Policies & Procedures Manual - Elizabeth City State University

400.1.21Adopted: 06/14/05ELIZABETH CITY STATE UNIVERSITYReturn of Merchandise to VendorsVendor’s PermissionNo supplies or equipment should be returned to a vendor for any reason withoutobtaining the vendor’s permission and shipping instructions.Permission for Shipping from the Purchasing OfficeDepartments desiring to return materials to a vendor should notify the Purchasing Departmentexplaining the reason for the desired return. The Purchasing Department will try to secure permissionfrom the vendor for return of the materials and will obtain shipping instructions. The PurchasingDepartment will notify Central Receiving, and Central Receiving will pick up the materials from thereturning department and ship them back to the vendor.Costs of ReturnThe return of merchandise can be for a number of reasons: in-warranty or out-of warranty repairs,incorrect or defective materials, or over shipment. Financial responsibility for the costs of returns willdepend on the reason for the return. Generally, when materials are returned as a result of an error bythe vendor or because materials are defective, freight charges and other direct costs involved are theresponsibility of the vendor; otherwise, the department for which the return is being made must bearthe cost involved.Restocking ChargeMost vendors will charge at least a 20% restocking charge when merchandise is returned as a resultof an over-purchase or where the University erred in requesting the materials. If there is a restockingcharge, the return of an item to a vendor is not economically feasible if the value of the item is lessthan $20.