges a 7% platform fee on each spot sale, with a minimum fee of $10 per transaction
• The fee is automatically deducted from each transaction via Stripe Connect at the time of sale
• For example: An Operator's $200 spot price results in approximately $186 to the Operator (after the 7% SpotDrops fee and Stripe processing fees) and $14 retained by SpotDrops
• Operators set their own spot prices; the 7% fee applies regardless of price
• The platform fee is non-refundable to Operators even if a refund is later issued to the Advertiser (see Section 3.4)

5.2 Stripe Connect and Payment Processing

• All payments are processed through Stripe Connect using the direct charges model
• Operators must complete Stripe Connect onboarding and accept Stripe's terms of service as a condition of using SpotDrops
• Stripe processing fees (approximately 2.9% + $0.30 per transaction) are borne by the Operator in addition to the 7% SpotDrops platform fee
• Payouts are deposited into the Operator's designated bank account per Stripe's standard payout schedule (typically 2-3 business days)
• SpotDrops does not have access to Operators' bank account details — all financial data is managed by Stripe

5.3 Refunds

• Refund Requests: Advertisers may request refunds up to 48 hours before the advertised drop delivery date
• Operator Approval: The Operator must approve any refund. SpotDrops facilitates the refund through Stripe but does not unilaterally approve refunds
• Refund Processing: Once approved, SpotDrops processes the refund through Stripe within 2 business days
• Operator Responsibility: The Operator bears the full cost of the refund. The 7% platform fee previously collected is not returned to the Operator.
• Chargebacks: If a chargeback is filed by an Advertiser's bank, the Operator is responsible for the chargeback amount and any associated fees imposed by Stripe
• Dispute Resolution: Operators and Advertisers must work together directly to resolve refund disputes. SpotDrops is not a party to the transaction between Operator and Advertiser and will not mediate, arbitrate, or adjudicate disputes between them. Our sole role is to facilitate the refund through Stripe once the Operator has approved it. If you are an Advertiser with a complaint about a drop, contact the Operator directly (see Section 4.3).

5.4 Taxes and Fees

• You are solely responsible for all taxes (sales tax, income tax, self-employment tax, etc.) arising from your use of the platform
• SpotDrops does not provide tax advice and does not handle tax reporting on your behalf
• Stripe may issue a 1099-K or other tax documentation to Operators as required by applicable law
• We recommend consulting with a qualified tax professional regarding your tax obligations

6. Intellectual Property

6.1 Your Content

• You retain all rights to content and materials you upload to SpotDrops (creative files, logos, business descriptions, etc.)
• You grant SpotDrops a limited, non-exclusive license to display your information as necessary to operate the marketplace (e.g., showing your business name on a QR landing page, displaying drop listings)
• Upon account termination, your content will be retained for a reasonable period for archival, compliance, and dispute resolution purposes, after which it may be deleted

6.2 SpotDrops Platform IP

• SpotDrops and Seven Pillar House LLC retain all rights to the platform, website, source code, design, trademarks, and any proprietary systems or tools
• You may not copy, modify, distribute, sell, or reverse-engineer any SpotDrops intellectual property
• Your right to use SpotDrops is a non-exclusive, revocable, non-transferable license only
• “SpotDrops,” the SpotDrops logo, and associated branding are trademarks of Seven Pillar House LLC

7. Limitation of Liability

SpotDrops is not responsible for and expressly disclaims liability for:

• Print quality, design errors, or production issues (the Operator's responsibility)
• Failure of the United States Postal Service or any mail carrier to deliver (carrier responsibility)
• Delays in mail delivery or delivery to incorrect addresses
• Advertising effectiveness, customer response rates, or sales performance
• Data loss, corruption, or unauthorized access beyond what is within our reasonable control
• Technical outages, bugs, or service interruptions (except where caused by our gross negligence or willful misconduct)
• Content disputes between Operators and Advertisers
• Any dispute, claim, or dissatisfaction arising from the business relationship between an Operator and an Advertiser, including but not limited to disputes over ad placement, design quality, delivery, reach, or refunds
• Refunds or chargebacks initiated by payment processors, banks, or card networks
• Third-party claims related to advertising content (Operator's responsibility)
• Accuracy of USPS carrier route data used in the EDDM route planner
• Any action or inaction by Operators, Advertisers, or third parties

To the maximum extent permitted by applicable law, SpotDrops's total aggregate liability for any and all claims arising from or related to these Terms or the platform is limited to the total platform fees actually paid by or collected from the claiming party in the 12 months immediately preceding the event giving rise to the claim.

Neither party shall be liable to the other for any indirect, incidental, special, consequential, or punitive damages, including but not limited to lost profits, lost revenue, lost data, or loss of business opportunity, regardless of whether such damages were foreseeable or whether either party was advised of the possibility of such damages.

8. Indemnification

You agree to indemnify, defend, and hold harmless Seven Pillar House LLC, SpotDrops, and their officers, members, employees, agents, and affiliates from and against any and all claims, damages, losses, liabilities, costs, and expenses (including reasonable attorneys' fees) arising out of or related to:

• Your use of the platform
• Your violation of these Terms
• Your violation of any applicable law or regulation
• Any content you submit or advertising you distribute through the platform
• Any dispute between you and another user of the platform
• Any third-party claim arising from your advertising content or business practices

9. Termination

9.1 Operator Termination

• Operators may terminate their account by providing 30 days written notice to support@spotdrops.app
• After the notice period, no new drops may be created, but existing drops with active spots continue until completion or cancellation
• Any pending payouts will be processed per Stripe's standard schedule
• Your content and account history will be retained for a reasonable period for record-keeping and compliance

9.2 Advertiser Termination

• Advertisers may close their account at any time by contacting support@spotdrops.app
• Account closure does not entitle you to a refund for already-purchased spots (see refund policy in Section 5.3)

9.3 SpotDrops Termination

• SpotDrops may terminate an account immediately for serious violations of these Terms, the Content Policy, or for illegal activity
• SpotDrops may terminate any account with 30 days notice for convenience or for any reason
• Upon termination, all active drops are suspended and future transactions are blocked
• Pending payouts for completed transactions will still be processed

10. Modifications to Terms

SpotDrops may modify these Terms at any time. We will notify users of material changes by email (to the address on file) or by posting a prominent notice on the platform at least 14 days before the changes take effect. Your continued use of SpotDrops after the effective date of any modifications constitutes your acceptance of the updated Terms. If you do not agree to the updated Terms, you must stop using the platform and terminate your account.

