Laundry Protection

Blue Bag Laundry Protection Policy

Effective Date: September 16, 2026

This Laundry Protection Policy establishes the terms, valuation methodology, eligibility requirements, exclusions, procedures, and limitations applicable to claims involving eligible customer laundry that is lost or physically damaged while in the care, custody, or control of Blue Bag Laundry.

This Policy forms part of the Blue Bag Laundry Terms of Service.

By submitting an Order to Blue Bag Laundry, the customer acknowledges that the customer has been provided access to this Policy and agrees to its terms.

1. Protection Limits

Subject to all terms and conditions of this Policy:

• Eligible claim value: 60% of the Item’s Established Value
• Maximum compensation per individual Item: $160
• Maximum aggregate compensation per Order: $1,000
• Claim reporting deadline: 72 hours after recorded delivery

These limitations apply to the contractual protection provided under this Policy and, to the fullest extent permitted by applicable law, to Blue Bag’s liability for eligible loss of or physical damage to customer laundry as further described below.

2. Definition of “Item”

An “Item” means one separately identifiable garment or textile article. Examples include:

• One shirt;
• One pair of pants;
• One dress;
• One jacket;
• One sweater;
• One towel;
• One pillowcase;
• One sheet;
• One blanket; or
• One comforter.

Each such article constitutes one Item.

A Blue Bag laundry bag, customer-provided bag, hamper, tote, bundle, load, or other container does not constitute an Item for purposes of the $160 per-Item limit.

Accordingly: the $160 maximum applies to each individual garment or textile article, not to each laundry bag.

3. Definition of “Order”

An “Order” means all laundry accepted by Blue Bag under a single order number or transaction. An Order may contain:

• One or more laundry bags;
• Multiple individual Items;
• Items belonging to multiple household members; and
• Multiple eligible service categories.

Regardless of how many bags or Items are included, the maximum aggregate compensation for all eligible loss or damage associated with a single Order is: $1,000 per Order

The Order-level limit does not reset for separate bags, household members, service categories, or groups of Items within the same Order.

4. Established Value

“Established Value” means the reasonable value assigned to an Item before application of the 60% claim valuation formula. Blue Bag may determine Established Value using reasonably reliable information, including:

• Original documented purchase price;
• Receipt or electronic purchase confirmation;
• Retailer purchase history;
• Current selling price of the same Item;
• Current selling price of a reasonably comparable Item;
• Brand;
• Type of garment or textile;
• Photographs;
• Manufacturer information; and
• Other reasonably reliable evidence.

Blue Bag is not required to accept an unsupported valuation supplied by the customer when reasonably reliable evidence supports a different value.

Sentimental, emotional, collectible, antique, investment, rarity, or other subjective value is not included when determining Established Value.

5. Valuation Formula

For an approved claim, Blue Bag will calculate the eligible claim value as: 60% of the Item’s Established Value

The resulting amount is then subject to the $160 maximum per individual Item.

Examples

• Established Value: $50 — 60% claim value: $30
• Established Value: $100 — 60% claim value: $60
• Established Value: $200 — 60% claim value: $120
• Established Value: $300 — 60% claim value: $180 — Maximum payable for the Item: $160
• Established Value: $800 — 60% claim value: $480 — Maximum payable for the Item: $160

Under no circumstances does the valuation formula increase the maximum compensation above $160 for one individual Item.

6. $1,000 Aggregate Order Limit

The maximum aggregate compensation available under this Policy for all eligible Items associated with a single Order is: $1,000

For example: if seven eligible Items each qualify for the $160 individual maximum: 7 × $160 = $1,120. Because the Order-level maximum is $1,000: maximum compensation for the entire Order = $1,000.

The $1,000 limit applies to the entire Order and does not reset for:

• Separate laundry bags;
• Separate household members;
• Different garment types;
• Different service categories; or
• Other subdivisions of the same Order.

