CA2350551A1 - Method and apparatus for verifying product sale transactions and processing product returns - Google Patents

Abstract

A product registration system for verifying product returns. The system stores product and return policies information on purchased product in central computer system (14). Registration information on purchased products sold at terminal (2) of local retailer (6) are transferred to the retailer's local database (8). When a product is being returned an operator terminal (11) is used by a store clerk to locate pertinent sales information in the local database (8). A communication channel (12) is provided between the retailer computer system (6) and a central computer system (14) which stores product transactions and product registration data for a number of different retailer computer systems (6) and other manufacturers. Compliance with return policies are checked prior to accepting a product for return.

Description

5-~0-Q~; 9:42AM;Furman & Kallio R9a ;+~ 306 359 6956 # 7/ 09 -..,..:.. . . .. .. ... ..." .._........_ . ... ._ . .... . .
W~
WO 00/30014 PC'F/u599/36460 Nx~T~IOD AND AppAR.~TUS FoR v~~jgyI~~
PR~DLiCT 5.~.LE TRAN~.aCTiO?~~ aND pR(]CESSI~iG PRaDII~T
RETURNS
~R4SS-REFERE'tCE T4 ItLELATED .~PPL1~'~Tlanl~, This application claims priority on L'.S. provisional application Serial Nos_ b0/108.170 fled November I3, 1998 and 60/1 19.6;1 filed he~rruary 1 1.
1999, thz disclosures ofwhich are each r7er=by incorporated by reference in their er7ti~'Etv.
The present application is related to allowed, commonly-owned. and cQ-pending applicatipn Serial hios. 0$/7?~.?~9 filed October '?, 199$. and Serial No. 09/06~,~~~, #iled April 24, ) 998. each of which is hereby incorporated by reference in its entirety. This application is also related to commonly-owned and r~ co-pending application Serial No. 09/Ob~.~S? filed April 2~, 199$, the disclosure of which is also hereby incorpo~tGCl by reference in its entirety.
~ACKGRO~.1ND OF THE I~IVE~1T)l~~l 1. p'ield of the Invention 2o The present invention relates to a computer Eased system that provides a method for real time data storage and retrieval for the purpose pf verifying and validating sales transactions and product retul-n/warrant~~ repair eligibility.
i .I
Additionally, the present invention relates to an improved electronic system for registering product transactions and to a method far efficient handling of product

2~ return transactions. More particularly, the present invention relates to a~n electronic registration system which facilitates compliance with return policies and is useful in reducin; improper or fraudulent product returns under warranty.
and which provides related functionality to third parties and the lilte.

5-~0-W ; 9:42AM;Furman 8~ Kallic R9a ;+~ 306 359 6956 # 8/ 09 ,..°_, WO OO13U914 PCTlLf549126d6~

?. Related Art Product returns are a market reality faced by virtually every manufacturer, .
distributor, supplier or retailer of cammerciaI products. Unfortunately, handling product returns often requires a significant e~pcnditure of resources. For example. it may be necessary to emplow one or mare individuals to verify that product returns satisfy the requirements of a cr~mpany~s return policy. This process can be complicated due to the tact that a particular r~:ta.iler often ;.arries numerous different type of products from different manufacturers, each of which ofren has their own return and warranty policies and procedures. As a result, the personnel responsible for processinb the product return transactions at, for example. a retail store, must know or manually look-up the applicable return policies and procedures for the particular product that a person is attempting to return. This is a difficult, time~consuming, and error-prone process that often results in impr4per acceptance or rejection of product returns andlor warranty claims at the retail level. Once a product is accepted for return at the retail level, the retailer then typically returns the product to the manufacturer for credit_ However, when the retail store accepts a product return that does not comply with the manufacturers return policy, problems result between the retailer and 2o the manufacturer because the manufacturer will rrfuse or be reluctant to accept the returned product from the retailer. Moreover, significant time and expense is .;
wasted when a retailer improperly accepts products for return that do not comply with the manufacturer's return policy. Often times the imprpperly returned products are shipped to the manufacturer and then are simply returned to the zs retailer upon be rejected for return by the manufacturer. This results in .
significant wasted shipping charges and employee time in attempting to resolve such matters. This situation can also result in significant tension between the --5-~0-0~; 9:42AM;Furman 8~ Kalliv R9a ;+i 306 359 6956 # 9/ »9 C
In wp o8r~opaa PcTitrsmz6.~so

