This retail returns policy guide helps online sellers write clear terms that are fair to buyers and safe for the business. Start with the law, because some rights cannot be removed by a policy. Then add your own rules for everything else. Keep the words simple and put the policy where buyers can see it before they pay.
What the law already gives your buyers
In Singapore, the Lemon Law took effect on 1 September 2012. It changed the Consumer Protection (Fair Trading) Act. It covers goods that do not match what the contract promised when they were delivered. This includes goods sold online.
If a buyer reports a fault within six months of delivery, the law presumes the fault was there at delivery. You can still prove otherwise, but the burden is on you. After six months, the buyer has to show the fault existed at delivery. Food and other goods that spoil are judged against their normal shelf life.
The law does not cover damage the buyer caused, normal wear and tear, misuse, repairs the buyer did alone, or faults the buyer knew about before buying. It also does not cover a simple change of mind. Services and property are outside it too.
Sources: Ministry of Trade and Industry, "Singapore's Lemon Law takes effect on 1 September 2012" (31 August 2012); Ministry of Trade and Industry, Second Reading Speech on the Consumer Protection (Fair Trading) (Amendment) Bill (March 2012)
The remedy order you must follow
When goods are faulty, the buyer may ask you to repair or replace them. Do that first. If the request costs far more than another fix would, you may offer a different remedy, as long as it does not cause the buyer real trouble.
If repair or replacement is not possible, or it takes too long, the buyer can ask for a price cut or a refund. The buyer must give you a reasonable time to fix the problem before asking for money back. A refund may be reduced to reflect the use the buyer got from the goods.
Write this order into your policy in plain words. It shows buyers that you know the rules, and it stops many arguments before they start.
Wording you cannot use
Do not write "sold as is" or "no refunds under any condition" and expect it to remove Lemon Law rights. Sellers cannot use such terms to exclude those rights, except at auctions or competitive tenders. If an item is on sale with a known flaw, point out the flaw before the sale and record it on the invoice, the contract or the packaging.
A policy can still say "no returns for a change of mind." That is allowed, because the law gives no general right to return goods for that reason. But say it clearly and early. Buyers should never learn it after payment.
How to write the policy itself
A good policy answers six questions in short sentences. Use one short heading for each.
- What can be returned. List the items, and name any that cannot be returned, such as opened hygiene items or custom orders.
- How long buyers have. State the number of days and say if the clock starts at delivery.
- What condition is required. For a change-of-mind return, say if tags, seals or packaging must be intact.
- How to start a return. Give one email address or form, and say what to include, such as the order number and a photo of the fault.
- Who pays for shipping. Say who pays when the item is faulty and who pays when the buyer changed their mind.
- When the refund arrives. Give the method and a time frame, and keep to it.
Link the policy from the product page, the cart and the order email. The Consumers Association of Singapore (CASE) and the Competition and Consumer Commission of Singapore (CCCS) tell shoppers to read the return and refund policy on the seller's site or advertisement before they buy. Make that easy for them.
Sources: CASE and CCCS, "Advisory on Online Consumer Transactions" (2 September 2021)
Handling holiday return volume
Sales events such as 11.11, Black Friday on 24 November and the Christmas season bring more orders, and more returns follow. Plan before the rush, not during it.
Many sellers set a clear return window for holiday orders, for example a fixed last return date in January. If you do this, say so in the policy and on the order confirmation. Do not apply a new rule to orders that were placed under the old one.
Prepare three things now. First, write reply templates for the most common return reasons. Second, set aside shelf or box space for returned items, so that good stock goes back on sale fast. Third, decide who checks returns each day, so refunds are not delayed. Slow refunds lead to chargeback requests, because CASE and CCCS advise card users to raise a dispute with their bank when a seller does not fix the problem.
Keep records for every return: the order, the photos, the messages and the outcome. They protect you if a buyer disputes a decision.
Sources: CASE and CCCS, "Advisory on Online Consumer Transactions" (2 September 2021)
A short checklist before you publish
- Does the policy follow the Lemon Law order of repair or replacement first, then a price cut or refund?
- Have you removed any "as is" or "no refund ever" wording that tries to cancel legal rights?
- Is the change-of-mind rule stated clearly, with the number of days?
- Is the policy linked from the product page, the cart and the order email?
- Do your staff know how to handle a faulty item within the first six months?
This guide is general information for sellers. It is not legal advice. For a specific dispute, check the current wording of the Act or ask a lawyer.
Sources
- Ministry of Trade and Industry, "Singapore's Lemon Law takes effect on 1 September 2012" (31 August 2012)
- Ministry of Trade and Industry, Second Reading Speech on the Consumer Protection (Fair Trading) (Amendment) Bill (March 2012)
- CASE and CCCS, "Advisory on Online Consumer Transactions" (2 September 2021)