Brecho.me Terms of Service

1.1. These Terms of Service ("Terms") govern the relationship between:
- PLATFORM: Brecho.me, operated by ITTO OÜ. Contact: [email protected]
- SELLER: Individual or legal entity established in the European Economic Area (EEA) who accepts these Terms to sell products through the Platform.

1.2. Definitions:
- "Marketplace": Digital platform connecting sellers and buyers.
- "Stripe Connect": Payment processing system operated by Stripe, Inc.
- "Card Payments": Debit and credit card payments processed via AS LHV Pank (operating the Every Pay gateway).
- "SEPA Transfer": Single Euro Payments Area bank transfer.
- "Platform Fee": Commission of 9.75% on the value of each sale.
- "Payout": Transfer of sale value to the Seller, less applicable fees.

2.1. To register as a Seller, you must:
a) Be at least 18 years old;
b) Have full legal capacity under the laws of your EU/EEA member state of residence;
c) Be a resident of the European Economic Area (EEA);
d) Have a bank account in your own name within the SEPA zone;
e) Have a valid and accessible email address;
f) Complete identity verification via Stripe Connect.

2.2. Only ONE account per person is allowed. Duplicate accounts will be permanently deactivated, and balances may be held for up to 180 days.

2.3. You are responsible for:
a) Keeping your registration information up to date;
b) Protecting the confidentiality of your access credentials;
c) Immediately reporting any unauthorized use of your account.

3.1. The Seller assumes EXCLUSIVE RESPONSIBILITY for:
a) Quality, origin, authenticity, and condition of products sold;
b) Accuracy of descriptions and photographs in listings;
c) Delivery of products within the agreed timeframe;
d) Issuance of invoices when required by applicable EU or member state law;
e) Compliance with all tax (including VAT), labor, and regulatory obligations.

3.1.1. Warranty of Authenticity & Title:
For every item listed, the Seller warrants that: (i) it has full legal title to the item and the right to sell it; (ii) the item is genuine and authentic and is NOT counterfeit, replica, fake, a "dupe", bootleg, pirated, or otherwise infringing of any trademark, copyright, or other intellectual-property right; (iii) the item is not stolen, smuggled, or otherwise of illicit origin; and (iv) every description, brand attribution, and photograph is accurate and the Seller's own or duly licensed. Breach of this warranty is a material breach triggering the Seller's indemnity under Section 11 and liability under Section 8.1.

3.2. The Seller MUST:
a) Set a minimum price of EUR 1.00 per product;
b) Respond to buyer questions within 24 hours;
c) Ship the product within 10 business days after payment confirmation;
d) Photograph the product before shipping as proof of condition;
e) Provide tracking code when applicable;
f) Accept the Platform's dispute resolution process.

3.3. The Seller is PROHIBITED from:
a) Disclosing personal contact information (phone, email, social media);
b) Directing transactions outside the Platform;
c) Using third-party or internet photographs without authorization;
d) Making misleading advertising or deceiving the buyer, in accordance with the EU Unfair Commercial Practices Directive (2005/29/EC);
e) Using vulgar, offensive, or discriminatory language;
f) Suggesting alternative payment methods outside the Platform.

3.4. Card Scheme & Acquirer Compliance:
Card payments are processed by the Platform's payment institution, AS LHV Pank (operating the Every Pay gateway), under the rules of the international card schemes (Visa, Mastercard) and the EU Payment Services Directive (PSD2). The Seller MUST:
a) Ensure listings accurately describe the goods actually delivered (the accurate-description and successful-delivery obligation underpinning card scheme rules);
b) Display and honour the Platform's pricing, refund, and return terms, and not impose any surcharge for paying by card;
c) Not split a single purchase across multiple transactions to evade limits, nor process a transaction that does not represent a genuine sale of the listed goods;
d) Cooperate fully and promptly (within 3 days) with any chargeback, fraud, or compliance enquiry raised by the Platform, AS LHV Pank, or a card scheme, providing all requested evidence;
e) Not engage in any business, or sell any item, restricted by the card schemes or by AS LHV Pank (see Section 4).