3 retailer and the manufacturer. In other words, when a returns are not properly handled at the retail level. numerous problems result for the retailer arid the manufacturer.
w Alternatively. a company might choose to avoid the increased overhead 3 associated with additional employees and be somewhat less diii~ent about verifying compliance ~.vith the return policy. However. this alternative can increase costs due to the higher number of improper product returns. Either w~.y, additional costs must either by borm by the company or passed alor:Y~ to the consumer.
ip In addition to the costs associated with verifying compliance with a retuz-n policy, even proper product returns incur additional administrative costs.
Examples of such costs include shipping and handling of the returned product, repackaging and redistribution of the returned product (if appropriate), disposal of certain returned products, arid the like. These costs must also be borne eithex Is $y the company or by the consumer in the farm of higher prices.
It is, of course, desirable to minirrxize costs associated with product returns to permit reduced prices t4 the customer and/or provide improved operating margins for the manufacturer and/or the retailer. There are two major areas in which savings may be realized: ( l ) reducing the number of improper or 2o fraudulent returns; and (2) improving efficiency end reducing overhead in handling proper returns.
Manufacturers, retailers and other vendors of consumer products often have a standard return policy. For example, a retailer return policy misht allow a consumer to return a purchased product far any reason within a certain number Z5 of days (e.g., 10 days) after purchase. Additionally, a manufacturer's warranty may permit return of defective products within a particular time period (c.~., days) afrer purchase, and provide for repairs of defective products within a 5-~0-0~; 9:42AM;Furman & Kal~io R9a ;+~ 306 359 6956 # ~0/ »9 e~
w0 00/30014 PCTlU5A9I26460 different time period (s.g., 1$0 days). Repairs of products after that date would be the responsibility of the consumer. Such return policies arc intended to ensure consumer satisfaction while protecting the manufacturer and/or the retailer from improper returns. As a result, a delicate balance must be mairnained between protection of the retailer or manufacturer and consumer satisfaction.
Unfortunately, it is often difficult to monitor product returns to ensure proper compliance with a return policy. For e~cample, a consurr~er ~.vho received a product as a gifr usually will not have a sales receipt. In such a situation, an uninforrrzed decision must often be made to accept the return or not. If the return is not accepted, the consumer might unfairly be denied a proper return, and the retailer and the manufacturer risk suffering a loss of goodwill. On the other hand, if the return is accepted, the retailer and/or the manufacturer will incur expenses or losses which might be unwarranted. Some retail~r$ seek to is r~rainimize the effect of possible improper returns by limiting a consumer to store credit (rather than a refund) or exchanges on items returned without a receipt.
This alternative, however, may be unacceptable to a consumer and does not completely eliminate the retailers' exposure to improper returns.
Difficulties associated with returns made without a receipt stern primarily ~0 from the inability of the retailer to obtain purchase information (such as sales date, lace of urchase, etc. concemin~ the indivi a P P ) 5 d aI item for whGCh a return is sought, Without such information, it is usually impossible for the retailer to determine whether the return is in compliance with the return policy.
In addition to the foregoing, fraudulent returns can cost product retailers 25 and manufacturers signifcant sums of money. As an example, upon release of the Super Nintendo Entertainment System (Super NES), Nintendo experienced a high volume of returns of basic NES hardware. When the returned products -5-~0-0~; 9:42AM;Furman & Kallio Rga ;+~ 306 359 6956 # o/~i8 C
I:.a Wo OOI300i4 ~GT/US99/2646U
were evaluated, it was discovered that a high percentas~e of the products were not defective and, in fact, were several years old. Thus, custonners were abusing the retailer's return policy to exchange old products and up~-ade to the new system.
Such abuses increase costs to the retailers and manufacturers. These cots are s often passed on to purchasers without any attendant benefit to legitimate consumers.
While companies e~eneralIy try to prevent fraudulent returns, the personnel responsible for proc~:5sing such returns do not have the suitable resources andior information needed to assure that only proper returns are accepted. This m problem is compounded when the consumer does not have a receipt because it has been lost or because the prpduct was received as a ~ifr from an4ther person.
While many of ~ese situations represent legitimate return requests. a significant percentage of such return requests arE fraudulently made by consumers.
Unscrupulous consurners have in recent years become ancreasin,~ly creative in 15 their attempts to return merchandise which does not in fact qualify for return under the purchase agreement. For example, a customer may purchase a product at a reduced price at one store and then attempt to return the product to another store for a profit. Customers have also been known to purchase a nel,,~
product and then return an older or defective product (which no longer qualifies for 20 return or warranty repair) in the new product packaging, thereby obtaining the h new product at no cost. Under current practice, retailers are at a significant .
disadvantage in connection with product return requests, because they typically do not hrsow whether a product has been purchased from tk~eir store or another store, or even how much was o~ginally paid for the product even if the product 2a was purchased at its store. Return audits have shown that a significant number of consumers use this disadvantage to their personal benefat and at the cost of the -retailer and manufacturer.

