Mercado Envios Full Protection Program- Colombia

1. What is FPP

The Envios Full Protection Program (“FPP”) is a benefit for Sellers who use the Envios Full service, provided they meet all the requirements detailed herein and have been notified of a confirmed damage or loss of a Good. This program allows them to recover part of the value for their lost or damaged products (“Goods”).

The FPP is not insurance for the Goods, nor does it constitute an assumption of liability by Mercado Libre for any damages.

All capitalized terms not defined in these terms shall have the meaning ascribed to them in the Mercado Envios Full Terms and Conditions.

2. Participation Requirements

Requirements to be able to be a beneficiary of the FPP in addition to the general conditions are:

Regarding the damage or loss of the Good:

  • It must have occurred after Mercado Libre received the Good at the Warehouse or after handing it over to a Carrier in the case of Full’s Pickup of Goods, and before the delivery of said Good to a Carrier for sale or to the Seller in case of home pickup;
  • It must be directly and exclusively attributable to Mercado Libre due to its intention, negligence, or bad faith;
  • It must not be a result of a fortuitous event or force majeure nor due to a breach by the Seller and/or third party for whom Mercado Libre is not liable;
  • It must not concern indirect or consequential damages (e.g., loss of earnings or loss of profit);
  • It must not concern damages solely to the packaging of the Good, nor the loss of Goods that were not properly identified by the Seller;
  • It must not concern damages to the Good caused exclusively by improper or insufficient packaging that failed to ensure safe transportation.

Regarding the Seller:

  • Be active on the Website at the time of detecting the damage or loss of a Good until the end of the analysis and potential payment process.
  • Have contracted the Mercado Envios Full Services, have stock in the warehouse (if applicable) and, with respect to the Good for corresponding to the FPP payment and comply with the Mercado Envios Full Terms and Conditions.
  • Be the owner or have full right of disposal for the Good and be the seller thereof.
  • Do not initiate any legal action (judicial, administrative or other) against Mercado Libre and/or its affiliates before, during, or after the damage or loss of a Good has been detected; or withdraw from such actions if they were initiated.
  • Make available to Mercado Libre any documents related to the Good that Mercado Libre requests (for example: purchase invoice, import documents, etc.). 

Regarding the Good:

  • It must not be prohibited by law and/or the General Terms and Conditions of the Website, its Appendices and/or other Mercado Libre, Mercado Pago, Mercado Envios or Mercado Envios Full policies.
  • In particular, it must be a Good that meets all the requirements for its reception at Full and entry into stock for sale, including but not limited to: not being a product that is prohibited for shipment to Full due to type, hazard, or volume, a product that is unidentified or poorly packaged, in bad condition, expired and/or contaminated, or not declared in the shipment to Full.

Mercado Libre will analyze and determine whether or not the aforementioned requirements are satisfied. 

3. Resolution

a) Damaged goods

For cases of damaged Goods, Mercado Libre will calculate the amount that the Seller User will receive taking into account the listing amounts of the good on the Site, less any discounts that may be applied to that amount, and also discounting the applicable selling fee by Mercado Libre and/or its affiliates

b) Lost goods

In cases in which the loss of a Good has been detected, Mercado Libre will proceed to search for it for a period of 30 (thirty) calendar days. If the Good is not found within that time frame, Mercado Libre will calculate the amount that the Seller User will receive taking into account the values of the listing of the Good on the Website, less the discounts that may be applied to that amount, and also discounting the applicable selling fee by Mercado Libre and/or its affiliates.

  • Amount to be credited:

In either situation (damage or loss), the payment method will be the crediting of the corresponding funds in the Seller’s Mercado Pago account. For more information about the calculation of this amount, please refer to “How do we calculate the amount to pay in your account under the Envios Full protection program?”

