Good article talking about some of the issues with return policies. As a retailer I want happy customers, but I also do not want to be taken advantage of. My goal is to be fair both to my customers, and have my customers be fair to me.
I have had a few returns that were questionable, but after that happens the return policy gets tweaked a bit. I am overall happy with my Return Policy.
Why a Good Return Policy Is So Important for Retailer - Time Magazine