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First aid for frequent returns: what can you do about it?

You may not exclude consumers' right of withdrawal, but you can limit many returns: where necessary, refuse a notorious return customer in advance, charge return costs, exclude certain products from the cooling-off period, check returns...

Published on January 12, 2021 by MKBjuristen.nl
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You may not exclude consumers' right of withdrawal, but you can limit many returns: where necessary, refuse a notorious return customer in advance, charge return costs, exclude certain products from the cooling-off period, strictly inspect returns, and inform customers better in advance. Below, you can read which measures are permitted and how to implement them correctly from a legal perspective.

As an online retailer, you must respect consumer rights, including the right to return products. That right drives up costs and impacts your margin and cash flow. You are not allowed to ban it completely, but you are not powerless.

May I prohibit returns?

No. The right of withdrawal is mandatory consumer law; you may not exclude it, even if the consumer were to agree to it. What you are allowed to do, however, is focus on the causes and costs of returns — and, in the extreme case, refuse a customer.

Am I allowed to refuse a customer in my online store?

Just as in a physical store, you may in principle decide for yourself with whom you enter into a purchase agreement, as long as the refusal not based on discriminatory grounds . You may therefore not refuse orders based on origin, for example. If you intervene consistently and objectively with an individual customer who crosses certain thresholds, this is permitted.

In practice, this is difficult because you must refuse a purchase before the purchase agreement is concluded. This requires you to compare order details with an internal list, presenting both technical and privacy challenges. Furthermore, notify the customer of a refusal in a timely and clear manner, for example by email after a customer has repeatedly returned items: you inform them that you will no longer serve this customer for a period (specific or indefinite). Naturally, you must properly execute pending orders. Please bear in mind that this has implications for your privacy statement and your general terms and conditions for webshops.

How do I limit returns without turning customers away?

Refusal comes across as rude and does not suit every image. There are milder ways to reduce the number of returns and costs:

  • Passing on return costs — you may charge the consumer for the costs of the return shipment, provided you clearly inform them of this in advance.
  • Excluding products from the cooling-off period — certain purchases may be excluded, such as a sealed DVD whose seal has been broken. You must also make this known in advance.
  • Separate business terms and conditions — the right of withdrawal applies only to consumers. You may use a second set of terms and conditions .
  • Strict inspection — if a product is found to have actually been used, you may charge reasonable compensation for the depreciation in value. However, this does require you to thoroughly inspect returns.

Also take a look at your own webshop

Many returns can be prevented with better information upfront. Indicate that a specific blouse runs small, provide honest and clear product descriptions , and consider a demonstration video. The better informed the customer is, the lower the chance of a return.

Frequently Asked Questions

May I charge the return costs to the customer?

Yes, provided you clearly inform the consumer about this in advance. If you fail to do so, you are in principle responsible for the return costs.

Does the right of withdrawal also apply to business customers?

No, the statutory right of withdrawal applies only to consumers. For B2B sales, you can agree on your own terms and conditions.

May I block a customer who returns too much?

You may decide, on objective and non-discriminatory grounds, not to enter into any new agreements with a customer, provided that you notify this in a timely and clear manner and complete outstanding orders.

Want to have your return policy legally reviewed?

A return policy that goes too far actually creates legal risks; a policy that is too lenient costs you money. The legal experts at MKB Juristen draft your general terms and conditions and privacy statement in such a way that you limit returns as much as possible within the rules. View our expertise in contract law or schedule a free intake consultation .

Please note: an article provides general information, but your legal situation may turn out differently.

A contract, conflict, or legal risk must always be assessed based on the facts, documents, evidentiary position, and interests. Are you in doubt? Have your situation assessed before you act.

Legal question regarding this article?

A blog provides explanation, but your situation often requires a concrete legal choice. MKB Juristen helps entrepreneurs with contracts, terms and conditions, GDPR documents, employment documents, disputes, and customized legal solutions.

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