Returns and damaged products: what to do as an entrepreneur?

A consumer may return an online purchase free of charge and without reason within 14 days — this is a right, not a favor. If a return arrives damaged, it depends on when the damage occurred: if it was already present upon receipt, you must refund the full amount; if it was caused by careless use, you may deduct the reduction in value. Below you can read your rights and obligations regarding returns.

The foundation: a good return policy

Every entrepreneur must maintain a clear and transparent return policy that complies with legal requirements. The main rules:

• the customer may cancel the purchase within 14 days of receipt, without giving any reason;
• You refund the full purchase amount, including any shipping costs;
• You may go beyond the law (for example, a 30-day return period) — which is then enforceable — but never less than the law requires.

Handling damaged returns

The customer may try out the product to form an initial opinion. If a return arrives damaged, the determining factor is when the damage occurred:

• Damage already present upon receipt: you are responsible and must refund the full amount.
• Damage caused by improper handling after receipt: the customer is liable for the reduction in value. In this case, you are not required to refund the full amount and may charge for the reduction in value.

Please note: the customer must have been allowed to try out the product. The court ruled that a customer may even break the seal on an expensive perfume bottle to test the scent if the seller does not include testers. Although this renders the bottle unsaleable, you may not charge for that reduction in value.

If a dispute arises regarding a damaged returned product, communicate effectively and try to reach a solution together. Seek legal advice if necessary.

Frequently Asked Questions

Do I always have to refund the shipping costs for a return?

You will refund the full purchase amount, including the standard shipping costs for the outbound shipment. The costs of the return shipment may often remain with the customer, provided you have clearly stated this.

Am I allowed to deduct depreciation for a damaged return?

Only if the damage was caused by use that goes beyond what is necessary to assess the product. You may not charge for depreciation in value.

Can I use a return period shorter than 14 days?

No. You may offer a longer period, but never shorter than the statutory 14 days.

What if a customer opens a sealed product to test it?

For normal trial periods, the right of withdrawal remains in effect, and you may not charge for depreciation, as the perfume shop demonstrates. Send testers along to prevent this.

Help with returns or a dispute?

A solid return policy prevents disputes and protects you against unjustified claims. We advise you on your rights and obligations and assist in drafting a watertight return policy and in resolving disputes with customers. Also read our tips for high volume returns.

View our expertise in commercial law or schedule a no-obligation intake consultation.