# DESI™ Terms of Service — Beta Launch Edition

**Effective Date:** ____________, 2026
**Last Updated:** May 22, 2026

> ⚠️ **IMPORTANT:** This document was drafted by Ray Pasos as a working template. It has NOT been reviewed by an attorney. **Do not deploy to production users until a California-licensed attorney with rideshare experience has reviewed and adjusted it.** Estimated review cost: $400–$800 one-time.

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## 1. Acceptance of Terms

By creating an account, requesting a ride, or providing driver services through the DESI™ mobile application or website (collectively, the "Service"), you ("User", "Rider", or "Driver") agree to be bound by these Terms of Service ("Terms"). If you do not agree, do not use the Service.

DESI™ is operated by Ray Pasos doing business as DESI Drivers ("DESI", "we", "us", "our") in the State of California.

## 2. The DESI Service — What We Are and Are Not

**DESI is a designated-driver service.** Riders hire a vetted driver to operate the Rider's own vehicle and transport the Rider (and approved passengers) safely to a destination.

**DESI is NOT a rideshare service in the traditional sense.** Critically:
- **The vehicle used during the trip is owned by the Rider, not DESI or the Driver.**
- **The Rider remains the registered owner, insurer, and operator of record** of the vehicle for the duration of the trip.
- **The Driver is a service provider** operating the Rider's vehicle on the Rider's behalf and at the Rider's direction (destination, route, etc.).
- DESI does not own, lease, maintain, or insure any of the vehicles used in trips.

This distinction is material to insurance coverage, liability, and your rights and responsibilities below.

## 3. Eligibility

To use DESI you must:

- (a) Be at least 21 years of age (Riders requesting alcohol-context rides) or 18 (other Riders);
- (b) For Drivers: be at least 25 years of age, hold a valid California driver's license for at least 5 years, and pass DESI's background and motor-vehicle-record screening;
- (c) Provide accurate, current, and complete account information;
- (d) Comply with all applicable laws, including California Vehicle Code and CPUC regulations.

## 4. Rider Responsibilities and Attestations

By requesting a trip, the Rider represents, warrants, and confirms ("Attestations") that:

- **(a) Vehicle is drivable:** The vehicle is in safe, operable, road-legal condition with no known mechanical defects, no warning lights indicating safety issues, valid registration, and valid current safety inspection (where applicable).
- **(b) Vehicle is fueled:** The vehicle has sufficient fuel (or charge, for EVs) to complete the requested trip plus a reasonable safety margin. **If the vehicle runs out of fuel mid-trip, the Rider is solely responsible for refueling costs and any incident fees described in Section 9.**
- **(c) Vehicle is insured:** The vehicle carries the minimum auto liability insurance required by the State of California (or higher), naming the Rider or a permitted user as a covered driver. The Rider acknowledges that **their personal auto insurance is the primary coverage during the trip** and that DESI's commercial coverage is **secondary** and applies only where the Driver's negligence is the proximate cause.
- **(d) Rider is the lawful operator:** The Rider is the registered owner OR has the registered owner's express permission to use the vehicle and to engage a third-party driver. The Rider is NOT operating a stolen, borrowed-without-permission, leased-prohibited, or rental vehicle prohibited from third-party operation.
- **(e) Rider is sober enough to attest:** The Rider is capable of giving informed consent to these Terms at the time of booking. If the Rider is incapable of consent due to intoxication, a sober companion may book on their behalf, and that companion accepts these Terms on the Rider's behalf.

**The pre-trip checklist that the Rider taps to acknowledge these attestations is binding.** Misrepresentation may void DESI's obligations and shift all costs and liability to the Rider.

## 5. Driver Responsibilities

Drivers represent and warrant that they:

- (a) Hold a valid, unsuspended California driver's license;
- (b) Have completed DESI's onboarding, background check, and training;
- (c) Will operate the Rider's vehicle with the care of a reasonably prudent professional driver;
- (d) Will follow the Rider's lawful directions as to destination, route, and stops, except where unsafe or unlawful;
- (e) Will not consume alcohol, cannabis, or impairing substances within 8 hours of a trip or during a trip;
- (f) Will report incidents through the DESI app within 24 hours;
- (g) Will not accept any off-platform payment from a Rider. Off-platform payments are grounds for **permanent removal** from the platform and forfeiture of any pending payouts.