11. Acceptable Use Policy

You agree not to use SpotDrops to:

• Violate any applicable federal, state, or local law or regulation
• Infringe on intellectual property, privacy, or publicity rights of any third party
• Submit false, misleading, deceptive, or malicious content
• Hack, disrupt, overload, or interfere with platform operations or infrastructure
• Scrape, crawl, spider, or engage in automated data collection or abuse
• Harass, threaten, defame, or discriminate against any person
• Distribute malware, viruses, or other harmful code
• Impersonate any person or entity or misrepresent your identity or affiliation
• Engage in money laundering, fraud, or violations of sanctions or export control laws
• Circumvent or attempt to circumvent any security measures, access controls, or usage limits
• Use the platform for any purpose not intended by these Terms

Violations may result in immediate account suspension or termination without refund or prior notice.

12. Disclaimers

AS-IS BASIS: SpotDrops is provided on an “as-is” and “as-available” basis without warranties of any kind, whether express, implied, statutory, or otherwise. We expressly disclaim all implied warranties, including but not limited to implied warranties of merchantability, fitness for a particular purpose, title, and non-infringement.

NO GUARANTEES: SpotDrops does not guarantee advertiser quality, advertiser follow-through, operator delivery, mail delivery rates, QR code scan rates, engagement metrics accuracy, or any specific business outcome.

THIRD-PARTY SERVICES: SpotDrops relies on third-party services including but not limited to Stripe (payment processing), Clerk (authentication), Vercel (hosting), USPS (carrier route data), and Mapbox (mapping). We are not responsible for the availability, accuracy, or failures of these third-party services.

EDDM ROUTE DATA: Carrier route data displayed in the EDDM route planner is sourced from USPS and third-party providers. We do not guarantee the accuracy, completeness, or timeliness of this data. Operators are responsible for verifying route information independently before committing to mail runs.

13. Dispute Resolution

13.1 Good Faith Negotiation

Before pursuing any formal dispute resolution, the parties agree to attempt good faith negotiation for a period of at least 30 days. Contact our support team at support@spotdrops.app to initiate this process.

13.2 Mediation

If direct negotiation fails to resolve the dispute within 30 days, either party may request non-binding mediation before pursuing arbitration or litigation. Both parties agree to cooperate in a good faith mediation process. The costs of mediation shall be shared equally.

13.3 Binding Arbitration

Any dispute, claim, or controversy not resolved through negotiation or mediation shall be resolved by final and binding arbitration administered by the American Arbitration Association (“AAA”) under its Commercial Arbitration Rules. Arbitration shall be conducted by a single neutral arbitrator. The arbitration shall take place in Cheyenne, Wyoming, or at another mutually agreed location, or may be conducted remotely by video conference at the arbitrator's discretion.

CLASS ACTION WAIVER: You agree that any arbitration or legal proceeding shall be conducted on an individual basis only, and not as a class action, collective action, or representative proceeding. You waive any right to participate in a class action lawsuit or class-wide arbitration against SpotDrops or Seven Pillar House LLC.

The arbitrator's decision shall be final and binding and may be entered as a judgment in any court of competent jurisdiction.

13.4 Small Claims Exception

Either party may bring individual claims in small claims court if the claim falls within that court's jurisdictional limits.

14. Governing Law and Jurisdiction

These Terms shall be governed by and construed in accordance with the laws of the State of Wyoming, without regard to its conflict of law principles. Subject to the arbitration provisions in Section 13, any legal action or proceeding arising out of or related to these Terms shall be brought exclusively in the state or federal courts located in Laramie County, Wyoming. Each party consents to the personal jurisdiction and venue of such courts.

15. Contact Information

For questions, disputes, or support, contact:

SpotDrops Support
Email: support@spotdrops.app
Website: spotdrops.app

Operated by: Seven Pillar House LLC (Wyoming)

16. Severability

If any provision of these Terms is found by a court or arbitrator of competent jurisdiction to be invalid, illegal, or unenforceable, the remaining provisions shall continue in full force and effect. The invalid provision shall be modified to the minimum extent necessary to make it valid and enforceable while preserving its original intent.

17. Waiver

The failure of either party to enforce any right or provision of these Terms shall not constitute a waiver of such right or provision. Any waiver must be in writing and signed by the waiving party to be effective.

18. Assignment

You may not assign or transfer these Terms or any rights or obligations hereunder without our prior written consent. SpotDrops may assign these Terms without restriction. These Terms shall be binding upon and inure to the benefit of the parties and their respective successors and permitted assigns.

19. Force Majeure

Neither party shall be liable for any failure or delay in performance due to causes beyond its reasonable control, including but not limited to acts of God, natural disasters, pandemics, war, terrorism, government actions, postal service disruptions, internet outages, or third-party service failures.

20. Entire Agreement

These Terms, together with our Privacy Policy and any other policies referenced herein, constitute the entire agreement between you and SpotDrops regarding your use of the platform. They supersede all prior agreements, understandings, representations, or negotiations, whether written or oral.