Sale or Return

A sales arrangement that allows buyer to return unsold or unused goods to seller.

Also called consignment sales or sale and return.

It is a common practice among retailers (as buyers) and manufacturers or wholesalers (as sellers) under which buyers pay only for the units sold and unsold goods are simply returned.

If buyer has already paid upfront for the goods received then unsold goods are returned and refund is collected at the agreed price. In this case, the title of ownership usually remains with the buyer until goods are returned if not agreed otherwise.