5-t0-Ot; 9:4~AM;Furman & Kallio Rga ;+t 306 359 6956 # t2/tt9 . ,..:.., WD 00!30054 PC'Tls(JS99IZ6460 In the past several years, retailers and the industry have shown renewed interest in curbing the volume of unwarranted and fraudulent product returns.
This interest is largely due to diminishing profit rnar~ins and the ~otnpetitive nature of the retailing business. Because of thin profit marlins, retailers and 3 manufacturers can no loner absorb the cost of unjustified product returns.
1r,'nless product rEturns are si~nifcantly reduced, retailers andlor manufacturers will have little choice but to pass these costs on to the consumer in the form of price increases.
Prompt and efficient handling of returns and proper enforcement of return policies helps to keep down costs while maintaining consumer confidence and satisfaction. However,, efforts to speed handling or improve enforcement lose their value ifthe expense of those efforts outweighs the accornpanyin~
benefit.
Accordingly, such efforts must be efficient tQ benefit the manufacturers, retailer and the consumer.
is Another problem confronted by retailers sterns from the fact that different manufactures may have different return policies. Far e~cample, one manufacturer may require returns to take place within 90 days of the original purchase, whereas othez-s may permit returns up to 1?0 days ot~ 180 days after the original purchase. Similarly, same manufacturers may have strict limitations on product 2b returns without original packaging ar returns of products wherein relatively minor parts (e. a instruction m a 1-anuals, cannectin~ cables, ete.) are missing.
Because of the variety of manufacturer return policies, it is of~en difficult far a ' retailer to ensure proper compliance. As a practical matter, it may be extremely difficult or even impossible to educate the retailer staff with regard to each returrZ
25 policy. This problem is compounded by the fact that manufacturers and/or retailers rnay have returns policies that vary between products. Moreover, a .
.
retailer often carries products far many different retailers. Manufacturers or 5-t0-Qt; 9:42AM;Furman & Kallio Rga ;+t 306 359 6956 # t3/tt9 ._, WO 00/3001 PCTlU599lZ6abd retailers may also have special return or warranty policies for products which are sold at reduced prices. for example. Some manufacturers rnav also only allow returns that are within a specified period of time starting from the date of shipment to the retailer, rather than from the date the product is purchased by a a consumer. In fact, in today's market it is not uncommon for a single manufacturer or retailer to have numerous different return and/or warranty policies that apply depending on the particular product and the particular conditions under which the product was purchased.
Thus, retailers may be placed in a position w3~ere improper returns are t0 inadvertently accepted or where proper returns are rejected. ,Accepting improper returns increases costs which must either be absorbed or passed on to customers in the form of higher prices or restocking fees, for example. Of course, rejecting proper returns may damage goodwill between the vendor and the customer.
Accordinbly, there is a need for a system which facilitates authorized ~5 product returns for a number of different manufacturers and/or products yet reduces the incidence of unauthorized returns. Additionally, thEre is a need for a product purchase r~~istratic~n system which minimizes costs associated with returrxs, improves retailer e~ciency in handling product returns, increases overall customer satisfaction, and provides retailers with immediate access to 20 purchase data information for products of various manufacturers. Further, them is a need far additional capabilities in connection with roduct sale ' p trtformation.
F'or example, third party warranty providers, law enforcement agencies, insurance providers, reverse logistics organizations and the like may utilize product registration inforrr;ation to verify ownership or sales data and to benefit 25 rightful owners of purchased goods.
~t is a primary object of the present invention to satisfy these needs. A
further Abject of the present invention is to enabie retaiier5 to more efficiently -5-~0-0~; 9:42AM;Furman & Kall~o Rga ;+~ 306 359 6856 # ~4~ m9 ~°a W O 0013001.1 PCT/!l599/Z6~t60 s and effectively enforce applicable product ret>srmwarranty policies. even in situations in which the person seeking the return no loner has the sales receipt-Another object of the invention to reduce fraudulent product returns, and to -protect the retailer and manufacturer from the cost and inconvenience associated a therewith. A further object of the invention, is to provide a nnetk~od and svstern available at the return location, such as a retail store check-out counter or customer service counter, which is operable to quickly and accurately verify whether the particular product sought to be returned does or does not c~ualifics for return under the applicable return criteria for that particular product, prior to 1o accepting the product for return. Another Abject of the invention is to provide the customer with useful information regarding the product even if thr product does not qualify for return, thereby improving customer satisfaction even when returns are not accepted. Yet another object of the invention is to reduce the need to return products by providing technical infor;nation regarding set-.up or l5 operation of the product to the consumer for the purpose of solving a problem the consumer is having with the product, thereby reducing the need to return products. Still another object of the Invention is to provide the store personnel with information an the pa~icuIar product being returned, which inforoalativn enables verification ofwhether.ar not the product being returned includes aI3 of ~o the original parts or components prior to accepting the product for return.
SUMMARY OF THE INVENT>t(]N
The present invention achieves these and other objects by providing an 23 electronic registration and verification system which uses individual product identification information for purchased products gathered at the point of a sales transaction and stored in one or more transaction databases. In an exampie 5-~0-0~; 9:42AM;Furman & Kallio R9a ;+1 306 359 6956 # i5/~i9 w0 OOI3001ø PCT/tJ599IZ6dbU

