Returns, distance selling and consumer law for online sellers

Startups selling online are subject to special rules in their relationship with consumers. These rules govern what information must be given before sale, the consumer's right to withdraw from the contract and the return process. The content below is a general frame; verify current regulation in your country and sector-specific rules with a legal advisor.

What is distance selling?

A sales relationship between seller and consumer made at a distance via communication tools (website, mobile app, phone) without meeting physically. E-commerce site sales fall within this.

Pre-contract information

Before the consumer confirms an order, they should generally clearly see:

1. The seller's name, address and contact details
2. The product's main features
3. Total price including taxes and shipping
4. Payment and delivery information
5. The existence of the right of withdrawal, its period and how to use it
6. Complaint and appeal bodies

Distance-selling contract

The contract presented to and confirmed by the consumer before ordering, alongside the pre-contract information. Adapt templates to your business model when preparing the text; see terms of use and privacy policy.

Withdrawal and returns

• Consumers can usually withdraw without giving a reason within a certain period.
• Some product groups have withdrawal exceptions (custom-made, perishable, opened hygiene-sensitive goods and so on). Confirm exceptions in regulation.
• When a return is accepted, payment must usually be refunded within a set time.

Designing the return process

1. Keep a clear, findable returns page on the site.
2. Make requests easy: one step from a form or account page.
3. State return shipping responsibility clearly.
4. State product inspection and refund timelines.
5. Record return reasons and use them to improve product and process; see feedback collection.

Delivery and liability

Delivery time and responsibility for damage and loss in shipping must be clear. Show shipping options and tracking to customers; see building an e-commerce site.

Personal data and payment

Process customer data within the legal frame; see the data protection checklist. Do not store card details yourself; use secure payment providers.

Selling abroad

If you sell to consumers in other countries, that country's consumer and tax rules may apply; see the e-export guide.

Common mistakes

• Not showing pre-contract information and contract before the confirmation step
• Hiding or leaving return terms vague on the site
• Misapplying withdrawal exceptions
• Delaying refunds and escalating complaints
• Using a standard template without adapting it to your product