Order type: Warranty

Warranties are quite similar to returns. In both cases, the items of an order in status 7 will be sent back to you. In contrast to a return, customers expect a new delivery or a refund in the form of a credit note.

Guarantee vs. warranty

In contrast to a guarantee voluntarily provided by the seller, the warranty represents the legal obligation of the seller to eliminate defects and damages that already existed when the item was delivered to the customer free of charge. Depending on the characteristics of the items and the legislation that applies, customers can have a right to claim a warranty up to 2 or 3 years after the purchase of the item. If damage occurs more than 6 months after receipt of the items, the customer has to prove that they already existed upon delivery.

If the conditions for a warranty apply, you can decide whether to refund the customer’s costs or to replace the damaged item with a new one. Create a warranty to replace the damaged item. To refund the customer, create a credit note for the warranty. Go to Setup » Orders » Order types » Warranty to determine in the basic settings whether the Shipping costs should be covered.

Warranty settings

If you create a warranty directly within an order, the shipping profile of the main order is automatically adopted. However, the settings can be changed in the warranty’s editing window. For delivery orders, the correct warehouse is automatically selected as well. The payment method for a warranty can be changed.

1. Carrying out the basic settings for warranties

In the Setup » Orders » Order types » Warranty menu, you can carry out the basic settings that will be used by default for new warranties.

Carrying out the basic settings:

  1. Go to Setup » Orders » Order types » Warranty.

  2. Carry out the settings. Pay attention to the explanations given in Table 1.

  3. Save (save) the settings.

Table 1. Basic settings for warranties
Setting Explanation

Default status

Select which status should be automatically set for warranties.

Standard status for resetting outgoing items

Select which status should be automatically set for resetting outgoing items.
Select the status Last status if you do not need a specific status. This setting returns the status to what it was before outgoing items were booked.

Copy shipping costs

Select between the following options:

  • Do not copy

  • Copy from parent (linked) order

  • Copy from main (original) order

Note: We created this example to illustrate the difference between a main order and a parent order: If a return was created for an order and a credit note order was created for this return in turn, then the original order is the main order for both child orders. The return acts as the parent order for the credit note order.

2. Creating a warranty

In general, a warranty is created out of a return order. However, it is also possible to create it out of the original main order.

We recommend creating the warranty directly in the main order if the customer finds fault with the ordered items after delivery and you decide against proceeding with a return order.

If you wish to proceed with a return order to examine the damaged items, create a return order first and create the warranty in the return order.

Creating a warranty:

  1. Go to Orders » Orders.

  2. Carry out the search (search) to display orders.

  3. Open the main order or the return order for which you want to create a warranty. Note that orders can only be opened in the list view.

  4. At the top, click on Create orders (shopping_cart).

  5. Select an option. Note Table 2.

  6. In case you selected the option For specific order items, carry out the settings. Pay attention to the explanations given in Table 2.

  7. Save (save) the settings.
    → The warranty is created.

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Table 2. Settings for warranties
Setting Explanation

Status

Select a status from the drop-down list.

Owner

Select the owner from the drop-down list.

Copy shipping costs

In the drop-down list, determine if the shipping costs should be included in the warranty.

Item information

Add all open order items into the cart (playlist_add)

Adds all open order items to the shopping cart.

Item ID

Shows the item ID.

Variation ID

Shows the variation ID.

Variation no.

Shows the variation number.

Quantity

Shows the item quantity. If needed, adjust the quantity.

Remaining quantity

Shows the remaining quantity of the item.

Open quantity

Shows the open quantity of the item.

Item name

Shows the name of the item.

Net stock

Shows the net stock.

Add items to shopping cart (add_shopping_cart)

Only adds specific items to the warranty. This button is only displayed if at least 1 item is available.
Tip: If needed, adjust the item quantity in the Quantity field.

Shopping cart

Remove items from shopping cart (delete)

Removes all items from the shopping cart. If you only want to remove specific items, click on Remove item from shopping cart (delete) on the right of the respective item.

Item ID

Shows the item ID.

Variation ID

Shows the variation ID.

Quantity

Shows the item quantity. If needed, adjust the quantity.

Item name

Shows the item name. If needed, adjust the name.

3. Determining shipping costs for refunds

For child orders of the type credit note or warranty, you can define the shipping costs for customers in case of a refund. In order to determine the shipping costs, proceed as follows.

Settings for shipping cost refunds for warranties or credit notes

Define in the Setup » Orders » Settings menu whether shipping costs should be refunded retroactively for warranties and credit notes. To do so, go to the settings Include shipping costs in warranty and Include shipping costs in credit note and select Yes to refund shipping costs or No if you want the customer to pay the shipping costs.

Determining shipping costs for refunds:

  1. Go to Orders » Orders.

  2. Carry out the search (search) to display orders.

  3. Open the order for which you want to define the shipping costs. Note that orders can only be opened in the list view.

  4. Click on Create orders (shopping_cart) and select the option Warranty or Credit note > For specific order items.
    → The child order of the type Warranty or Credit note opens.

  5. In the Copy shipping costs field of the item, select the option Yes in order to apply the shipping costs.
    → The Shipping cost in € field becomes visible.
    Note: You will need to first adjust the shipping cost settings as described in this chapter.

  6. In case you want to adjust the amount of shipping costs that should be refunded for customers, enter another amount into the Shipping costs in € field.

  7. On the right, click on Add items to shopping cart (add_shopping_cart).
    → The item is added to the shopping cart.

  8. Save (save) the settings.
    → The shipping costs for the item’s refund are saved.

4. Editing a warranty

Existing warranties are displayed in the overview. Open the warranty to enter an additional price if you decide to replace the damaged item by providing the customer with a similar but more expensive one. The quantities of the items included in the warranty can be changed here as well. Proceed as described below to edit a warranty.

Editing a warranty:

  1. Go to Orders » Orders.

  2. At the top, click on Filter (tune).

  3. Select the option Warranty for the filter Order type.

  4. Click on Search (search).
    → All warranties are listed.

  5. Click on the row of the warranty that you want to edit. Note that warranties can only be opened in the list view.
    → The warranty is opened.

  6. In the Order items section, click on Edit (edit).
    → The item view is opened and you can adjust the settings.

  7. Save (save) the settings.

5. Completing a warranty

In order to complete a warranty for which an additional charge is billed for the replacement, an invoice has to be created within the warranty. In case the customer agrees to a discount on the damaged item instead of proceeding with a return order, you have to create a credit note in the original main order.

Proceed as described below to complete a warranty by replacing items.

Completing a warranty with a replacement:

  1. Go to Orders » Orders.

  2. Carry out the search (search) to display orders.

  3. On the right in the row of the warranty, click on the context menu (more_vert).

  4. Select Create document > Invoice.
    Or: Open the warranty that you want to complete. Note that warranties can only be opened in the list view.

  5. Go to the Documents section.

  6. Click on Create document (add).

  7. Select the option Invoice.
    → The window to create the invoice opens.

  8. Carry out the settings, if required.

  9. Click on Create.
    → The invoice is generated.

  10. Then, click on Book outgoing items (material:input) in the toolbar at the top.

  11. If needed, change the date of outgoing items.

  12. Click on Book.
    → Outgoing items are booked and the Status automatically changes to [7] Outgoing items booked.

  13. Then, go to the Status and tags section.

  14. Manually set the status of the warranty to status [10] Warranty.

  15. Save (save) the settings.

Booking incoming payments for warranties

Generally, incoming payments for warranties only have to be booked it an additional charge has been negotiated with the customer. In this case, book the incoming payment after the customer has made it in the Payment area of the warranty.