TLDR: The law allows you to keep unsolicited merchandise that shows up at your door to protect consumers from dishonest businesses that use misleading marketing tactics, a practice known as “brushing.” The law applies in the US, Canada, and the UK. If a company requests the return of the goods, consumers may choose to return the items out of goodwill, but they are not legally obligated to do so. Regulatory agencies take the issue of unsolicited merchandise seriously, and companies that violate consumer protection laws may face penalties. Treating customers with honesty and fairness can benefit your business in the long run.
Introduction: The Curious Case of Unsolicited Packages
Imagine receiving a package on your doorstep that you didn’t order. Your initial reaction may be confusion or suspicion. Is it a mistake? Is it a scam? But what if I told you that this package is not only entirely yours to keep, but it’s also legal?
Yes, that’s right – you can keep unsolicited merchandise that shows up at your door. In this world of constant marketing, receiving an unexpected gift from a stranger may sound too good to be true, but sometimes, it’s just that simple. So sit back, relax, and let’s explore the curious case of unsolicited packages and the joys of receiving them!
The Reason Behind the Law
The reason behind the law that allows you to keep unsolicited merchandise is to protect consumers from dishonest businesses that use misleading marketing tactics. Some companies send products to customers without their consent and then demand payment, hoping the customer will simply pay the bill to avoid trouble.
“Brushing is a deceptive practice used by businesses to boost their sales numbers or ratings by sending unsolicited merchandise to customers and then demanding payment.”
This is a deceptive practice known as “brushing” and is often used to boost a seller’s ratings or sales numbers. The law gives consumers the right to keep the merchandise as a way to discourage this behavior and protect them from paying for something they didn’t order or want. So, if you receive an unexpected package, you can enjoy the gift and rest assured that you don’t have to pay for it!
Where is it Written in Law?
In the United States, the Federal Trade Commission’s “Mail or Telephone Order Merchandise Rule” states that if a consumer receives merchandise that they did not order, they have the right to keep it as a free gift.
The rule applies to merchandise that is shipped to the consumer without their request. Additionally, under the Electronic Fund Transfer Act, consumers are not liable for unauthorized electronic fund transfers, which may include charges for unordered merchandise.
- Federal Trade Commission’s “Mail or Telephone Order Merchandise Rule”: https://www.ftc.gov/tips-advice/business-center/guidance/business-guide-ftcs-mail-internet-or-telephone-order
- Electronic Fund Transfer Act: https://www.ecfr.gov/cgi-bin/retrieveECFR?gp=&SID=6d3d3e8f6f2e79616b31363738346937&mc=true&r=PART&n=pt12.1.205#se12.1.205_19
In Canada, the Canadian Radio-television and Telecommunications Commission (CRTC) enforces rules related to unsolicited telecommunications, which includes unsolicited merchandise. According to the CRTC, if a consumer receives unsolicited merchandise, they are not obligated to pay for it or return it, and they may keep it as a gift.
Canadian Radio-television and Telecommunications Commission: https://crtc.gc.ca/eng/com500/faq500.htm#unsolicited
In the UK, the Consumer Contracts Regulations state that if a consumer receives goods that they didn’t order, they have no obligation to return the goods or to pay for them. The regulations apply to goods that are unsolicited, but also to any goods that are ordered by mistake, such as if a consumer accidentally orders the wrong product or quantity.
The Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013: http://www.legislation.gov.uk/uksi/2013/3134/contents/made
It’s important to note that the laws and regulations related to brushing and unsolicited merchandise may vary by country and jurisdiction.
Now, what if the company contacts me asking for it back?
If a company wants unsolicited merchandise back, the consumer is not obligated to return it, and the company has no legal right to demand its return. The law in the United States, Canada, and the United Kingdom all state that if a consumer receives goods that they did not order, they have the right to keep the goods as a free gift.
However, it’s important to note that the law applies only to unsolicited merchandise. If a consumer receives goods that they did order but are unhappy with them or wish to return them, they may need to follow the company’s return policy and return the items in accordance with the company’s instructions.
“This now becomes a personal or policy ethical issue where though you have the legal rights to hold the merchandise, does it go against your moral code?”
In the case of unsolicited merchandise, if a company requests the return of the goods, consumers may choose to return the items out of goodwill, but they are not legally obligated to do so. If the company continues to pressure the consumer to return the items or demands payment for the items, the consumer can contact the appropriate regulatory agency in their country for assistance or seek legal advice.
Where companies crossed the line (and paid the price)
Unsolicited merchandise can be a frustrating experience for consumers, but the law in the United States, Canada, and the United Kingdom is clear: if you receive goods that you didn’t order, you have the right to keep them as a free gift. A few good examples of companies that have run afoul of these laws include:
- In 2016, the Federal Trade Commission (FTC) settled a case with UrthBox, a company that had been sending consumers snack boxes without their consent and then charging them for the boxes. The settlement required UrthBox to pay $100,000 and to notify affected customers that they could keep the merchandise and would not be charged for it.
- In Canada, in 2009, the Canadian Radio-television and Telecommunications Commission (CRTC) settled a case with Compu-Finder, a telecommunications company that had been sending unsolicited emails to consumers. The settlement required Compu-Finder to pay a penalty of $1.1 million and to cease sending unsolicited emails.
- In the United Kingdom, in 2019, AARP Services Inc. was ordered to pay a fine of £82,000 by the Information Commissioner’s Office (ICO) for sending unsolicited direct mail to UK consumers. The ICO stated that AARP had breached the Privacy and Electronic Communications Regulations and had ignored consumers’ objections to receiving direct mail.
These cases demonstrate that regulatory agencies take the issue of unsolicited merchandise seriously and are willing to take action against companies that violate consumer protection laws. If you receive unsolicited merchandise, remember that you have the legal right to keep it as a free gift and that you are not obligated to return it or pay for it.
Wrapping it up
In the end, the decision of what to do if you receive unsolicited merchandise is up to you as a business owner. However, it’s worth remembering that treating your customers with honesty and fairness is not only the right thing to do, but it can also benefit your business in the long run. As the old saying goes, what goes around comes around, and by putting positive energy into the world, you may find that your customers are more loyal and your reputation is stronger. Ultimately, by treating others as you would like to be treated, you can help create a more positive and trustworthy business environment for everyone.
The information provided is for educational and informational purposes only. Readers should consult with appropriate professionals for advice related to their specific circumstances. Any action taken based on the information in this article is at the reader’s own risk.