Respond to disputes for not as described or defective goods or services
About disputes for not as described or defective goods or services
A dispute for defective or not-as-described merchandise refers to situations where a customer claims the goods or services received were damaged, defective, or materially different from what was described.
In these situations, you need to provide evidence showing the product or service matched its description or was not defective. Providing the correct documentation increases your chances of winning the dispute and recovering your funds.
Before you begin
You can respond to disputes from your Square Dashboard.
In a dispute involving defective, damaged, or not-as-described merchandise or services, the seller's refund policy has no bearing on the outcome of the dispute. You must address the customer’s claim about the condition of the product or service.
You can refuse returns if merchandise has been damaged by the customer beyond the claimed defect. For example, if the cardholder returned an item that didn’t match the written description but the merchandise was dirty, the seller may refuse the return or credit, stating that items must be in the same condition as when sold.
If the reason for the return is damaged or defective merchandise, you can’t refuse the return solely because the item is still in damaged or defective condition. Your argument needs to focus on whether the item was actually received in good condition or as described.
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If applicable, make sure you’ve:
Offered to repair or replace merchandise before refusing a return and confirm if the buyer accepted or refused those services;
Disclosed specific return methods and clearly communicated them to the customer; or
Verified product authenticity with your suppliers.
Dispute evidence must be legible, verifiable, in English or with a translation, and clearly linked to the disputed transaction. Audio and video evidence isn’t accepted.
Identify the dispute reason and prepare evidence
Review the reason for the dispute to determine the applicable best practices and supporting documentation that’s needed before responding.
These types of disputes generally occur for retail, electronics, home goods, or professional services businesses. If a customer claims that merchandise arrived broken, damaged, or non-functional, prepare the following documentation:
- Proof showing that the merchandise wasn’t defective when shipped.
- Quality control records confirming a pre-shipment inspection or testing.
- Product specifications showing that the product meets advertised specifications.
- If available, proof that damage to merchandise occurred after delivery due to customer misuse.
- Evidence to prove that the customer did not attempt to return the merchandise or certification that the returned merchandise has not been received.
- If a return was attempted by the customer, documentation showing why it was refused.
These types of disputes generally occur for retail, food and beverage, or professional services businesses. If a customer claims that the merchandise received doesn’t match the description provided at the time of purchase, prepare the following documentation:
- A copy of the exact product description provided at time of purchase.
- Documentation showing how the delivered product matches the description.
- Visual evidence, such as photos or specifications, showing that the product matches what was advertised.
- If available, evidence that the customer acknowledged product specifications before and after purchase.
- Evidence to prove that the customer didn’t attempt to return the merchandise or certification that the returned merchandise had not been received.
- If a return was attempted by the customer, documentation showing why it was refused.
These types of disputes generally occur for retail, eCommerce, or online marketplace businesses. If a customer claims they received counterfeit merchandise that was falsely advertised as genuine branded products, prepare the following documentation:
- Product authenticity documentation proving that the products sold are genuine.
- Supply chain verification showing products were sourced from authorized distributors.
- Brand authorization confirming your authorization to sell the branded products.
- Authentication certificates or other official documentation verifying product authenticity.
These types of disputes generally occur for health and beauty, professional services, or food and beverage businesses. If a customer claims that the services didn’t match what was promised or advertised, prepare the following documentation:
- Documentation of the exact service description provided at time of purchase.
- A post-service agreement, such as a signed contract, agreement, invoice, or work order detailing the services provided, along with customer acknowledgment confirming satisfaction with the services.
If a customer claims a replacement item was also defective or if repair attempts failed, prepared the following documentation:
- Documentation of all repair or replacement attempts.
- A complete record of all interactions and communication regarding the repair or replacement.
- A technical assessment or expert evaluation of the product condition after any repair attempts.
- Documentation showing your policy for multiple repair attempts.
If a customer claims you refused to accept return of defective merchandise, prepare the following documentation:
- Documentation of your return policy for the defective items.
- A complete record of all interactions and communication regarding the return.
- Evidence of whether a return authorization was provided or denied.
- Documentation showing what return instructions were provided to the customer.
Submit your dispute documentation
Once you’ve compiled the supported documentation for your dispute, submit them in your Square Dashboard. If applicable, provide the following information in your dispute response:
Address the customer’s claims about how the product or service differed from the description.
Evidence that the product or service was delivered as described, or not defective.
Learn how to submit your documentation and manage payment disputes.