4. Effects of payment under the FPP

1) Lost goods

Completion of a payment by the FPP due to the loss of the Good will terminate any rights that the Seller may have over it and will entitle Mercado Libre, at its discretion, to consider: (a) that all rights over the damaged Good have been transferred to Mercado Libre, enabling its sale; or (b) that it has been granted a mandate and instructed to donate, recycle, or destroy the Good on behalf and under the direction of the Seller to a non-profit organization, or to destroy it at the Seller's cost and responsibility. The Seller may not demand the return of this Good.

If a lost Good is located subsequent to the FPP payment having been credited, and (i) prior to 6 (six) months having elapsed since the detection of the loss, or (ii) even after the aforementioned 6 (six) months, when the Seller User has listed other equal Goods to be sold on the Website, Mercado Libre will re-enter the Good into the stock of the Seller User of the Mercado Envios Full Service and will debit the amount that had been paid to such Seller User in a timely manner under the FPP in their Mercado Pago account.

If Mercado Libre locates the lost Good subsequent to 6 (six) months from the detection of the loss and the Seller User did not have active listings of equivalent products at the time that it is located, then Mercado Libre may consider (a) that it has been transferred the ownership rights in the found Good or (b) that it has been granted a mandate and has been instructed to donate the Good to a non-profit institution or deliver it to the corresponding authority as a lost item, or destroy it at the cost and responsibility of the Seller User, all of this at the discretion of Mercado Libre.


2) Damaged goods

Making a payment for the Mercado Envios Full Protection Program (FPP) due to damage to the Good will extinguish any right that the Seller User has over it and will entitle Mercado Libre at its option to consider (a) that all rights of the damaged Good have been transferred to it; or (b) that it has been granted a mandate and instructed to donate the Good on behalf of and at the order of the Seller User to any non-profit institution or to destroy it at the cost and responsibility of the Seller User. In this event the Seller User may not demand the return of the Good. 

In certain cases, in its sole discretion, Mercado Libre may require the Seller User to pick up the damaged Good from the Distribution Center within the period indicated by Mercado Libre, at the Seller User’s expense. In the event that the damaged Good is not picked up within the indicated timeframe, Mercado Libre will proceed in accordance with the previous paragraph. 

5. Coverage

FPP does not cover:

  • Products that were already damaged at the time of entry into the Distribution Center, or which were damaged following delivery to a third party from the Distribution Center, or that had been repaired or modified by the Seller, or a person designated by them, or that have been repaired or modified by the Seller.
  • Cases in which, at Mercado Libre's discretion, fraudulent conduct by the Seller User is verified or that infringes the Terms and Conditions of Mercado Libre, Mercado Envios, Mercado Envios Full and/or Mercado Pago. 
  • Products with damage to their primary packaging. 
  • Products that were not correctly identified and/or declared by the Seller in the Full shipment declaration. 

6. Mercado Libre does not provide insurance

FPP is not an insurance policy. It merely offers Seller Users who satisfy the aforementioned conditions and requirements, the possibility of recovering the replacement value of the affected Good.

7. Prohibitions

Seller Users may not:

  • Initiate complaints for, representing and/or on behalf of third parties;
  • Initiate complaints based on false and/or fraudulent facts or situations;
  • Engage, at the discretion of Mercado Libre, in willful or fraudulent conduct or acts to obtain coverage from the FPP, and
  • Act in complicity with other persons or users for the purpose of obtaining coverage.
  • This type of conduct will be analyzed by Mercado Libre and the infractor will not only be unable to apply to FPP but may be sanctioned with the suspension or cancelation of their account on the Mercado Libre and Mercado Pago websites and with the shut down of the Mercado Envios Service and/or the Mercado Envios Full Service.

8. Modifications

Mercado Libre may modify these conditions that govern the FPP at any time. The Seller User agrees that publication on the Website is sufficient notice for this purpose, provided that it is made at least 10 (ten) days in advance.
In turn, Mercado Libre reserves the right to discontinue, shut down, cancel, or temporarily or permanently suspend coverage without this resulting in any right to make complaints.

 

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