Legal Question in Civil Litigation in California
If a store changes its return policy, is it legal for the change to be retroactive, affecting purchases made prior to the change, when a different policy was in effect?
As an example: I purchased some items from a store that had a "100% satisfaction" return policy, which clearly states on the back of the receipt that a return can be at any time if you are unsatisfied with an item for any reason, and that with a receipt, you are entitled to a full refund. After that purchase was made, the store changed their policy, and now returns can only be made within 60 days, and they will only give store credit.
Basically I just want to know if they are obligated to uphold the policy that was in effect at the time of purchase. Or if they can legally change the terms of what is essentially a contract, after if was entered into?
Thanks for your help, Jennie.
1 Answer from Attorneys
Hi Jennie
Generally speaking, a store (or anyone for that matter) must live up to the terms of the bargain offered at the time of the transaction, unless the other party later agrees to a modification.
The situation you describe is probably unenforceable, and may be a violation of California's Unfair Competition Act and/or the Unfair Advertising Act.
If the store is a small mom-and-pop business, there is little recourse, because the cost of a lawsuit would probably way exceed the value of the claim(s). If, on the other hand, it is a large company, there may here be an opportunity for a class action.
If you would like to consult further on this matter, feel free to contact my office.
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