embodiment of the present invention, individual product identification information (such as a unique serial number) is stared in a local transaction database along with additional information includinb at least the date of the transaction. A transaction receipt such as a customer sales receipt is created and includes at least the unique product identification information and the date of the transaction. Additionally, the individual product identification information and the transaction date may be communicated to a separate location for inclusion in a Qeneral transaction database. The local transaction database may include, for example, sales made by a particular store or sales made by several affiliated 1o stores and is not necessarily co-located with the point of sale. The local transaction database may also organize tl~e data by individual manufacturer for ease of access.
The instant invention enables a store clerk or the like to obtain real-time electronic verifcation of a particular product sale transaction as well a$ the n 1a currently available return/warranty options for a particular product presented for return.
Where a serial number.is used to identify the individual product, a check digit may be used in conjunction with tlae serial number. In this way, the 'validity of the serial number may be verified and, if it is invalid, a system Z4 operator may be prompted to rc-enter the serial number. The serial number may be scanned, entered with ~ keypad, or input with any other suitable technique.
Because each manufacturer will likely utilize a different check digit algorithm, it will be necessary for the registration system to chose an algorithm which is appropriate for the particular product.
25 prior to obtaining individual product identification information, the electronic registration system may identify the type of product by evaIuatin~, for example, the product S1C~(.J number derived from a universal product code 5-i0-0~; 9:42AM;Furman & Kalliv R9a ;+~ 306 359 6956 # ~6/ 09 w v wo oor3ooja ~crrusgeixsa~o (UPC). In this example, the individual product identification informatipn is obtained only if the product is of a type for which electronic registration is deli red. .
The point of transaction information including the individr~al product ideniifica~tion information and the transaction date may be communicated for use in a general database in a number 4fdifferent ways. For instance, an elzctronic link to the location of the general database may be established or iniorrnation may be recorded and physically transferred to that location. The communications may occur periodically. on an item-bV-item basis, or otherwise.
r0 'Vvhen a customer returns a product with a receipt, a retailer may look at the sErial number vn the receipt and compare it to the returned product. If the serial numbers match and if all other return conditions for the particular product are met, the return may be acctpted. When a customer returns a product with no receipt, or a receipt that does not have a correct serial number, the retailer may 15 search the local database far sale information concerning the specific item being returned. 1';Fn4 sale information is located {far instance if another retailer sold the product), the general database may be accessed and searched for sales information, and the return handled accordingly. Additionally, if the retail clerk is unfamiliar with the applicable rett~rr~ policy, the clerk rnay submit the product 2~ for return approval to obtain the necessary information on the product and make an appropriate determmataon as to whether the return should be accepted. ~f ~a a product does not qualify for return, the invention enables the sales clerk to provide other useful information or assistance to the person seeking the return, such as operatirt$ or hook-up instructions for the product, as well as information z, on locations for warranty ar non-warranty service for the product. -In accordance with yet another aspect of the present invention, a computer system at a product return enter location obtains identifying information for a 5-~0-0~; 9:42AM;Furman & Kallio R9a ;+~ 306 359 6956 # ~7/ 09 WO 00J30Di4 PCTlUS99f2b464 product which is to be returned from a retailer to a manufacturer. In the disclosed example implementation, this identifying information is then submitted to a remote return approval campu~er system through the Internet or the like. The return approval computer system may then utilize the identifying information to determine whether the returned product satisfies applicable return criteria. If so. the product is pre-approved for return. The product return location preferably obtains identifying information for a plurality of returned products at a tune. In response to the product identifying information submitted by the product return location, the return approval location may provide a list of a 4 approved returns and unapproved returns, along with a return authorization number for a batch of approved returns. T'he product return location may then assemble the approved product returns and ship the batch tQ th,e return approval location (such as the manufacturer). Shipping costs can be saved by omitting rejected product returns from the shipment. The return approval location can t~ handle the approved product r~tuz~ns from the regional return center as a batch, thereby reducing costs.
BRIEF DESCR PTIOlV OF THE D AWINGS
20 Other objects, features, advantages and characteristics ofthe present invention will become apparent from the following detailed description of e~cemplary embodiments, when read in view of the accompanying drawings; in which:
2S FIQ~ I is a schematic block diagram illustrating an example of an overall electronic registration system which may be used itl connection with one aspect of the present invention;