3.5. Payment Processor Acknowledgement:
The Seller acknowledges that payment processing is provided by third parties (AS LHV Pank / Every Pay for card payments in the EU; Stripe for other methods) and is subject to those providers' terms and to their acceptance, risk, and Strong Customer Authentication (SCA / 3-D Secure 2) requirements. The Platform operates the shared processing account into which card payments are collected; Seller funds are settled by the Platform after the hold and reserve described in Section 6.

4.1. It is STRICTLY PROHIBITED to list:

CATEGORY A - Illegal Items (immediate ban + referral to authorities):
- Firearms, ammunition, explosives (EU Firearms Directive 91/477/EEC, as amended);
- Bladed weapons (knives, switchblades with weapon characteristics, subject to member state law);
- Drugs, controlled substances, narcotics;
- Stolen, robbed, or smuggled products;
- Human or animal organs.

CATEGORY B - Regulated Items (require specific license or certification):
- Medications, pharmaceuticals (EU Directive 2001/83/EC on medicinal products);
- Cosmetics with therapeutic claims (EU Cosmetics Regulation EC 1223/2009);
- Non-CE-marked medical devices (EU Medical Device Regulation 2017/745);
- Tobacco, e-cigarettes, smoking devices (EU Tobacco Products Directive 2014/40/EU);
- Alcoholic beverages (except empty collectible packaging);
- Radio and telecommunications equipment without CE marking (EU Radio Equipment Directive 2014/53/EU);
- Pressurised gas cylinders (EU Pressure Equipment Directive 2014/68/EU).

CATEGORY C - Platform Policy:
- ZERO TOLERANCE — Counterfeit, replica, fake, "dupe", bootleg, pirated, brand-imitation, or otherwise intellectual-property-infringing products (including unauthorised copies of branded goods, media, or software, and items falsely attributed to a brand);
- 100% digital products (courses, accounts, licenses);
- Expired products;
- Food and perishables;
- Future event tickets;
- Political or campaign material;
- Pornographic, obscene, or violent content;
- Products promoting hate, discrimination, or extremist groups;
- Credit/debit card machines;
- Lottery tickets, securities;
- Products subject to active safety recalls under the EU General Product Safety Directive (2001/95/EC) or the EU General Product Safety Regulation (EU) 2023/988;
- Children's products violating EU Toy Safety Directive (2009/48/EC) or EN safety standards.

CATEGORY D - Fashion and Apparel:
- Items in unwearable condition (without prior disclosure);
- Items with severe damage not described in listing;
- Items with undisclosed stains, tears, or odors.

CATEGORY E - Card Scheme & Acquirer Restricted (prohibited for card payments under Visa/Mastercard rules and AS LHV Pank's acceptable-use rules):
- Counterfeit or intellectual-property-infringing goods;
- Adult or pornographic content, escort or sexual services;
- Gambling, betting, lotteries, and games of chance;
- Currency, cryptocurrency, securities, or other financial instruments;
- Weapons, ammunition, and related equipment;
- Controlled drugs, prescription medicines, and unapproved supplements;
- Goods, services, or persons subject to applicable sanctions, or that facilitate illegal activity;
- Any other business type or item restricted by the card schemes or by AS LHV Pank.

4.2. Violation of this clause results in:
- Immediate listing removal;
- Account suspension or termination;
- Balance hold for up to 180 days;
- Referral to competent authorities when applicable.

4.3. Counterfeit, infringing, or illegal listings additionally result in immediate and PERMANENT account closure, referral to the affected rights-holders and to competent authorities, and full Seller liability for all resulting claims, card-scheme or acquirer fines, chargebacks, and the Platform's recovery costs (Sections 8.1 and 11). The Platform operates a zero-tolerance policy for such items.

5.1. The Seller will pay the following fees:
- Platform Fee: 9.75% of each sale value
- Payment Processing Fee: approximately 1.5% + EUR 0.25 per transaction (card payments processed by AS LHV Pank / Every Pay; other methods by Stripe)
- Net amount to seller: approximately 88.50%

Example for EUR 100.00 sale:
- Platform Fee: EUR 9.75
- Payment Processing Fee: ~EUR 1.75
- Net Amount: ~EUR 88.50

5.2. There is NO charge for:
- Registration or activation fee;
- Listing fee;
- Inactivity fee;
- Withdrawal or transfer fee.