7. Eligible Loss or Damage

Subject to the terms and exclusions of this Policy, protection may apply when an eligible Item is:

• Lost while within Blue Bag’s care, custody, or control;
• Physically damaged as a direct result of Blue Bag’s processing or handling;
• Physically damaged because Blue Bag failed to follow reasonably available manufacturer care instructions applicable to the selected service;
• Delivered to the wrong customer and cannot reasonably be recovered; or
• Otherwise unable to be located after Blue Bag accepted physical possession of the Item.

Blue Bag may reasonably investigate the circumstances before determining whether a claim is eligible.

8. Beginning and End of Blue Bag Custody

Blue Bag’s responsibility ordinarily begins when Blue Bag or its authorized representative takes physical possession of the Order.

Blue Bag’s responsibility ordinarily ends when the completed Order is delivered to:

• The customer;
• An authorized recipient;
• The customer’s designated delivery location; or
• Another location affirmatively authorized by the customer.

Following delivery to an authorized unattended location, Blue Bag is not ordinarily responsible for subsequent theft, weather exposure, animal damage, vandalism, third-party interference, disappearance, or similar post-delivery events, except to the extent applicable law requires otherwise.

9. 72-Hour Claim Reporting Requirement

Customers are responsible for inspecting returned laundry promptly following delivery.

Any claim seeking benefits under this Laundry Protection Policy must be reported to Blue Bag within 72 hours after the recorded delivery time of the Order.

The 72-hour period begins at the delivery time reflected in Blue Bag’s delivery records.

This requirement applies to claims involving:

• Missing Items;
• Lost Items;
• Damaged Items;
• Misdelivered Items; and
• Other alleged losses covered by this Policy.

A claim first reported more than 72 hours after recorded delivery is not eligible for compensation under this Laundry Protection Policy, except to the extent applicable law requires otherwise.

The 72-hour reporting requirement is a condition of eligibility for contractual benefits under this Policy.

Nothing in this provision is intended to eliminate, shorten, or waive a right or remedy that applicable law does not permit the parties to limit or waive.

10. Claim Submission Requirements

A customer submitting a claim should provide information reasonably necessary to evaluate the claim, including:

• Customer name;
• Order number;
• Description of the Item;
• Brand, if known;
• Approximate purchase date, if known;
• Approximate original purchase price;
• Description of the alleged loss or damage;
• Photographs, when applicable; and
• Available documentation supporting ownership or value.

Acceptable documentation may include:

• Purchase receipts;
• Electronic receipts;
• Order confirmations;
• Retailer account histories;
• Photographs;
• Comparable retail listings; or
• Other reasonably reliable evidence.

An original paper receipt is not necessarily required when Blue Bag can reasonably establish ownership and value through other reliable evidence.

Blue Bag may request additional reasonable documentation necessary to investigate or value the claim.

11. Preservation of Damaged Items

A customer asserting a damage claim must retain the affected Item while Blue Bag evaluates the claim. Blue Bag may request:

• Photographs;
• Physical inspection;
• Evaluation by a garment or textile professional;
• Corrective reprocessing;
• Repair evaluation; or
• Possession of the Item following payment of an approved claim when reasonably necessary.

The customer should not discard, materially alter, repair, donate, sell, or otherwise dispose of a claimed Item before Blue Bag has had a reasonable opportunity to evaluate it.

Failure to preserve or make an Item reasonably available may result in denial of protection when that failure materially prevents Blue Bag from investigating or evaluating the claim.

12. Opportunity to Correct or Repair

Blue Bag may attempt to correct or repair an eligible damaged Item before issuing monetary compensation. Depending on the circumstances, Blue Bag may resolve an approved claim by:

• Reprocessing the Item;
• Correcting the service issue;
• Professionally repairing the Item;
• Paying an appropriate repair cost;
• Replacing the Item with a reasonably comparable Item; or
• Providing monetary compensation.

Any resolution remains subject to the valuation methodology and maximum protection limits contained in this Policy.

Blue Bag is not required to pay the maximum available amount merely because an Item has been damaged.

13. Missing and Lost Items

Reporting an Item as missing does not automatically establish that the Item has been permanently lost. Blue Bag may conduct a reasonable investigation using available information, including:

• Order records;
• Production records;
• Bag or Item tracking information;
• Route records;
• Delivery records;
• Photographs;
• Facility records;
• Customer communications; and
• Other relevant information.

