Once a phone is activated, it cannot be returned. How does the "no-questions-asked return within seven days" apply?

📅 2023-11-22 📂 Zhiming Hot CommentsZhiming Hot Comments 🏷️ #SevenDaysNoReason #DoubleEleven #PhoneActivation #ConsumerRightsProtectionLaw

Compiled from: Qingdao Laoshan District Court, Qingdao Intermediate Court
 
Case review
Zhang purchased a mobile phone from Store B on an online shopping platform operated by Company A. On the day of receiving the phone, Zhang connected to the internet and activated it, downloading and installing a software needed for work. After installation, the software crashed and could not function properly. Zhang then contacted Store B's customer service to negotiate a return. The customer service stated that since the phone had been activated, it was considered second-hand and could not be returned unless there was a quality issue. After failing to resolve the matter, Zhang sued Company A and Store B in court, demanding a refund.

 

During the trial, a live demonstration showed that upon logging into the software on the involved mobile phone, it immediately crashed. Upon logging into the online shopping platform and entering Store B, the words "7-day no-reason return" were clearly visible on the product page. Clicking on these words led to a new page stating that consumers could apply for a "7-day no-reason return" when certain conditions were met, with custom orders not supporting this policy. At the very end of the product details for the phone (requiring scrolling through many images and manually swiping down multiple times), there was a consumer reminder in regular font: "Activated digital products without quality issues do not support 7-day no-reason returns or exchanges. Please confirm your needs before activating and using." However, it was possible to directly click into the purchase page without reading the above information, and there was no corresponding prompt before payment.
 
The court held that Store B failed to fulfill its obligation to proactively provide prompts and set up a clear confirmation procedure, constituting a defect in fulfilling its duty to inform consumers. Therefore, this standard-form clause did not apply to this sale, and Store B could not refuse a 7-day no-reason return. Company A, as the operator of the e-commerce platform, was not a party to the sales contract, did not make any commitments more favorable to consumers during the transaction, and did not harm the plaintiff's legitimate rights. The plaintiff's claims against Company A lacked legal basis, and the court did not support them. In summary, the court ruled that Store B must refund Zhang the purchase price within ten days of the judgment taking effect; Zhang must return the phone within ten days of the judgment taking effect, with shipping costs borne by Zhang. At the same time, Zhang's lawsuit against Company A was dismissed.
 
 
[1] "Law of the People's Republic of China on the Protection of Consumer Rights and Interests"
[2] Article 25
Operators selling goods via the internet, television, telephone, mail order, or similar methods, consumers have the right to return goods within seven days of receipt without providing a reason, except for the following goods:
Goods custom-made by consumers;
Fresh, perishable goods;
Digital goods such as audio-visual products and computer software that are downloaded online or unsealed by consumers;
[1] Newspapers and periodicals that have been delivered.
[4] In addition to the goods listed in the preceding paragraph, goods that, by their nature, are not suitable for return and have been confirmed as such by the consumer at the time of purchase are not subject to no-reason returns. Goods returned by the consumer must be in good condition. Business operators shall refund the purchase price paid by the consumer within seven days from the date of receiving the returned goods. The cost of shipping for returned goods shall be borne by the consumer; if otherwise agreed between the business operator and the consumer, such agreement shall prevail.
 
[2] Article 26
[2] When business operators use standard terms in their business activities, they shall prominently draw consumers' attention to content that has a significant bearing on consumers' interests, such as the quantity and quality of goods or services, price or fees, performance period and method, safety precautions and risk warnings, after-sales service, and civil liability, and shall provide explanations as requested by consumers. Business operators shall not, through standard terms, notices, declarations, in-store announcements, or other means, make provisions that exclude or limit consumers' rights, reduce or exempt the operator's responsibilities, or increase consumers' responsibilities, which are unfair or unreasonable to consumers, nor shall they use standard terms with technical means to force transactions. If standard terms, notices, declarations, in-store announcements, or the like contain the content listed in the preceding paragraph, such content shall be invalid.
 
 
[1] The author's perspective
[3] "Seven-day no-reason return" is a term familiar to many, but many people do not fully understand its specific content.
 
[4] The point of dispute in this case is whether the mobile phone falls under the four types of goods in Article 25 of the Consumer Rights Protection Law. Store B prominently marked "7-day no-reason return" at the top of the product display page for the involved mobile phone, but the prompt "Activated digital products without quality issues do not support seven-day no-reason return or exchange; please confirm your needs before activation" was placed at the very bottom of the product details. The prompt was not prominent, making it difficult for ordinary consumers to notice, and it was not content that must be reviewed before payment. Therefore, this standard term did not comply with regulations and is invalid.
 
[5] Thus, consumers should carefully distinguish whether goods are eligible for "seven-day no-reason return" when shopping online, consume rationally, and avoid return disputes. Meanwhile, merchants and online shopping platforms must set prominent reminders before payment for goods that may not be subject to "seven-day no-reason return" to reduce unnecessary consumption disputes.

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