5.3. The Platform Fee is automatically deducted at payout time. All fees are stated exclusive of VAT where applicable.

6.1. Payout Schedule:
- Sales from 1st to 15th: Payout on the 1st of the following month;
- Sales from 16th to 31st: Payout on the 15th of the following month;
- Average hold period: approximately 15 days.

6.2. Reasons for 15-Day Hold Period:
a) Chargeback prevention (payment disputes);
b) Fraud detection and suspicious activity;
c) Compliance with EU Payment Services Directive (PSD2) and anti-money laundering regulations;
d) Time for dispute resolution between buyer and seller.

6.3. Reserve Policy:
- New seller (0-30 days): 15% reserve
- Establishing seller (30-90 days): 10% reserve
- Established seller (90+ days): 0% reserve
- High chargeback rate (>2%): 20% reserve
- Active dispute: 100% of disputed amount

6.4. The Platform may hold funds for up to 180 days in case of:
- Ongoing security analysis;
- Suspected fraud or illegal activity;
- Court order or regulatory directive.

6.5. Card Payment Processing & Strong Customer Authentication:
Card payments are collected through the Platform's processing account with AS LHV Pank (Every Pay) and are authenticated using Strong Customer Authentication (EMV 3-D Secure 2) as required by PSD2. The Platform never stores card numbers or full card data; card data is captured and handled solely by the PCI-DSS-certified payment institution within the European Union and is not transferred to Stripe in the United States for EU card payments.

7.1. Buyer Rights (EU Consumer Rights Directive 2011/83/EU):
- Purchases from trader (business) Sellers: 14-day withdrawal period from delivery, for any reason (right of withdrawal);
- Purchases from private individuals: the 14-day right of withdrawal does not apply (Directive 2011/83/EU governs trader-to-consumer contracts). Returns remain available where the goods are faulty or not as described;
- 2-year legal guarantee for lack of conformity of goods (EU Directive 2019/771) for purchases from trader Sellers.

The Seller's type (trader or private individual) is disclosed on each product page in accordance with Article 30 of the Digital Services Act.

7.2. Return Process:
a) Buyer requests return through platform;
b) Seller is notified and has 3 days to respond;
c) If approved, buyer ships product back;
d) Seller confirms receipt in good condition;
e) Refund processed within 14 days of receiving the returned goods, as required by EU law.

7.3. Return Shipping Responsibility:
- Withdrawal (14-day right, trader Sellers only): Buyer pays return shipping, unless Seller has agreed to bear the cost;
- Defect or product different from listing: Seller pays return shipping.

8.1. Allocation of Chargeback and Loss Liability:
The Seller bears, and shall reimburse the Platform for, all chargebacks, refunds, reversals, card-scheme or acquirer fines, and the Platform's reasonable recovery and handling costs that arise from the Seller's fault — including counterfeit, fake, or intellectual-property-infringing goods, prohibited items, goods that are not as described, non-delivery or late delivery, or any Seller fraud or breach of these Terms. The Platform may recover such amounts from the Seller's reserve, set them off against current or future payouts, or invoice the Seller directly, and the Seller is responsible for any resulting negative balance.

Good-faith exception: Where an order was fulfilled correctly and as described and the chargeback results purely from buyer fraud or "friendly fraud" with no fault on the Seller's part, the Platform will not pass the chargeback loss to the Seller, provided the Seller has cooperated fully under Section 8.2.

8.2. Dispute Process:
a) Buyer opens dispute through platform;
b) Seller payouts are paused during analysis;
c) Seller has 3 days to present evidence;
d) Platform analyzes and issues binding decision;
e) If Seller doesn't respond, decision favors the Buyer.

8.3. Right of Appeal:
The Seller may appeal to the competent EU consumer protection body in their member state of residence, utilise the EU Online Dispute Resolution (ODR) platform at https://ec.europa.eu/consumers/odr, or bring a claim before the competent court, if they disagree with the Platform's decision.

