Legal Agreements at Cometly

This AI Policy (“Policy”) governs how Comet LLC d/b/a Cometly (“Cometly,” “we,” “us,” or “our”) integrates and manages artificial intelligence (“AI”) within our platform, including our AI Chat feature. It outlines data handling, model use, user responsibilities, credit billing, compliance with applicable laws (e.g., GDPR, CCPA, EU AI Act), and liability limitations. By using Cometly’s AI-powered features, you agree to this Policy.

1. Overview

Cometly’s AI Chat feature enables you to submit selected advertising performance data to AI models (e.g., xAI’s Grok 3, Anthropic’s Claude 3.5, or OpenAI’s GPT-4o) for automated insights, summaries, and optimization suggestions. AI Chat is an optional, credit-based add-on designed to enhance, not replace, your analysis and decision-making. We prioritize transparency, data security, and compliance with global regulations, including the EU AI Act and U.S. state privacy laws.

2. How AI Chat Works

User-Initiated Submissions

• You manually select campaigns, ad sets, ad groups, or ads to analyze.
• Only performance metrics (e.g., spend, impressions, clicks, conversion rates, cost-per-click) should be submitted. We strongly recommend avoiding any personally identifiable information (PII).
• We adhere to data minimization principles, processing only the data necessary for your query, per GDPR and emerging U.S. privacy laws (e.g., California AB 1008).

Data Processing & Response

• Selected data is encrypted in transit and sent to one of our AI providers (xAI, Anthropic, or OpenAI), chosen based on query complexity and model performance.
• AI outputs may include budget recommendations, campaign adjustments, audience targeting ideas, or trend summaries.
• Outputs include basic explanations (e.g., key metrics driving a recommendation) to enhance transparency, as required by the EU AI Act.

Chat Retention & Deletion

• See Section 3 for details on retention and deletion processes.

3. Data Privacy & Protection

No PII Submission

• Cometly’s AI Chat is designed to process only advertising performance metrics (e.g., spend, impressions, clicks, conversion rates, cost-per-click). You must not enter personally identifiable information (PII)—such as names, emails, phone numbers, or behavioral identifiers—in the Chat interface, as it is not designed to process or filter PII.
• User Responsibility: If you submit PII in AI Chat, it will be transmitted to our AI providers (xAI, Anthropic, OpenAI) and processed according to their standard terms. You are solely responsible for ensuring no PII is included in your inputs and for any consequences arising from PII submission, including potential retention or sharing by providers as described below.

Data Processing by AI Providers

• Data submitted to AI Chat is sent to our AI providers (xAI, Anthropic, OpenAI) to generate requested outputs (e.g., campaign insights, budget recommendations).
• Per the providers’ standard terms:
  
  • Data is not used to train or improve AI models unless you explicitly opt in (which Cometly does not enable).
  • Data may be temporarily retained (typically up to 30 days) for security, debugging, or compliance purposes, such as abuse monitoring.
  • Data may be shared with subcontractors (e.g., cloud providers like AWS or Microsoft Azure) under data protection agreements compliant with GDPR and other applicable laws.
• For details, review the providers’ privacy policies:
  
  • xAI: https://x.ai/privacy
  • Anthropic: https://www.anthropic.com/privacy
  • OpenAI: https://openai.com/privacy

Data Minimization

• Cometly adheres to data minimization principles, processing only the data necessary for your query, as required by GDPR, CCPA, and emerging U.S. laws (e.g., Colorado AI Act). However, you are responsible for ensuring your inputs align with this principle by excluding PII.

Chat Retention & Deletion

• AI Chat transcripts are stored securely in your Cometly account with AES-256 encryption and retained on our backend for security, compliance, and abuse prevention purposes (e.g., to detect misuse or investigate incidents) until you request deletion.
• Requesting Deletion: You must request deletion of a chat by hovering over the chat in the Chat interface, clicking the three dots, selecting “Delete,” and confirming the request, or by emailing privacy@cometly.com.
• Deletion Process: Upon receiving your deletion request, Cometly will permanently remove the chat transcript from our servers within 30 days, unless retention is required for legal reasons (e.g., compliance with law enforcement requests or regulatory obligations). We will also request deletion from the AI provider, subject to their standard retention policies (e.g., up to 30 days).
• Retention for Security: If a chat is flagged for security or compliance issues (e.g., suspected abuse), we may retain it for up to 90 days for investigation, after which it will be deleted unless legally required to be retained longer.
• User Notification: You will receive a confirmation message upon deletion from Cometly’s systems. If retention is required for legal reasons, we will notify you via email within 72 hours with an explanation, as required by GDPR and CCPA.
• PII Warning: If PII was included in a chat, deletion from provider systems depends on their standard policies, which may retain data for up to 30 days. You are solely responsible for avoiding PII to prevent such retention.

