Part two · Let customers fund it · Chapter 7

THE RULES ON SHIPPING LATE

A federal rule covers every preorder you sell online in the US. It’s short, it’s specific, and it’s easy to follow if you write the delay email before you need it.

The FTC’s Mail, Internet, or Telephone Order Merchandise Rule was updated in 2014 to name internet orders explicitly. It applies to anything a US customer orders from you online, and it matters most for preorders: orders you’ve been paid for and can’t yet ship.

Published16 CFR Part 435; FTC, “Business Guide to the FTC’s Mail, Internet, or Telephone Order Merchandise Rule,” edited January 2025; FTC amendments effective December 8, 2014. This is an operator’s summary as of September 2026. Have counsel review your preorder terms and notices.

What the rule requires

  1. A reasonable basis for any ship date you state“Ships in March” needs a reason to believe it when you say it, such as a supplier’s confirmed production date. With no date stated, you need a reasonable basis to ship within 30 days Published. So a preorder always states a date, and you keep the evidence.
  2. The clock starts at a properly completed orderThat’s when you’ve received payment and everything you need to ship Published. If you charge nothing until shipment, ask counsel how that applies before relying on it.
  3. A delay notice as soon as you knowBefore the date passes, offer the choice to accept the delay or cancel for a full refund, at no cost to cancel, with a revised date or a statement that you don’t know one Published.
  4. Silence counts as yes only for short delaysFor a delay of 30 days or less, no reply can count as consent if the notice says so. For a longer or indefinite delay you need express consent, or the order is treated as canceled and refunded Published.
  5. Miss the revised date and you ask againA renewed notice is required, and this time silence isn’t consent Published.
  6. Refunds within seven working daysSince the 2014 amendments that includes purchases on third-party credit cards; one billing cycle applies only where you are the creditor, as with a store charge card Published.

The FTC can seek civil penalties of up to $53,088 per violation, the amount set in January 2025 and still current in September 2026 Published.

Write the delay notice on the day you open the preorder. You’ll need it on a worse day.

What this means for the cash

Three things follow for the preorder tool. Refund money has to be reachable within seven working days. A slip of more than 30 days turns silent customers into cancellations unless they agree to wait, so raise the “share who cancel” input for long delays. And every notice is a chance to keep the customer: a clear date and a specific reason keep more orders than a vague apology. Customers left waiting can also dispute the charge with their card issuer, which hurts your standing with your processor.

Other countries and some US states have their own rules; have counsel review terms for each market. For setting and keeping the delivery promise itself, see the guide on delivery promises.

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