8.4. Card Chargebacks:
For card payments, a buyer's bank may raise a chargeback under the applicable card scheme rules and timelines (typically up to 180 days, and longer for certain "goods not received / not as described" reasons). The Platform manages chargebacks with AS LHV Pank on the Seller's behalf, but liability for the underlying loss is allocated under Section 8.1: fault-based chargebacks (counterfeit/fake/infringing goods, prohibited items, not-as-described, non-delivery, or Seller fraud) are borne by the Seller, while a chargeback on a correctly-fulfilled order caused purely by buyer fraud is not passed to the Seller. The Seller MUST cooperate by providing the requested evidence (proof of dispatch, tracking, delivery, communications, and listing accuracy) within 3 days; during an open dispute the corresponding payout is held under Section 6.3. Sellers who repeatedly cause chargebacks (rate above 2%) may be placed on a higher reserve, monitored under card scheme excessive-chargeback programmes, or suspended.

9.1. The Platform may suspend or terminate your account, at any time, for the following reasons:
a) Detection of fraud or suspicious activity;
b) Identity verification failure;
c) Violation of these Terms of Service;
d) Listing prohibited items;
e) Chargeback rate above 2%;
f) Account or transaction rejection by a payment processor (Stripe or AS LHV Pank / Every Pay) or by a card scheme;
g) Court order or regulatory directive.

9.2. Termination Process:
- 5 business days advance notice (except fraud);
- Specific reason provided in writing;
- 30-day appeal period;
- Balances held for 60 days after termination (dispute window);
- Release after dispute period with no pending chargebacks.

9.3. Accounts terminated for fraud are PERMANENTLY banned. Creating new accounts is prohibited.

10.1. The Platform is NOT responsible for:
a) Quality, authenticity, or condition of Seller's products;
b) Delivery delays caused by carriers;
c) Seller's tax obligations, including VAT;
d) Disputes between Seller and original brand owners;
e) Technical failures of third parties (Stripe, banks, internet);
f) Force majeure events.

10.2. The Platform IS responsible for:
a) Processing payouts within the agreed schedule;
b) Responding to requests from consumer protection authorities and the Estonian Data Protection Inspectorate;
c) Protecting Seller's personal data in accordance with the General Data Protection Regulation (GDPR);
d) Indemnifying for failures demonstrably caused by the Platform.

10.3. Limitation of Damages:
The Platform's liability is limited to the LESSER value between:
a) Fees received by the Platform in the transaction in question; or
b) EUR 5,000.00 (five thousand euros).

Nothing in these Terms excludes or limits liability for death or personal injury caused by negligence, fraud, or any other liability that cannot be excluded or limited under applicable EU or member state law.

10.4. Seller Liability to the Platform:
The cap in 10.3 limits the Platform's liability to the Seller; it does not limit the Seller's liability to the Platform. The Seller is liable to the Platform for all losses, chargebacks, refunds, card-scheme or acquirer fines, regulatory penalties, and third-party or buyer claims (including reasonable legal costs) caused by the Seller's breach of these Terms, sale of counterfeit, infringing, or prohibited items, or other fault, as further provided in Sections 8.1 and 11.

11.1. The Seller agrees to indemnify and hold harmless the Platform, its representatives, employees, and partners against:
a) Third-party claims arising from Seller's listings or conduct;
b) Violations of these Terms;
c) Violations of laws or regulations, including EU regulations and member state legislation;
d) Violations of third-party rights (intellectual property, trademarks), including counterfeit, fake, pirated, or infringing goods;
e) Non-compliance with tax obligations, including VAT;
f) Chargebacks, refunds, reversals, and card-scheme or acquirer fines and assessments arising from the Seller's transactions or fault;
g) Sanctions, anti-money-laundering, or counter-terrorist-financing breaches by the Seller, its representatives, or its beneficial owners;
h) Associated attorney fees, court costs, and the Platform's reasonable recovery and handling costs.

12.1. The Seller is EXCLUSIVELY responsible for:
a) Registering for VAT in their member state of residence where required by law;
b) Issuing invoices when required by applicable EU or member state law;
c) Complying with VAT obligations, including the EU VAT Directive (2006/112/EC);
d) Declaring income in accordance with the tax laws of their country of residence;
e) Understanding and applying the reverse charge mechanism for cross-border B2B sales within the EU where applicable.