5-~0-Oi; 9:42AM;Funman & Ka~l~o R9a ;+~ 306 359 6956 # ~8/ »9 ,, :a wo o4naoia ~ca'~.rs~rzda6o ~2 FIGUI~ ? is an exarttple flowchart illustrating a series of steps that rr~ay be performed at a point of sale For registering a product transaction; .
3 FIGURE 3 illustrates an e:~arnpIe transaction receipt which reffects a unique product serial nurr~ber and a transaction date;
FIGL?RE ~. illustrates an example flow chart for an electronic data interface between a product retailer and a registration center during electronic to product registration;
FIGURE 5 illustrates an example flow chart generally illustrating steps which may ire t ken in connection with product registration and return;
i5 FIGURE 6 illustrates an example of a procedure at a retailer for determining whether a product return is properly under wa1-cvnty;
FIGURE 7 schematically illustrates a typical arrangement which may be utilized in handling, product returns;
za FIGCJRE 8 is a schematic diagram illustrating components which may be used in connection with a preferred example implementation of one aspect o~thr present invention;
ZS FIGURE ~ is a data flow diagram illustrating operation of the system of .
F'IGrURE 8; : .

5-~0-0~; 9:42AM;Furman & Kalllo Rga ;+~ 306 359 6956 # i9/i~9 i~
wo uor~oot a Pc~rrt!s~mzsaso FIGURES I OA through t OH illustrate various user interface screen displays which may be used in connection with an example impl~znentation of one aspect of the present invention;
F1GURE 1 1 is a plan view of a pallet on which a pluralit~~ of returned goods is stacked for return to a manufacturer, includinY a batch return authorization label which may be placed on the pallet;
F1GLRE 1 lA further illustrates the batch return authorization label of m FIGL'RE 11:
FIGURES 12, 12A and 12B are Schematic diagrams illustrating the operation of a general registrationlreturn system in accordance with one aspect of the present invention; and 1s FIGURE 13 is a schematic dia~razn further illustrating the operation of the system of FIGURE 1?.
FIGURE 14 is an application overview illustrating various components o arid functions of a preferred implementation of the central registration computer system.
FIGI_Il~ 15 is a flow chart illustrating steps that may be taken to ensure customer protection and verification during submission of additional product zs registration information as part of a consumer post-sale product registration;

5-~0-0~; 9:42AM;Furman & Kallio R9a ;+i 306 359 8956 # 20/ 09 w WO 00130014 PCTItJS99l264b0 'i 4 FIGURES i 6A throuøh 16G are example user interface screen displays which may be used during a customer service request for return/warranty inf4rrrxation;
FICxURES 17A through 17H are example user interface screen displays S which Inay be used during a customer service request for operating instructions or hook-up information for a product: and FIGLs'R~S I8A through 13r are example user interface sc.een displays which may be used during a customer service request for vendor,~product information.
DETAILED DESCRIPTIOlY O~' PREFERRED E'~Vi~(~l~Ii~F~ITS
