Legal Question in Business Law in New Jersey

We manufacture custom garments. We do not issue refunds on custom orders. As a one-time exception we are considering issuing a refund to one of the clients. The refund is adjusted for the costs of the materials we used to make the garment. Since issuing a refund is outside of our policy, can we put a condition on the refund? In order to receive the refund we want her to sign a release that includes the following clause (X is the customer name, Y is the name of our company): ======================================================================

By accepting the refund, Mrs. X will have no further claims against Y. Refund issued by Y will be the only compensation given to Mrs. X. By refusing to accept the refund, Mrs. X forfeits all claims against Y and will be entitled to no other compensation. ======================================================================

Is this OK?


Asked on 12/02/09, 10:22 am

1 Answer from Attorneys

John Corbett Corbett Law Firm LLC

The first sentence is adequate. The second is unnecessary because it is not binding on her in any case. You might consider stating explicitly that the refund is made as an exception to your normal policy without waiver of your right to refuse to make refunds for other transactions.

See also: http://info.corbettlaw.net/lawguru.htm

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Answered on 12/07/09, 2:55 pm


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