## 6. Fares, Fees, and Payment

### 6.1 Service Fee
The Rider pays a single **"Service Fee"** disclosed at booking. This single line item includes:
- The Driver's pay,
- DESI's platform fee,
- Driver return logistics (DESI absorbs variance — Riders pay one flat amount regardless of how the Driver returns to their starting point).

### 6.2 Payment Authorization
By providing a payment method, the Rider authorizes DESI to charge the Service Fee plus any applicable Incident Fees (Section 9), Tips, and Taxes.

### 6.3 No Refunds for Completed Trips
Service Fees for completed trips are non-refundable, except in DESI's sole discretion (e.g., proven service failure by the Driver).

### 6.4 Tips
Tips are voluntary and 100% pass-through to the Driver.

## 7. Driver Return Logistics

DESI handles how the Driver returns to their starting location after a trip. The Driver chooses among: (a) Another DESI driver pickup, (b) Ride-share (Uber/Lyft), (c) E-bike, or (d) Friend pickup. **The Rider pays a single Service Fee regardless of the return method chosen.** Cost variance is absorbed by DESI.

## 8. Insurance, Liability, and Limitation

### 8.1 Primary Insurance is the Rider's
Because the trip is conducted in the Rider's own vehicle, **the Rider's personal auto insurance policy is the primary coverage** for any incident occurring during the trip.

### 8.2 DESI's Commercial Coverage
DESI maintains commercial liability insurance applicable to its Drivers' negligent acts during a trip. This coverage is **secondary** to the Rider's policy and subject to deductibles and exclusions in DESI's policy.

### 8.3 NOT Covered by DESI
DESI is **not responsible for**:
- Pre-existing mechanical defects, mechanical failures, breakdowns, tow charges, fuel costs, or jump-starts;
- Tickets, parking citations, tolls, or fines incurred during the trip (Rider's responsibility);
- Damage caused by intoxicated Riders to their own vehicles (including but not limited to vomit, spills, smoking damage);
- Loss of personal items left in the vehicle;
- Loss or damage to the vehicle while parked at the destination after the trip ends;
- Acts of God, war, terrorism, civil unrest, or government action.

### 8.4 LIMITATION OF LIABILITY
**TO THE MAXIMUM EXTENT PERMITTED BY LAW**, DESI'S TOTAL CUMULATIVE LIABILITY TO ANY USER FOR ANY CLAIM ARISING OUT OF OR RELATED TO THE SERVICE IS CAPPED AT THE **GREATER OF $500 OR THE TOTAL SERVICE FEES PAID BY THAT USER IN THE TWELVE (12) MONTHS PRECEDING THE CLAIM**.

DESI IS NOT LIABLE FOR INDIRECT, INCIDENTAL, CONSEQUENTIAL, PUNITIVE, OR SPECIAL DAMAGES, INCLUDING LOST PROFITS, LOST DATA, OR DAMAGE TO REPUTATION, EVEN IF ADVISED OF THE POSSIBILITY.

### 8.5 Indemnification
The Rider agrees to indemnify, defend, and hold harmless DESI, its founders, employees, contractors, and insurers from any claim arising out of: (a) the Rider's breach of these Terms, (b) the Rider's misrepresentation of vehicle drivability/insurance/fuel, (c) the Rider's operation of their vehicle before or after the trip, or (d) damage caused by the Rider or the Rider's guests to the vehicle.

## 9. Incident Fees and Auto-Charges

The Rider authorizes DESI to charge the following incident fees to the Rider's payment method on file, in addition to the Service Fee, upon Driver report and DESI review:

| Incident | Fee |
|---|---|
| **No-show / failure to appear at pickup** (15-min wait elapsed) | **$25** |
| **Refused-service / Rider too impaired to operate trip safely** | **$35** |
| **Cleaning required** (vomit, spills, smoking, food debris) | **$75** |
| **Damage to Driver property** | actual cost, no max |
| **Out-of-gas** | actual refueling cost + $10 service surcharge |
| **Tow required** (Rider's responsibility) | actual cost, billed by tow vendor; DESI does not advance funds |

The Rider may dispute any charge within 7 days by contacting support@desidrivers.com with evidence.

