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Affiliate marketing legal issues - Dealing with refunds?

Posts: 5
Joined: 08 Jun 07

Affiliate marketing legal issues - Dealing with refunds?

Hi Guys

How does an affiliate marketer stand legally if he sells electronic products online.

Here is what I do not want to happen : I don't want to end up with 100 sales and 50 refunds requests, obviously the quality that includes the pricing plays a role.

But what I really mean what are the consumer rights with regards to a full or partial refund on electronic products and does it depend on where the marketer is based at...lets say for you guys " down under " :-) or for myself in rainy england ( uk ) is there a diffrence ?

Do we have to offer a refund legally...? obviously looks better on a sales page but I'd like to know the legal side of it.

Is it optional ?

Can we retain an admin charge we if do have to refund ?

If I do not sell my own product but sell lets say clickbank stuff, what happens with the refunds if the commission has already been paid to me ?

OK that's enough for now guys hope to hear from you

All the best Jaffa
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Posts: 1369
Joined: 17 Jun 06
As an affiliate marketer... you do not have to deal with refunds at all... commission junction/ the vendor / or clickbank will deal with the refunds. If the refund takes place after you get commission / check for it... I think they deduct that amount on the next check... correct me if I wrong someone.
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Posts: 59
Joined: 15 Dec 06
Yes, you have nothing to do with payments, refunds, warranties etc. All you do is to presell (introduce) the product to the consumer. After that the vendor of the product will deal with everything else.

Most of them have 30-day money back guarantees in place, so it is likely that your commission will be in "pending" status during that period. Once the commission is cleared, your money is safe.

In cases when merchants have to give a refund after the 30-day period due to the warranty issues or from any other reason, they will not ask for your commission to be paid back. You have done your part of the job and the rest is not your fault.

At least that is my experience. I've sold close to $100,000 worth of goods (almost half of them electronics) through PPC over the past 17 months and not one single time my commission was deducted after it was already cleared in my account.

There was one time though when it was cancelled during the "pending" period due to the refund.
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Posts: 1377
Joined: 16 Jun 06
Like the others have said, not your problem.

As long as you promote a decent product, refunds should not be huge. There will always be a small percentage of people who decide to get a refund, but theres not much you can do about that.
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