http://www.practicalecommerce.com/articles/2793-Using-the-Return-Policy-to-Convert-Shoppers-into-Customers
Also, here is a link to another post that talks about how a 3rd party order fulfillment operation handles returns.
http://fillship.com/blog/2011/05/17/how-are-returns-handled-at-an-order-fulfillment-warehouse/
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