“Akamai Money” seeks out local experts to answer questions about business in Hawaii. If you have an issue you would like us to tackle, please email it to business@staradvertiser.com and put “Akamai Money” in the subject line.

QUESTION: As the holiday shopping season is upon us, what do shoppers need to know about a store’s return policy?

ANSWER: By law a retail store may establish one of four return policies:
» Refunds only.
» Refunds or merchandise credit only.
» Exchanges or merchandise credit only.
» No refunds, merchandise credits or exchanges.

Q: What are stores required to do to inform shoppers of their return policies?

A: Stores may set their return policies as allowed by law. However, the policies must be conspicuously posted at locations that are easy for shoppers to find and read before they make a purchase. If the store fails to post their return policies as required, Hawaii law requires that the store accept returns of goods and provide a refund to the shopper.

Q: Are stores required by law to accept returns?

A: Not necessarily. If the store has a posted policy of no refunds, merchandise credits or exchanges, then the store need not accept returns. There are also exceptions in the case of custom or specially ordered goods, clearance or sale items, holiday wear or seasonal items, provided the store posts conspicuous signs notifying shoppers of its policies on these items beforehand. Shoppers should check the store’s return policies before purchasing such items.

Q: What should shoppers do to make sure the returning process goes smoothly?

A: During this busy holiday shopping season, shoppers should take a moment to familiarize themselves with a store’s return policy to assure that any future returns go smoothly and according to the store’s posted policy. The Office of Consumer Protection also advises shoppers to always keep their receipts in the event that they need to return items at a later date.

It’s important to remember that merchandise credits are valid for a period of two years from the date of issuance. Merchants can’t charge a restocking fee for a return unless it’s a custom or special order and the policy is made known to the buyer beforehand.

Q: If a shopper is unable to resolve a dispute with a store and wants to file a complaint, how can she or he do that?

A: Shoppers wishing to file a complaint with the Office of Consumer Protection should contact the DCCA’s Consumer Resource Center at 587-4272 or visit the Office of Consumer Protection’s website at cca.hawaii.gov/ocp for more information about how to submit a complaint.

Q: How are complaints handled by the state?

A: All complaints assigned to the Office of Consumer Protection are reviewed by OCP investigators and, if necessary, forwarded to its legal staff for appropriate enforcement action.

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Interviewed by Dave Segal