Additional Resources

• For guidance on avoiding PII and responsible AI use, visit cometly.com/support.
• To request deletion, report concerns, or seek compliance support, email privacy@cometly.com 

4. Use & Limitations of AI Outputs

AI Output Limitations

• AI suggestions are illustrative and may contain inaccuracies, hallucinations, or outdated insights due to the inherent limitations of AI models.
• We periodically audit AI outputs for biases (e.g., in audience targeting recommendations) to mitigate risks of discrimination, aligning with the Texas Responsible AI Governance Act.
• AI models are updated quarterly to ensure relevance to current advertising trends.

Compliance Responsibility

• You are solely responsible for ensuring that actions based on AI outputs comply with advertising platform terms, industry regulations (e.g., GDPR, CCPA, EU AI Act), and local laws.
• For compliance guidance, refer to our resources at cometly.com/support or contact privacy@cometly.com.

No Professional Advice

• AI Chat responses are not financial, legal, or marketing advice. Consult qualified professionals before making business decisions.
• To report inaccurate or problematic outputs, email us at: privacy@cometly.com.

5. Credit Consumption & Billing

Credit Usage

• Each AI Chat consumes credits based on dataset size and question complexity.
  
• View your credit balance in real time on the Billing page.

Free Trial Credits

• New teams receive 10 free AI credits upon sign-up to test the feature.

Purchasing Credits

• Purchase additional credit bundles ($25, $50, $100, or $250) when credits are depleted. All sales are final, except in cases of billing errors.
• For billing disputes, email billing@cometly.com within 30 days for review and resolution.

Credit Expiry & Account Closure

• Credits do not expire while your account is active.
• Upon account cancellation, unused credits are forfeited but can be restored within 90 days of reactivation by emailing privacy@cometly.com.

6. Data Security & Provider Safeguards

Encryption

• All AI data is encrypted in transit (TLS 1.2+) and at rest (AES-256).

Provider Safeguards

• xAI, Anthropic, and OpenAI adhere to GDPR-equivalent protections, including Standard Contractual Clauses for EU data transfers and restrictions on subcontractor data sharing.
• Provider privacy policies:
  
  • xAI: https://x.ai/privacy 
  • Anthropic: https://www.anthropic.com/privacy 
  • OpenAI: https://openai.com/privacy 

Logging & Retention

• Encrypted metadata logs (no PII) of AI requests are retained for up to 90 days for debugging and abuse prevention, accessible only by our security team under strict controls.
• Users may request a data processing summary by contacting privacy@cometly.com.

7. Limitation of Liability & Indemnification

Limitation of Liability

• Cometly’s aggregate liability for claims arising from AI Chat—including credit consumption and AI outputs—is capped at the greater of (a) the amount paid for AI credits in the six months preceding a claim or (b) USD 10,000, to the fullest extent permitted by law.
• Cometly is not liable for indirect, incidental, consequential, or punitive damages (e.g., lost budget, revenue, or reputation).
• For issues caused by AI provider errors, users may contact privacy@cometly.com to explore recourse under our provider agreements.

Indemnification by Customer

• You agree to indemnify and hold Cometly harmless from third-party claims arising from your use of AI Chat outputs, except where such claims result from Cometly’s or our AI providers’ negligence or system errors.

8. Policy Updates

• We may update this Policy at any time. Material changes will be posted at cometly.com/support and communicated via email at least 30 days in advance.
• Continued use of AI Chat after updates constitutes acceptance. To discontinue AI Chat use, visit your account settings or email privacy@cometly.com.

9. Contact Us

For questions about this Policy, please email privacy@cometly.com or support@cometly.com

Comet LLC d/b/a Cometly
41 University Drive, Suite 400
Newtown, PA 18940
USA