0370 270 6000

Getting your refund policy right

13 July 2010

The BBC has discovered that a number of high profile retail companies may be operating refund policies which are in breach of the Distance Selling Regulations. Online retailers are required to offer a refund of delivery charges for goods bought online, as well as the price of the goods themselves, when the goods are rejected and returned within 7 days of delivery. However the BBC found that a number of online retailers were not offering refunds of the delivery charges.

The Distance Selling Regulations were introduced in 2000, following EU legislation on consumer rights. They are designed to protect the rights of consumers who buy goods online, and therefore do not have a chance to inspect the goods in the shop before buying them.

Although the sums involved are individually small, this could mean an administrative headache for businesses forced to address numerous claims for a refund. It could also result in Trading Standards getting involved. Under the Enterprise Act, they have wide-ranging powers to stop breaches of consumer law, no matter how small.

Consumers are not always aware of their rights – however it is important that businesses do keep up to date with consumer rights, as stories like this can result in bad publicity, and may even prompt legal action.

Related opinions

Right to Work Checks: Changes from 6 April 2022

From 6 April 2022, right to work checks on all migrant or settled prospective employees must be online and checks on British or Irish nationals will be manual (free) or digital (charged for).

View blog

Are whistleblowers entitled to keep their employer’s confidential documents?

In Nissan v Passi, the High Court recently considered the issue of an employee retaining confidential documents belonging to his former employer in the context of the employer’s application for an injunction seeking the return of such documents from the employee.

View blog

Supreme Court awards compensation to a Professor for an invention created during his employment

A recent decision by the Supreme Court in Shanks v Unilever PLC has supported the right for employees to receive compensation for patented inventions if the invention is of ‘outstanding benefit’.

View blog

Cyber risks – are businesses really ready?

The Hiscox Cyber Readiness report, a review of 3300 organisations, will be a stark warning for CEO’s of SME’s in the UK and in Europe.

View blog

Mailing list sign up

Select which mailings you would like to receive from us.

Sign up