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Dropshipping saves you inventory and logistics, but not the legal responsibility. You are simply the seller to the customer: consumer law, the right of withdrawal, and conformity rest with you, even if someone else delivers the product directly.
How does dropshipping work?
With dropshipping, your webshop is the shop window: you do not hold any inventory, and upon an order, the supplier delivers directly to the end customer. You focus on marketing and sales, while logistics are handled by someone else. Attractive, but the legal concerns remain with you.
You are and remain the seller
The customer enters into the purchase agreement with you, not with the supplier. Consequently, you bear all seller obligations: the duty to provide information, the right of withdrawal (the cooling-off period), the delivery period, and conformity. A defect, a delay, or a return is your responsibility, even if you have never seen the product.
Risks with suppliers outside the EU
Many dropshipping suppliers are located outside the EU. Long delivery times, defective products, and difficult returns then become your responsibility towards the customer. Import duties, VAT, and product safety can also be issues. Therefore, evaluate your supplier critically and make firm agreements.
This is how you cover yourself
Ensure you have terms and conditions tailored to dropshipping, a proper webshop with a right of withdrawal and privacy in order, and clear agreements with your supplier regarding delivery times, returns, and liability. This way, you reduce the risk of facing financial difficulties.
Frequently Asked Questions
Am I liable for the products when dropshipping?
Yes, you are the seller to the customer and responsible for conformity, delivery, and returns.
Does the right of withdrawal also apply to dropshipping?
Yes, as a consumer, your customer generally has a fourteen-day cooling-off period. You arrange this with the customer, regardless of your supplier.
What if my supplier is located outside the EU?
In that case, long delivery times, returns, and defects will be at your expense towards the customer. Make clear agreements and evaluate the supplier critically.
Is your dropshipping webshop legally in order?
Our legal experts draft general terms and conditions for dropshipping and perform a legal scan of your webshop. Schedule a free consultation.