Survey: Consumers don't fully understand legal rights when returning a product
Nearly half of consumers who attempt to return a product end up abandoning the process due to friction.
That’s according to a new survey from LegalShield, which found that 46% of consumers abandoned returns because they found the process too difficult or expensive. For those who did attempt returns, 15% were hit with unexpected restocking or shipping fees, and 13% had a return refused due to "Final Sale" terms or missing receipts.
According to LegalShield, many Americans are “unknowingly surrendering” their legal rights when returning an item due to simply not knowing them. The survey found that only 31% of consumers correctly understand that a "No Returns" sign may not legally override their right to a refund, repair or replacement if an item is defective or unsafe.
A quarter (25%) of those surveyed mistakenly believe their legal rights depend entirely on a store's internal policy, rather than consumer protection laws. Almost half (47%) of consumers believe it is never fair to be charged restocking or shipping fees if the item received was damaged, defective or not as described.
“At the start of a new year, every dollar counts and returning defective or unwanted gifts is a great way to recover some of the year-end splurge,” said Warren Schlichting, CEO of LegalShield. “Confusing policies and processes shouldn’t be a barrier to consumers getting their money back or exercising their legal rights.”
[READ MORE: FedEx: AI grows in importance for returns]
While only 8% of consumers currently contact a lawyer to resolve consumer issues, LegalShield says its survey results suggest there is an appetite for affordable assistance when trouble arises. Nearly three-quarters (74%) of respondents say they would be likely to have a lawyer review a denied warranty or refused return if they had affordable access through a subscription service.
“The most common myth is that ‘final sale’ means they have no recourse,” said Rebecca A. Carter, a LegalShield provider lawyer with Friedman, Framme & Thrush, PA. “Retailers count on consumers not knowing their rights. Proper legal guidance can cut through the noise of a store policy to enforce the consumer protection laws that actually keep your money in your pocket.”
The LegalShield Holiday Spending Survey was conducted the last week of December 2025 among 1,013 U.S. adults, ages 18–80, using a sample balanced to U.S. Census demographics.
