Who pays for refunds in a recall?
It depends on what caused it.
You pay where the cause was on your side
An allergen left off the listing. Contamination or a hygiene failure. Sending a wrong or spoiled product. An invalid, expired, suspended or cancelled FSSAI licence.
Cakesify pays where the cause was not on your side
A mistake the platform introduced into your listing. A direction from the authorities affecting a whole category or type of product. Mishandling by a delivery partner after you handed the order over.
How it is decided
On the evidence: your records, what the customer provides, any laboratory result, and any finding by the authority. We give you our reasons in writing.
There is a ceiling
Your share is never more than you were paid. It is capped at the total payout you received for the affected orders. Cakesify gives up its commission on those orders and absorbs the payment gateway charges.
In a recall nobody earns. The customer gets their money back in full, you return what you were paid, and we waive our fee.
If you are the one who reports it
You still return the payout for the affected orders, but two things change in your favour.
- Your store is not penalised for having reported it. The disclosure on its own does not affect your performance or your standing on the marketplace.
- If the amount is large, you can ask us to recover it from future payouts in instalments rather than all at once.
We do this because we would far rather hear it from you on day one than from a customer on day three.
One thing this cap does not do
It limits what you owe Cakesify. It does not limit your own responsibilities under food safety law as the person who made the food. Those sit with you regardless.
Read next
What happens during a recall? Food safety and recalls What happens to my payout if a customer gets a refund? Payments and payouts I think something I sold may be unsafe. What do I do right now? Food safety and recallsWrite to us with your Order ID and what went wrong. We reply within 1 to 2 working days. If it is a food safety matter, call your customer first and do not wait for us.
Email supportLast checked October 2026, against Seller Handbook V7. Fees, refunds and recalls are governed by the Seller Agreement.