## 10. Cancellation

- **Rider cancellation before Driver arrival:** Free.
- **Rider cancellation after Driver dispatched but before arrival:** $5 cancellation fee.
- **Rider cancellation after Driver arrival (15-min wait):** $25 no-show fee.
- **DESI cancellation due to vehicle unsafe/uninsured/no fuel:** Full Service Fee refund.

## 11. Background Checks, Drivers Only

By applying as a Driver, you authorize DESI (and its background-check vendor) to obtain and review your criminal history, motor-vehicle record, identity verification, and other records to determine eligibility. DESI may deny or terminate your Driver status based on results. Continued eligibility is contingent on annual rechecks.

## 12. Safety, Conduct, and Zero Tolerance

DESI maintains a **zero-tolerance policy** for:
- Violence, threats, harassment, sexual misconduct, or hate speech;
- Discrimination based on race, gender, sexual orientation, religion, disability, or any protected class;
- Possession of unlawful weapons during a trip;
- Operating under the influence (Drivers only — see Section 5);
- Off-platform payments, contact, or solicitation of Drivers/Riders for off-platform services.

Violation results in immediate account termination, forfeiture of pending payouts, and where applicable, law enforcement referral.

## 13. Emergency Contacts and Trip Sharing

Riders are encouraged to provide an emergency contact at signup. By providing one, the Rider consents to DESI sharing live trip information with that contact in the event of: (a) Rider request, (b) safety incident, (c) Rider failure to confirm safe arrival when prompted, or (d) law enforcement request.

## 14. Privacy

Use of the Service is governed by the **DESI Privacy Policy** (separate document, also located in-app and at the DESI website). By using the Service, you consent to data practices described therein.

## 15. Disclaimers

THE SERVICE IS PROVIDED "AS IS" AND "AS AVAILABLE." DESI MAKES NO WARRANTIES, EXPRESS OR IMPLIED, INCLUDING WITHOUT LIMITATION ANY WARRANTY OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, OR NON-INFRINGEMENT. DESI DOES NOT WARRANT THAT THE SERVICE WILL BE UNINTERRUPTED, ERROR-FREE, OR SECURE.

## 16. Dispute Resolution and Arbitration

### 16.1 Mandatory Arbitration
Any dispute arising out of or relating to these Terms or the Service shall be resolved by **binding individual arbitration** administered by JAMS in Orange County, California, under JAMS Streamlined Arbitration Rules.

### 16.2 No Class Actions
**YOU AND DESI WAIVE THE RIGHT TO PARTICIPATE IN A CLASS ACTION, CLASS ARBITRATION, OR REPRESENTATIVE ACTION.** All claims must be brought in your individual capacity.

### 16.3 Opt-Out
You may opt out of arbitration within 30 days of first accepting these Terms by emailing support@desidrivers.com with the subject line "ARBITRATION OPT-OUT" and your full name and account email.

### 16.4 Exceptions
This arbitration clause does not apply to: (a) small-claims-court actions, (b) intellectual-property disputes, or (c) requests for injunctive relief.

## 17. Governing Law

These Terms are governed by the laws of the State of California, without regard to conflict-of-laws principles. Where arbitration does not apply, exclusive venue lies in the state and federal courts in Orange County, California.

## 18. Changes to Terms

DESI may revise these Terms at any time by posting updated terms in-app and at the DESI website. Continued use of the Service after the effective date of a revision constitutes acceptance. Material changes will be highlighted by an in-app notice.

## 19. Account Termination

DESI may suspend or terminate any account at any time, with or without cause and with or without notice, including for violation of these Terms. Riders and Drivers may close their accounts at any time by emailing support@desidrivers.com.

## 20. Entire Agreement

These Terms, together with the Privacy Policy and Driver Agreement (if applicable), constitute the entire agreement between you and DESI and supersede any prior or contemporaneous agreement.

## 21. Severability

If any provision of these Terms is held unenforceable, the remaining provisions shall remain in full force. The unenforceable provision shall be modified to the minimum extent necessary to be enforceable.

## 22. Contact

**DESI Drivers**
Operated by Ray Pasos
Email: support@desidrivers.com
Address: [Insert mailing address before launch]

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## ACKNOWLEDGEMENT

By tapping "I agree" in the DESI™ app, you acknowledge that you have read, understood, and agree to be bound by these Terms of Service.

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*Template Version 1.0 — Beta Launch — May 22, 2026*
*Drafted by Ray Pasos with AI assistance. Pending attorney review.*