Terms of Service
Last updated November 7, 2026
These terms are an agreement between you and Pencilton Technologies Private Limited, which makes Pencil AI ("Pencil", "we", "us"). They apply when you use our website, our early-access software, our API and anything else we offer under them (together, the "Service"). If you use the Service for an organization, you confirm that you can bind it to these terms, and "you" includes that organization. If you do not agree, do not use the Service.
Access and use
Access
Subject to these terms, we give you a limited, non-exclusive, non-transferable, revocable right to use the Service for your own internal purposes. We reserve every right not expressly given here.
Accounts
Some parts of the Service may require an account or credentials. Give us accurate information, keep your credentials secret, and tell us promptly at hello@pencilton.com if you think they have been compromised. You are responsible for activity under your account.
Restrictions
You must follow the Acceptable Use Policy in Exhibit A. You must not copy, resell or sublicense the Service, reverse engineer it except where the law allows it despite this term, use it to build a competing product, or work around any limit, access control or safety measure in it.
Early access and beta features
Pencil is pre-launch. The Service, and any feature marked early access, beta or preview, is unfinished. It may change, be interrupted, produce wrong output or be withdrawn without notice, and it may carry no service commitments. Do not rely on it for anything where a failure would cause harm or serious loss, and keep your own backups and review of anything it produces.
Third-party models and services
The Service is designed to work with language models and other services that we do not own, including ones you choose and connect. Those are governed by their own terms and privacy practices, and you are responsible for your relationship with them and for any fees they charge. We are not responsible for what third-party models or services do, say or store.
Changes to the Service and these terms
We may change, suspend or end any part of the Service. We may update these terms by posting a new version here and changing the date above. If a change is material, we will try to tell you, for example by email or a notice on the site. Using the Service after a change takes effect means you accept it.
Fees
Early access is currently offered without a fee unless we tell you otherwise in writing. If we introduce paid plans, we will state the price and billing terms before you are charged, and you will be able to decline. Fees, when they apply, are non-refundable except where the law requires otherwise, and exclude taxes, which you are responsible for.
Intellectual property and data
Ownership
We and our licensors own the Service, including its software, models, design and documentation. These terms do not transfer any ownership to you.
Your content
"Your content" means the inputs you send to the Service and the outputs it returns to you. As between you and us, you own your content. You give us a limited license to host, process and transmit it as needed to run the Service for you, keep it secure and meet our legal duties. You confirm that you have the rights needed to send it to us.
Usage data
We may collect technical information about how the Service performs and is used, such as request counts, error rates and timing. We may use it to operate, secure and improve the Service. We do not use your content to train our models without your separate agreement.
Feedback
If you send us suggestions or feedback, we may use them without restriction or payment. We will not name you as the source without your permission.
Confidentiality
Each of us may receive non-public information from the other that is marked confidential or that a reasonable person would understand to be confidential, including unreleased features of the Service. The receiving party will use it only for the purposes of these terms, protect it with reasonable care, and not disclose it except to people who need to know it and are bound to keep it private. These duties do not apply to information that is public through no fault of the receiver, was already known to it, was independently developed, or was lawfully received from someone else. A party may disclose confidential information where the law requires, after giving notice when it is allowed to.
Privacy and security
Our Privacy Notice explains how we handle personal information. We use reasonable technical and organizational measures to protect the Service and your content, but no system is perfectly secure. If you find a vulnerability, please follow our disclosure policy.
Term and termination
These terms apply from when you first use the Service until they end. You may stop using the Service at any time. We may suspend or end your access at any time, including if you break these terms, if we need to protect the Service or other people, or if we end early access. When your access ends, your right to use the Service ends. Sections that by their nature should continue, including ownership, confidentiality, disclaimers, indemnification, limits on liability and general terms, will continue.
Warranty disclaimer
The Service is provided "as is" and "as available". To the fullest extent the law allows, we disclaim all warranties, express or implied, including warranties of merchantability, fitness for a particular purpose, title and non-infringement. We do not promise that the Service will be uninterrupted, secure or error-free, or that its output will be accurate, complete or suitable for your use. Output from software that uses language models can be wrong, and you are responsible for checking it.
Indemnification
You will defend and indemnify us and our personnel against claims, losses and reasonable costs (including legal fees) brought by a third party that arise from your content, your use of the Service in breach of these terms, or your violation of the law or another party's rights. We will tell you promptly about any such claim, and you will not settle it in a way that admits fault on our behalf without our consent.
Limitation of liability
To the fullest extent the law allows, we will not be liable for indirect, incidental, special, consequential or punitive damages, or for lost profits, revenue, data or goodwill, even if we were told they were possible. Our total liability for all claims relating to the Service will not exceed the greater of the amount you paid us for the Service in the twelve months before the claim arose and one hundred US dollars. Nothing in these terms limits liability that cannot be limited by law.
General terms
- Entire agreement. These terms, with Exhibit A and anything they link to, are the whole agreement about the Service and replace earlier understandings about it.
- Assignment. You may not assign these terms without our consent. We may assign them in connection with a merger, acquisition or sale of assets.
- Severability and waiver. If a part of these terms is unenforceable, the rest stays in effect. Not enforcing a term is not a waiver of it.
- Governing law. The governing law and place for resolving disputes will be set out here before the Service launches generally. [To be completed on legal review.]
- Notices. We may notify you by email or by posting on the site. Notices to us go to hello@pencilton.com.
- Contact. Pencilton Technologies Private Limited. Questions about these terms: hello@pencilton.com.
Exhibit A: Acceptable Use Policy
You may not use the Service, or let anyone else use it, to:
- break the law or violate the rights of others, including privacy and intellectual property rights;
- create, spread or run malware, or attack, probe or disrupt systems or networks you do not have permission to test;
- try to gain unauthorized access to the Service, other users' accounts or data, or our infrastructure;
- send spam, or deceive people about who you are or where content comes from;
- produce content that sexually exploits children, or that incites or plans violence against people;
- attempt to extract our models, weights or non-public source code, or to bypass safety measures and usage limits;
- use the Service for automated decisions that significantly affect people's rights, safety or access to essential services without appropriate human oversight;
- overload the Service or use it in a way that degrades it for others.
We may investigate suspected violations and suspend access if needed. To report abuse, write to hello@pencilton.com.