Last updated Decmber 17,  2025

1. NATURE OF SERVICE
MILKYWAY X, INC. (“Milkyway”) provides an optional Package Protection Service Level Guarantee (“Protection”).

This is a contractual reimbursement agreement, not an insurance policy. By enabling Protection and paying the non-refundable $1.99 fee per package, the Merchant (“Sender”) agrees to the terms and limitations below.

2. REIMBURSEMENT LIMITS & VALUATION
Reimbursement equals the Merchant’s documented cost of the item(s) (COGS), supported by supplier invoice or purchase record, excluding taxes, shipping, duties, discounts, markups, and consequential losses, and capped at the lesser of (i) declared value at time of request, (ii) the plan protection cap, and (iii) $500 per delivery request.

3. PUBLIC AREA & HIGH-TRAFFIC EXCLUSION
To qualify for reimbursement, the Merchant must provide clear, actionable instructions for a secure delivery. To the maximum extent permitted by law, Milkyway and its third-party Drivers are not responsible for theft or loss under the following conditions:
Missing Instructions: If the Merchant fails to provide explicit instructions for a "Safe Drop-off Zone" (e.g., a code for a gate, a specific desk, or a hidden location).
‍Public Visibility: If the only available delivery point is a main entrance, external gate, sidewalk, or any area visible to the public in a high-foot-traffic zone, the Merchant acknowledges that leaving the package there is done at their own risk.
‍Waiver of Claim: By failing to provide secure access or "Safe Zone" instructions, the Merchant hereby authorizes the Driver to leave the package at the most accessible point. In such cases, the Merchant expressly waives all rights to a Protection claim if the package is subsequently stolen, damaged by weather, or tampered with.
If Merchant provided a secure access method or Safe Drop-off Zone instructions and Driver did not follow them without Merchant approval, the claim remains eligible subject to other terms.

4. THE "SAFE HARBOR" RULE: PHOTO PROOF (PPOD)
Milkyway’s liability for the package terminates immediately upon "Successful Completion".
Finality: A delivery is deemed "Successfully Completed" once the Driver uploads a Photo Proof of Delivery (PPOD) showing the package at the provided address.
‍Liability Transfer: Once the PPOD is uploaded, all risk of loss or theft transfers to the Merchant and/or the Receiver. Milkyway does not reimburse for "porch piracy" occurring after a documented successful drop-off.
This safe harbor does not apply where PPOD shows delivery to an incorrect address/unit, or where Driver materially deviated from provided delivery instructions.

5. MERCHANT RESPONSIBILITIES & ELIGIBILITY
To remain eligible for Protection, the Merchant must ensure:
‍Secure Packaging: Items must be sealed and cushioned according to industry standards for last-mile transit. Damage due to "thin-walled boxes" or "insufficient padding" will result in a denied claim.
‍Prohibited Items: Items such as jewelry, currency, hazardous materials, or electronics exceeding the $500 limit are not covered.
‍Declared Value: The value must be declared at the time of the delivery service request. Items with no declared value are ineligible.

6. CLAIM SUBMISSION PROCESS
‍Deadline: Claims must be filed via support@milkywaydelivery.com within five (5) calendar days of the delivery timestamp.
‍Evidence Required: 1. A copy of the Cost Invoice (to verify the actual loss).
2. Photos of the damage to the item and the packaging.
3. Written confirmation from the Customer/Receiver that the item was not received or arrived damaged.

7. LIMITATION OF LIABILITY
7.1 Sole and Exclusive Remedy. Recovery under this Protection Policy constitutes the Merchant’s sole and exclusive remedy for any claim related to the loss or damage of a package. Milkyway X, Inc. shall not be liable for any indirect, incidental, special, or consequential damages, including but not limited to loss of business, loss of profits, loss of reputation, or taxes. All disputes arising from this policy shall be resolved through binding individual arbitration in Los Angeles, California.
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‍7.2 Assumption of Risk (Protection Not Active). Any Merchant or Receiver sending items without activating Milkyway Package Protection at the time of the initial request does so at their sole and absolute risk. In the event that Protection is not enabled and the $1.99 fee is not paid, Milkyway X, Inc. maintains zero financial liability for the items. No reimbursements or refunds for delivery fees will be issued for unprotected packages.

‍7.3 Maximum Reimbursement Cap. When Milkyway Protection is active and all eligibility requirements are met, Milkyway’s total aggregate liability is strictly capped at the cost of the item(s), not to exceed a maximum of $500 USD per delivery request. Milkyway will not reimburse for the cost of the delivery service itself, only the physical contents up to the $500 limit.

‍7.4 Prohibited Items Exclusion. The Milkyway Protection Policy does not apply to any items listed in our Prohibited Items & Community Guidelines (e.g., currency, jewelry, hazardous materials, or electronics exceeding $500 in value). Under no circumstances, regardless of whether the Protection fee was paid, will Milkyway reimburse any party for the loss, theft, or damage of a Prohibited Item.

8. DEFINITIONS
For purposes of this Protection Policy:
“Merchant” or “Sender” means the business customer submitting the delivery request.
“Receiver” means the intended recipient listed on the delivery request.
“Driver” means an independent third-party courier who performs the delivery.
“Delivery Request” means the delivery service request submitted through Milkyway’s platform.“Declared Value” means the value entered by the Merchant at the time the Delivery Request is submitted.
“Provided Address” means the delivery address submitted in the Delivery Request, including apartment, suite, unit number, and any delivery instructions provided by the Merchant.
“Safe Drop-off Zone” means a location or method reasonably intended to reduce theft or damage (examples: gate code, concierge desk, secure mailroom, lockbox instructions, hidden location, or specific placement instructions).
“PPOD” (Photo Proof of Delivery) means a delivery completion photo captured in the Milkyway workflow and associated with the Delivery Request.
“Delivery Timestamp” means the date and time recorded in Milkyway’s system when the delivery is marked complete.
“Successfully Completed” or “Successful Completion” means completion of a delivery confirmed by PPOD and the Delivery Timestamp, subject to the exceptions listed in Section 4.

9. ADDITIONAL EXCLUSIONS AND INDEMNITY
No Delay or Time-Sensitive Coverage: Protection does not cover losses arising from delay, missed delivery windows, spoilage, temperature sensitivity, perishables degradation, loss of sales, chargebacks, customer dissatisfaction, or any consequential losses.
Indemnity: Merchant agrees to indemnify and hold harmless Milkyway X, Inc. from claims, penalties, fees, and expenses arising out of (i) shipment of Prohibited Items or unlawful items, (ii) inaccurate Declared Value or shipment information, or (iii) Merchant’s failure to comply with this Policy.

10. CHANGES TO THIS POLICY
Milkyway reserves the right to amend this Protection Policy at any time, in its sole discretion. All updates will be posted on this webpage and timestamped with a “Last Updated” date. Merchants are responsible for reviewing the then-current Policy before submitting each Delivery Request. Milkyway is not responsible for any failure by a Merchant to review updates. Unless otherwise stated, the Policy version in effect at the time a Delivery Request is submitted will apply to that Delivery Request.