Consumer6 min read10/23/2026

Canceling an Online Order in Israel: Will Delivery Be Refunded and Who Pays for the Return?

When canceling a distance purchase, it is important to distinguish between two amounts: the initial delivery to the buyer and the cost of sending the product back. Who bears these costs depends primarily on the reason for the cancellation—whether the buyer changed their mind or the seller breached the contract.

Numbers and facts

•14 days—the standard period for canceling a product purchase
•14 days—the period for refunding the money after notice
•5% or 100 ₪—the lower permitted fee
•4 months—the special period for certain groups of consumers
•Up to 100 ₪—possible costs for in-home installation

What Qualifies as a Distance Purchase

Distance-selling rules apply when a product or service is purchased online, by telephone, or by another method without the parties being simultaneously present—as a result of advertising or an approach by the seller. Section 14C of the Consumer Protection Law, 5741–1981 requires advance disclosure of the product’s main characteristics, the total price, the delivery arrangements, and the cancellation terms. No later than upon delivery of the product, the seller must provide a written document containing the transaction details and the method for canceling it. An ordinary purchase in a physical store is regulated differently, even if the product is subsequently delivered to the buyer’s home.

Cancellation Period: The Clock Does Not Always Start with the Order

The buyer of a product may cancel a distance transaction from the date it is concluded until 14 days after receiving the product or the document containing the mandatory information—whichever date is later. Therefore, failure to provide a proper document may delay the start of the period. The Consumer Protection Authority separately states that a product purchased remotely may be returned even after use, although the seller may raise the issue of deterioration in its condition. For a senior citizen, new immigrant, or person with a disability, the period may be 4 months if a conversation with the seller took place during the transaction, including a continuous chat.

Changed Your Mind: Delivery Is Refunded, but Return Shipping Is the Buyer’s Responsibility

The law defines the price of a product as the total amount, including delivery and other expenses borne by the buyer. Therefore, upon a valid cancellation, the initial delivery charge is included in the refunded amount and is not automatically treated as a nonrefundable service. However, the seller may deduct a fee: 5% of the price of the product or transaction, or 100 ₪—whichever is lower. If the reason is merely that the product was unsuitable or the buyer changed their mind, the buyer must arrange and pay for its return to the seller; the seller must refund the money within 14 days after receiving the cancellation notice.

Defect or Delay: The Seller Collects the Product

A different procedure applies in the event of a defect, a discrepancy with the description or order, delayed delivery, or another breach of contract by the seller. In these cases, deducting a cancellation fee is prohibited. The seller must refund the money within 14 days after receiving the notice and collect the product from the buyer’s home. Consequently, requiring the buyer to pay for postage or a courier when a breach has been established contradicts the procedure published by the Consumer Protection Authority.

Where Buyers and Stores Most Often Go Wrong

The phrase “delivery charges are nonrefundable” does not by itself override the statutory definition of the total price of a distance purchase. But the buyer may also make a mistake by sending the product back at the store’s expense merely because they changed their mind: in an ordinary cancellation, return shipping is the buyer’s responsibility. Not all products may be canceled under the general rule: exceptions include perishable goods, products made specifically for the buyer, digital information, and unsealed goods that can be recorded, copied, or reproduced. It is useful to retain the order confirmation, the document setting out the transaction terms, correspondence, photographs of the defect, and proof that the cancellation notice was sent.

FAQ

Will the cost of courier delivery be refunded when an online order is canceled?

Initial delivery is included by law in the product’s total price. Upon a valid cancellation, the seller refunds the amount paid, subject only to permitted deductions; for a cancellation not caused by a breach, this may be a fee of 5% or 100 ₪—whichever is lower.

Who pays to send the product back to the seller?

If the buyer simply changed their mind, they pay for return shipping. In the event of a defect, discrepancy, delayed delivery, or another breach, the seller must collect the product from the buyer’s home and may not charge a cancellation fee.

Can an order be canceled if the packaging has already been opened?

For products purchased remotely, use in itself does not preclude cancellation, according to the Consumer Protection Authority’s guidance. However, there are specific exceptions, particularly for unsealed goods that can be recorded, copied, or reproduced.

How should an online store be notified of cancellation?

The available methods are telephone, an oral notice in person at the place of business, registered mail, email, fax if available, and online—if the transaction could be concluded online. In practice, it is advisable to choose a method that allows the date and content of the notice to be retained.

What to do next

First, record the date on which the product and documents were received, then state the reason for cancellation in writing: an ordinary cancellation or a specific breach by the seller. Separately request a calculation of the refund, including the initial delivery charge, and clarify the arrangements for collecting the product. If the store refuses to comply with the published rules, a complaint may be submitted to the Consumer Protection and Fair Trade Authority.

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