The present invention is described in the context of particular exemplary embodiments. However, it will be recognized by those ofordina.ry skill that 13 modificati4n, extensions and changes to the disclosed exetxlplary err~bvdiments may be made without departing from the true scope and spirit of the instant invention. In short, the following descriptions are provided by way of example only, and the present invention is not limited to the particular preferred embodiments disclosed herein.
~Ln example of one type of electronic prpduct registration systerrl that is ~
preferably used in connection with the instant invention ~is illustrated in FIB. I .
This exemplary electronic registration system is the subject of the two allowed arid commonly-owned applications identified above (09I314,02.i & 08/7?S,?59}.
Briefly, this example system includes a point of sale register ? and an associated zs bar code scanner 4. 'the register 2 is preferably connected with a local computer system 6 in any suitable manner. F'or example, the register 2 may be "hard- -5-~0-Oi; 9:42AM;Furman & Kallio R9a ;+ 0306 359 6956 # 21/i19 w C

. IJ
W O Opl30p i 4 P~'i'/[J$ 9412 bdb0 wired" to the local camputer system 6. Alternatively, the resister ? and the local computer system 6 may communicate, for example. throush modems and telephone lines_ or over radio communication channels_ Anv suitable communication channel may be used.
In certain situations (e.g., sin~Ie store retailers), it may be advanta~eaus to have the local computer system b located in proximitv to the register ?_ For large chain stores_ however_ it mar.' be advantageous to situate the local retailer computer 6 at a ce~~tra1 location with links to the registers' ac individual stores.
The particular arrangement will depend on the preferences and circumstances of 1U the specific retailer anti rraay vary- in accordance t1-rerewith.
The local retailer computer system includes an associated local database $
for storing registration information. Additionally, a Iocal printer 10 and an operator terminal I 1 may be provided_ The operator terminal may be used, for example, by a store clerk upon return of merchandise to locate pertinent sales is infonnatian in the Local database 8. The printer I0 may be used to produce hard copies of, for example, end-of day sales reports and/or the like.
In the exemplary embodiment, a communication channel 1 ~ is provided between the retailer computer system 6 grad a central computer system 14. The central re~istratian cornputex system may, for example, be an independent 1~
20 registration center computer system which electronically registers product transactions For a number of different retailers_ In other wards, the central computer system may be operated by a third-party service provider.
It is noted that the term "communication channel" or "channel" is used herein in its broadest sense, and includes any suitable techr~i9ue for passing electronic information between systems. Such suitable techniques include, for example, electronic links via modem, a-adio (inks, or even communications established by physically tran$portin~ a recording medium, such as a magnetic , ;

