Terms of Service
Last updated: March 19, 2026
1. Acceptance of Terms
By accessing or using Penguin Alley ("Service"), operated by Penguin Alley ("we", "us", "our"), you agree to be bound by these Terms of Service. If you do not agree, do not use the Service.
2. Description of Service
Penguin Alley provides AI-powered software development services through a proprietary system that builds, deploys, and maintains software applications.
3. Subscriptions and Payments
Paid tiers (Starter, Pro, Elite, Enterprise) are billed monthly or annually. Prices are in USD. By subscribing, you authorize us to charge your payment method on a recurring basis until you cancel.
4. Annual Subscriptions
Annual subscriptions are available for Starter ($278/year), Pro ($950/year), and Elite ($2,870/year) tiers. Annual pricing represents a savings of approximately 20% compared to monthly billing.
- Billing: Annual subscriptions are charged upfront for the full year. The subscription renews automatically at the end of the 12-month period unless cancelled.
- Cancellation: You may cancel an annual subscription at any time. Access continues until the end of the paid annual period. No partial refunds are issued for the remaining months after the 7-day refund window.
- Upgrades: You may upgrade from monthly to annual billing at any time. The remaining balance of your current billing cycle is prorated toward the annual plan.
- Downgrades: Annual subscribers may downgrade tiers at renewal. Mid-term downgrades are not available β the current tier remains active until the annual period ends.
- Promotional pricing: Seasonal discounts and promotional coupons may be applied to annual subscriptions at checkout. Promotional pricing applies only to the initial term; renewals are at the standard annual rate unless otherwise stated.
5. Refund Policy
New subscriptions have a 7-day refund window from the date of the first payment. Refunds are proportional to your usage of the service during that period:
- Less than 10% usage: Full refund
- 10-50% usage: 50% refund
- Over 50% usage: No refund (the service was substantially utilized)
Service failure guarantee: If a service disruption, bug, or error is caused by Penguin Alley, you are entitled to a full refund regardless of usage. We stand behind the quality of our work -- unlike many competitors, we take full responsibility for our system's performance.
One refund per account: Each account is eligible for one refund. If a refund is granted, the account cannot request another refund on a future subscription.
Hold period: First payments are held for 7 days. If no refund is requested within that window, the payment is processed as confirmed revenue. Recurring payments (month 2 and beyond) are processed normally without a hold period.
Abuse prevention: We monitor for patterns such as multiple accounts from the same person requesting refunds, intensive usage concentrated before a refund request, or bulk export of deliverables prior to cancellation. Abuse of the refund policy may result in account termination.
6. Token Limits & Top-Ups
Each subscription tier includes a monthly allowance of output tokens plus daily bonus tokens:
- Demo: 1,000,000 output tokens/month
- Starter: 10,000,000 output tokens/month + 200,000 bonus tokens/day
- Pro: 50,000,000 output tokens/month + 500,000 bonus tokens/day
- Elite: 150,000,000 output tokens/month + 2,000,000 bonus tokens/day (cap: 200,000,000)
Token Top-Ups: You may purchase additional tokens at any time in packages of 5M ($5), 20M ($15), or 100M ($50). Top-up tokens never expire and stack on top of your monthly allowance. Top-up purchases are non-refundable.
Output-only counting: Only output tokens (AI-generated responses) count against your limit. Input tokens (your messages, system context, and tool definitions) are system overhead and do not count against your allowance.
7. Intellectual Property
Once full payment is received, the client owns all custom code developed specifically for their project. Penguin Alley retains the right to use the work as a portfolio reference unless the client opts out in writing.
8. Acceptable Use
You may not use Penguin Alley to build software intended for illegal purposes, malware, phishing, or any application that violates applicable laws. We reserve the right to terminate accounts engaged in abusive behavior.
9. Limitation of Liability
Penguin Alley is provided "as is." We are not liable for indirect, incidental, or consequential damages arising from the use of our services. Our total liability is limited to the amount paid by the client in the 12 months preceding the claim.
10. Termination
Either party may terminate the service at any time. Upon cancellation, access continues until the end of the current billing period. We may terminate accounts that violate these terms immediately.
11. Indemnification
You agree to indemnify and hold harmless Penguin Alley, its founder, and its affiliates from any claims, damages, or expenses arising from your use of the service, your violation of these terms, or your violation of any third-party rights.
12. Dispute Resolution
Any disputes arising from these terms shall first be addressed through good-faith negotiation for a period of 30 days. If unresolved, disputes shall be submitted to binding arbitration in Monterrey, Nuevo LeΓ³n, Mexico, in accordance with applicable Mexican commercial law. hello@penguinalley.com