Blue Bag will be afforded a reasonable opportunity to locate and return a missing Item before treating the Item as permanently lost.

If an eligible Item cannot be located after reasonable investigation, the claim may be processed under the valuation provisions of this Policy.

14. Excluded or Non-Covered Conditions

Except where loss or damage was directly caused by Blue Bag and is otherwise eligible under this Policy, protection does not ordinarily cover:

• Normal wear and tear;
• Pre-existing damage;
• Existing holes or tears;
• Weak seams;
• Worn or deteriorated fabric;
• Fabric thinning;
• Normal fading;
• Normal pilling;
• Normal or inherent shrinkage;
• Dye instability;
• Color bleeding resulting from inherent fabric or dye characteristics;
• Manufacturer defects;
• Material defects;
• Weak or deteriorated elastic;
• Failure of adhesives;
• Damage to decorative trim;
• Beads;
• Sequins;
• Rhinestones;
• Buttons;
• Zippers;
• Decorative printing;
• Transfers;
• Glued embellishments;
• Other ornamental components that cannot withstand normal laundering;
• Incorrect, missing, inaccurate, or misleading care labels;
• Hidden defects;
• Failure to completely remove a stain;
• Permanent stains;
• Pre-existing discoloration;
• Items unsuitable for the service selected;
• Dry-clean-only Items submitted for wash-and-fold service;
• Items submitted contrary to manufacturer care instructions; or
• Damage caused by objects left inside clothing.

15. Personal Property Left With Laundry

Customers are responsible for removing all objects from pockets and laundry before submitting an Order. Blue Bag is not ordinarily responsible for loss of or damage to:

• Cash;
• Coins;
• Jewelry;
• Watches;
• Keys;
• Credit cards;
• Identification;
• Passports;
• Electronics;
• Earbuds;
• Medications;
• Documents;
• Gift cards;
• Photographs;
• Memory devices; or
• Other personal property left inside garments or laundry.

Blue Bag is also not ordinarily responsible for damage to laundry caused by objects left inside garments, including pens, markers, lipstick, gum, batteries, electronics, or similar items, except to the extent otherwise required by applicable law.

16. High-Value, Sentimental, and Irreplaceable Items

Blue Bag’s standard laundry service is not intended for property that is irreplaceable or whose value substantially exceeds the protection available under this Policy. Customers should not submit:

• Rare garments;
• Collectibles;
• Antiques;
• Heirlooms;
• Museum-quality textiles;
• Irreplaceable garments;
• Items of unusually high sentimental value; or
• Items whose financial value substantially exceeds the available standard protection,

unless Blue Bag has expressly agreed in writing to accept the Item under different terms.

Submitting a high-value Item does not increase Blue Bag’s standard protection limits. The standard limits remain:

• 60% of Established Value

subject to:

• $160 maximum per individual Item

and:

• $1,000 maximum per Order

17. Fraudulent or Materially Misrepresented Claims

Blue Bag may deny a claim when reasonable evidence establishes that the claim contains:

• A material false statement;
• A materially falsified document;
• Intentional inflation of value;
• A claim for an Item not included in the applicable Order; or
• Other material fraud or intentional misrepresentation.

Good-faith mistakes or discrepancies may be corrected during the claim-review process.

18. No Double Recovery

The purpose of this Policy is to provide compensation for eligible property loss subject to its stated valuation method and limitations. A customer may not receive duplicative compensation exceeding the eligible loss by collecting for the same loss from Blue Bag and another responsible source.

To the extent permitted by applicable law, Blue Bag may take into account payments received from an insurer, manufacturer, retailer, payment-card benefit, or other responsible party for the same loss.

19. Limitation of Liability for Customer Laundry

TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, BLUE BAG’S LIABILITY FOR ELIGIBLE LOSS OF OR PHYSICAL DAMAGE TO CUSTOMER LAUNDRY ARISING FROM ORDINARY NEGLIGENCE, BREACH OF CONTRACT, BAILMENT, HANDLING, PROCESSING, TRANSPORTATION, OR DELIVERY SHALL BE SUBJECT TO THE VALUATION METHOD AND LIMITATIONS SET FORTH IN THIS POLICY.