12.2. VAT NOTICE:
If your annual turnover exceeds the VAT registration threshold in your member state of residence (e.g., EUR 15,000 in many EU member states), you are required to register for VAT and charge VAT on your sales. Non-compliance may result in penalties from your national tax authority. Consult a tax advisor. Estonian e-Residency holders conducting business through Estonian companies should consult with the Estonian Tax and Customs Board (Maksu- ja Tolliamet) regarding their VAT obligations.

12.3. The Platform is NOT responsible for:
- Withholding taxes at source;
- Issuing tax documents on behalf of the Seller;
- Specific tax guidance.

13.1. The Seller's personal data is processed according to the Platform's Privacy Policy and the General Data Protection Regulation (Regulation (EU) 2016/679 - GDPR).

13.2. The Seller authorizes data sharing with:
- AS LHV Pank / Every Pay (card payment processing in the EU) and Stripe (other payment methods); card data is handled only by the PCI-DSS-certified processor and is never stored by the Platform;
- Buyers (name and address for deliveries);
- Authorities (when required by law).

14.1. These Terms are governed by the laws of the Republic of Estonia.

14.2. Dispute Resolution:
a) First instance: Platform mediation;
b) Second instance: EU Online Dispute Resolution (ODR) platform at https://ec.europa.eu/consumers/odr or competent consumer protection body in the Seller's member state;
c) Third instance: Harju County Court, Tallinn, Estonia, or the competent court in the consumer's member state of residence.

14.3. If you are a consumer, nothing in these Terms affects your right to bring proceedings before the courts of your EU member state of residence, in accordance with Regulation (EU) No 1215/2012 (Brussels I Recast).

15.1. These Terms may be amended at any time, with 30 days prior notice. Continued use after amendments implies acceptance.

15.2. The nullity of any clause does not affect the remaining provisions.

15.3. Tolerance regarding non-compliance with any obligation does not imply waiver.

15.4. Questions about these Terms can be sent to: [email protected]

16.1. Why this applies:
Card payments are collected through the Platform's account with AS LHV Pank. Under that institution's merchant terms and the card scheme rules, the Platform is required to identify the Sellers who use it, verify their beneficial owners, screen them against sanctions and anti-money-laundering ("AML") requirements, and ensure they do not sell prohibited goods. The Seller agrees to the checks below so the Platform can meet those obligations.

16.2. Information you must provide:
Identity information is collected in stages. No identity data is required merely to create an account. When you begin selling, the Platform will require at minimum your full legal name and personal identification code (Estonian isikukood or the equivalent national identity / company registry code), collected at or before the point you accept these Terms of Service. On request and on an ongoing basis thereafter, the Seller must also provide and keep accurate and current:
a) Full legal name (and, for a legal entity, registered business name and registry/registration code);
b) Residential or registered address and country;
c) Date of birth (individuals) or date of incorporation (entities);
d) Tax identification number / VAT number where applicable;
e) For legal-entity Sellers, the identity of the ultimate beneficial owner(s) holding more than 25% (name, date of birth, country of residence);
f) Any identity, address, or ownership documentation reasonably requested to complete verification.

16.3. Screening and ongoing monitoring:
The Seller agrees that the Platform (and AS LHV Pank) may verify this information and screen the Seller, its representatives, and its beneficial owners against sanctions lists (including EU and applicable international sanctions), politically-exposed-person ("PEP") and adverse-media sources, and AML/fraud and counterfeit-goods controls, both at onboarding and periodically thereafter.

16.4. Seller warranties:
The Seller warrants that it, its representatives, and its beneficial owners are not subject to any sanctions, asset freeze, or trade restriction, are not acting on behalf of any sanctioned person, and will not use the Platform to facilitate money laundering, terrorist financing, sanctions evasion, or any other unlawful activity.

16.5. Consequences of failure:
If the Seller refuses or fails to provide the required information, provides false information, fails screening, or is identified as a sanctions or AML risk, the Platform may (without liability) decline registration, suspend the account, withhold or freeze payouts, hold funds for up to 180 days, and/or terminate the account, and must report and act as required by law and by AS LHV Pank.

16.6. Data handling:
Identity, beneficial-owner, and screening data is processed under the Privacy Policy on the legal basis of legal obligation and the Platform's legitimate interest in fraud prevention, may be shared with AS LHV Pank and competent authorities for the purposes above, and is retained for the period required by applicable anti-money-laundering law (generally 5 years after the business relationship ends).