Terms of Service

Last updated: March 2026

These terms govern your use of Yarn, an AI inference platform operated by Prosody Labs Pty Ltd (ABN pending), based in Perth, Western Australia. By creating an account or using the service, you agree to these terms.

1. Service description

Yarn provides AI inference through a chat interface and an OpenAI-compatible API. The platform routes requests to AI models hosted on Australian infrastructure (“sovereign models”) or to third-party providers such as OpenAI and Anthropic (“global models”). Yarn also provides account management, API key generation, and usage tracking.

2. Eligibility

Yarn is currently in private beta. Access requires an invitation from Prosody Labs. You must be at least 18 years old to create an account. By using the service, you represent that you meet these requirements.

3. Your account

You are responsible for maintaining the confidentiality of your account credentials, including your password and API keys. You are responsible for all activity that occurs under your account. If you become aware of any unauthorised use of your account, notify us immediately at jordan@prosodylabs.com.au.

4. Acceptable use

You agree not to use Yarn to:

  • Generate, distribute, or store content that is illegal under Australian law.
  • Attempt to circumvent safety filters, rate limits, or access controls.
  • Conduct automated abuse, including scraping, excessive API calls beyond your rate limit, or denial-of-service attacks.
  • Impersonate another person or misrepresent your identity or affiliation.
  • Use the service to develop competing AI infrastructure without prior written agreement.
  • Upload or transmit malware, viruses, or other harmful code.

We reserve the right to suspend or terminate accounts that violate these terms.

5. Intellectual property

You retain all rights to the inputs you provide and the outputs you receive from AI models through Yarn. Prosody Labs does not claim any ownership, licence, or rights over your inputs or outputs. We do not use your data to train models.

The Yarn platform, its code, design, and branding are the intellectual property of Prosody Labs Pty Ltd. You may not copy, modify, or redistribute any part of the platform without prior written consent.

6. Availability and uptime

Yarn is provided on a best-effort basis. We do not guarantee any specific level of availability, uptime, or response time. The service is in beta and may experience downtime, interruptions, or changes without notice. We will make reasonable efforts to notify you of planned maintenance.

7. Limitation of liability

To the maximum extent permitted by law, Prosody Labs Pty Ltd and its officers, employees, and contractors are not liable for any indirect, incidental, special, consequential, or punitive damages arising from your use of the service. This includes, without limitation, damages for loss of profits, data, or business opportunities.

The service is provided “as is” and “as available” without warranties of any kind, whether express or implied, including implied warranties of merchantability, fitness for a particular purpose, and non-infringement.

AI-generated outputs may be inaccurate, incomplete, or inappropriate. You are responsible for reviewing and verifying any outputs before relying on them. Prosody Labs is not responsible for decisions made based on AI-generated content.

8. Pricing and payments

Yarn may offer free and paid tiers. Pricing, quotas, and rate limits are described on the platform and may change with notice. Payments are processed by Stripe. You agree to pay all applicable fees associated with your usage tier.

9. Termination

Either party may terminate this agreement at any time. You can close your account through the account portal or by contacting us. We may suspend or terminate your account if you violate these terms.

Upon termination, you will have 30 days to export your data (conversations, usage history). After 30 days, your data will be permanently deleted. API keys are revoked immediately upon account closure.

10. Changes to these terms

We may update these terms from time to time. If we make material changes, we will notify you by email or by posting a notice on the platform. Your continued use of Yarn after changes are posted constitutes acceptance of the updated terms. If you do not agree with the updated terms, you should stop using the service and close your account.

11. Governing law

These terms are governed by the laws of Western Australia, Australia. Any disputes arising under these terms will be subject to the exclusive jurisdiction of the courts of Western Australia. Nothing in these terms excludes or limits any rights you may have under the Australian Consumer Law.

12. Contact

If you have questions about these terms, contact us at:

jordan@prosodylabs.com.au

Prosody Labs Pty Ltd, Perth, Western Australia