FOR EACH ELIGIBLE INDIVIDUAL ITEM: THE ELIGIBLE CLAIM VALUE IS 60% OF THE ITEM’S ESTABLISHED VALUE, SUBJECT TO A MAXIMUM OF $160 PER INDIVIDUAL ITEM.

FOR ALL ELIGIBLE ITEMS WITHIN A SINGLE ORDER: BLUE BAG’S AGGREGATE LIABILITY SHALL NOT EXCEED $1,000 PER ORDER.

THE $160 LIMIT APPLIES TO EACH INDIVIDUAL GARMENT OR TEXTILE ARTICLE.

THE $1,000 LIMIT APPLIES TO THE ENTIRE ORDER.

A LAUNDRY BAG, TOTE, HAMPER, CONTAINER, LOAD, OR BUNDLE DOES NOT CONSTITUTE AN INDIVIDUAL ITEM FOR PURPOSES OF THE $160 LIMIT.

These limitations are material terms of the agreement between Blue Bag and the customer and apply to Blue Bag’s standard laundry service to the fullest extent permitted by applicable law.

20. Consequential, Incidental, and Special Losses

To the fullest extent permitted by applicable law, Blue Bag is not responsible for indirect, incidental, consequential, exemplary, or special economic losses arising solely from loss of or physical damage to customer laundry. Such losses may include:

• Lost wages;
• Missed employment;
• Lost business opportunities;
• Travel expenses;
• Event expenses;
• Rental expenses;
• Sentimental value; or
• Similar indirect losses.

Nothing in this section limits a right or remedy that applicable law does not permit Blue Bag to limit.

21. Insurance

Blue Bag may maintain commercial insurance or other risk-transfer coverage relating to customer property. The existence of such coverage does not increase the customer’s contractual protection beyond the amounts stated in this Policy.

Unless expressly provided otherwise in writing, Blue Bag customers are not represented as named insureds or direct beneficiaries of Blue Bag’s commercial insurance policies.

The contractual protection described in this Policy is provided by Blue Bag subject to these terms.

22. No Waiver of Non-Waivable Rights

Nothing in this Policy is intended to waive, disclaim, restrict, or eliminate any statutory or other legal right, remedy, duty, or liability that applicable law does not permit the parties to waive or limit.

If any provision conflicts with applicable law, applicable law controls to the minimum extent necessary.

23. Customer-Service Accommodations

Blue Bag may occasionally provide a voluntary customer-service accommodation greater than the amount otherwise required by this Policy. Any such accommodation:

• Does not modify this Policy;
• Does not establish a precedent;
• Does not constitute a waiver of Blue Bag’s rights; and
• Does not require Blue Bag to provide the same accommodation in another matter.

24. Severability

If any provision of this Policy is determined to be invalid, unlawful, or unenforceable by a court of competent jurisdiction, that provision will be interpreted, modified, or limited to the minimum extent legally permissible.

The remaining provisions will continue in effect to the fullest extent permitted by law.

25. Governing Law

This Policy and the applicable Blue Bag Terms of Service are governed by the laws of the State of South Carolina, without regard to conflict-of-laws principles, except where applicable law requires otherwise.

26. Customer Acknowledgment

By placing an Order with Blue Bag Laundry, the customer acknowledges that the customer has been provided access to this Laundry Protection Policy and understands and agrees that:

• Eligible Items are valued at 60% of their Established Value.
• The maximum compensation for any one individual garment or textile Item is $160.
• The maximum aggregate compensation for all eligible Items associated with one Order is $1,000.
• A laundry bag, hamper, tote, bundle, load, or other container is not an individual Item for purposes of the $160 limit.
• Claims seeking benefits under this Policy must be reported within 72 hours after the Order’s recorded delivery time.
• All eligibility requirements, exclusions, documentation requirements, claim procedures, and other provisions contained in this Policy apply.