Refund Policy
Agent Prompt Snippet
Ensure the project has a refund policy covering eligibility criteria, refund timelines, dispute resolution, and chargeback handling.Purpose
A refund policy defines eligibility criteria, refund timelines, dispute resolution procedures, and chargeback handling workflows to set clear customer expectations and reduce disputes.
This is a Recommended document — most projects benefit significantly from having one. While not strictly essential for every situation, its absence often leads to gaps in team understanding or quality.
Key Sections to Include
- Eligibility criteria
- Refund timelines
- Dispute resolution
- Chargeback handling
Agent hint: Ensure the project has a refund policy covering eligibility criteria, refund timelines, dispute resolution, and chargeback handling.
What Makes It Good vs Bad
A strong version of this document:
- Uses clear, specific language — avoids ambiguity in obligations and rights
- Covers all relevant jurisdictions and regulatory frameworks
- Includes practical compliance checklists, not just policy statements
- Reviewed by legal counsel and updated when regulations change
- Accessible to non-lawyers — includes plain-language summaries
Warning signs of a weak version:
- Copy-pasted from another project without adapting to this context
- Missing jurisdiction-specific requirements (GDPR, CCPA, HIPAA)
- No process for tracking regulatory changes that affect the project
- Overly broad or vague terms that provide no real guidance
- Written once at project start and never revisited
Common Mistakes
- Using template legal documents without adapting them to the project’s specifics
- Not tracking changes in relevant regulations after initial compliance review
- Assuming open-source licenses are interchangeable without compatibility analysis
- Separating legal compliance from the engineering workflow
How to Use This Document
Engage legal counsel early — retrofitting compliance is far more expensive than designing for it. Create a compliance matrix mapping each requirement to specific technical controls. Use plain-language summaries alongside formal legal text so engineers can act on requirements without a law degree.
For AI agents: Reference legal documents when making decisions that affect user data, licensing, or regulatory compliance. Flag any changes that might introduce new legal obligations or compliance risks.
Starter Template
SpecBase includes a ready-to-use template for this document: kb/templates/legal/refund_policy.md.tmpl. Use the SpecBase CLI or MCP integration to generate it pre-filled for your project.
# Generate stubs via CLI
specbase init <archetype> --features <features> --dir ./docs
Recommended Reading
- Open (Source) for Business by Heather Meeker — Practical guide to open-source licensing for software businesses.
- The Software IP Detective’s Handbook by Bob Zeidman — Reference for software intellectual property analysis, licensing, and compliance.
- Information Privacy Law by Daniel J. Solove & Paul M. Schwartz — Comprehensive overview of privacy law including GDPR, CCPA, and sector-specific regulations.