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Why a German Seller Was Fined €23,000: The 14-Day Return Rule

In 2024, a Berlin-based electronics e-commerce store faced a €23,000 fine for including a "No returns" clause in its terms and conditions. This case became a landmark in enforcing the EU Consumer Rights Directive (2011/83), highlighting critical compliance pitfalls for sellers.

The Violation: Illegal "No Returns" Policy

Under Article 9 of the EU Consumer Rights Directive, EU consumers have an unconditional right to return goods purchased online within 14 days, no questions asked. Any attempt to restrict this right—such as stating "no returns" or requiring original packaging—is illegal.

In this case, the retailer:

  • Failed to provide a standard withdrawal form to customers.
  • Charged return shipping costs even for defective products.
  • Shortened the return window to 7 days instead of 14.

Result: A consumer association lawsuit + fines under German Civil Code (§355 BGB) + compensation to 134 affected customers.

3 Fatal Return Policy Mistakes

  1. Hiding the "Cooling-Off Period"
    Sellers must inform customers about the 14-day return right before purchase. Omitting this extends the return window to 12 months.
  2. Misleading Return Cost Terms
    For defective items, sellers cover all return costs. For voluntary returns, customers pay shipping—but this must be explicitly stated.
  3. Restricting Digital Content Returns
    Since 2023, auto-renewing subscriptions (e.g., streaming services) grant a new 14-day withdrawal right after each renewal. Ignoring this rule led to Spotify’s 2024 fine in Sweden.

How to Avoid Fines: Compliance Checklist

  • Clearly state the 14-day return window in your returns policy and order confirmation emails.
  • Embed a withdrawal form in customer accounts (GDPR-compliant).
  • For digital goods, delay access until customers explicitly confirm they’ve started using the service.
  • Update electronics disposal rules: Non-compliance with EU WEEE regulations now triggers fines up to €100,000 in Germany.


Sources: EU Consumer Rights Directive, BGH Judgment VIII ZR 178/08, ElektroG §45.


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