Most e-commerce stores should have a return or refund policy. This includes retail stores as well.
Customers must be informed about their rights to refunds. This “policy” is the page where businesses inform customers about their policy on return and refunds.
The policy is part of the 3 legal agreements your e-commerce business should have:

1. The “return and refund policy”. Use this agreement to inform users about your policy on returns and refunds.
2. The “privacy policy” agreement. This is required by law.use this agreement to inform users about your privacy practices and what kind of personal data you collect from users.

The “terms and conditions” agreement.this is optional but recommended. Use this agreement to set the rules and guidelines for users when they register an account with you.If you collect any kind of personal data from your users (e.g. Email addresses, first and last names), you’re required by law to have this agreement.you could add the return and refund policy in your terms and conditions rather than having a separate agreement on returns.

Wikipedia defines “returning” as: in retail, returning is the process of a customer taking previously purchased merchandise back to the retailer, and in turn, receiving a cash refund, exchange for another item (identical or different), or a store credit. most countries industry regulations require stores (even digital stores) to have this kind of policy.