5-~0-0~; 9:42AM;Furman & Kallio R9a ;+~ 306 359 6956 # 22/79 d :., Vvo Ovr30o3a PCTIUS9~rx6460 1~
disk, magnetic tape or optical disk, from one system to the other. In the preferred arrangement, an electronic link may be established by modem over available commercial telephone lines. , A General r~~i$tr3tibn database 16 is associated with the central registration computer system I=I for storing trarysaction information from a plurality of retailer computer systems 6. Additionally, a printer 18 and an operator terminal ?0 may be ineludcd with the central registration computer svstem 1~. As discussed below in grease; detail, the central regisuation computer system may maintain a number of data files pertaining to individual lU retailers, manufactures and the like. "fhese data files include information applicable to the particular individual retailer, distributor, manufacturer or the Iike and xre preferably maintained I~y that particular individual or entity.
For example, a data file may contain specific return/warranty policy information applicable to that particular individual or entity.
It should be appreciated that the central computer system 14 is preferably intended to handle product registrations for a number of different manufacturers andlor other vendors. Accordingly, the general registration database may employ a structure wherein the product registrations for each parIicipating vendor is maintained in separate areas. Alternatively, separate databases tnay be 2o ernploy~d for each participating vendor. t~f course, other data structures may be employed so long as the registration center is able to properly keep track of the product transaction information. ' As illustrated in ply. I, the central registratiøn computer system 14 rnay have a number of additional communications links 12', I3", etc. for receiving information from other local computer systems. Thus, fist example, a registration center may receive information from a number of different retailers.
Additionally, the local computer system 6 may include a number of additional 5-~0-0~; 9:42AM;Furman & Kallio R9a ;+~ 306 359 6956 # 23/ »9 wo oor~op~s pCriu599r~6a6o communication channels 13, 13'. l .i", etc. for connecting with other central computer systems. Accordingly. an individual retailer can eleetranically register products with a number of different registration databa$es, if desired.
Furthermore. a number of communication channzls 1 ~, 15', 1 ~", erc. can be S provided for communications between the central registration computer 5y5tem I ~ and individual manufacturer computer systems and computer systems of third panty service providers, law enforcement agencies and/or the like. Qf cburse, a ~~eneral aece5s channel such as an interriet connection may also be made available for authorized access to the central computer system 1 ~..
i1I For convenience, the multiple communication channels in FIG. 1 are illustrated with separate lines. Tt should be noted, however, that separate lines are not necessary. For exarnple, the local computer system 6 more likely would have a single communications line. and connection with the particular central computer systern 14 would be made through a modem 6y dialing the appropriate t5 telephonE number or through an Internet connection.
Art example of the operation of the system illustrated in FIG. 1 is now described in connection with FIGS. 2y6. Referring now to FIG. 2, the electronic registration process begins when a customer brings merchandise to the register ?
for check-out. The sales clerk enters the SKU number which identifies the type 20 of product involved in the transaction (e.g., Super Nintendo Entertainment System, Nintendo Game Boy, Nintendo N64, etc.) by, for example, scanning a UPC product code included on the product packaging {block 100}. Gf course, key entry or another technique for entering the SITU number may be used.
Electronic registration might not be necessary for a substantial number of 25 small commodity products (e. g., batteries, candy, diapers, etc.) that are commonly sold by retailers. Accordingly, a check may be made, based on the =
type of product as identified by the UPC code, to determine whether this is a 5-~0-Ot; 9:42AM;Furman & Kalliv R9a ;+t 306 359 6956 # 24/ »9 WO G01304~ 4 ~~TltJ59912ød60 1$
product for which electronic re;istratiQ~ is desired (block 10~). Ifso, the store associate is prompted to enter the serial number of the individual item (block I 04).
The serial number may be entered (block I06), for example, by scanning a serial number printed on the packaginY. Alternatively, the serial number as it appears on the product may be scanned throuYrh a window in the packaging.
This alternative ensures that the individual product is identified even if it is rrtispacka$ed. Also, repaci;agin~ of returned merchandise would be simplified.
Other techniques, such as key entry, may also be used. Because the serial 1tt number is unique to each individual product, it acts as individual production identification information.
Once the serial number is entered, a check may be made to ensure that the serial number is valid (block 108). If not, control returns to block I 04, arid the sxore associate is again prompted to enter the serial number. This is repeated until a valid serial number is obtained. It may be desirable to provide store managers with the ability to override the requirement to enter a serial number in a lir~ltrd number of situations. If such an ability is given, however, the overrides should be monitored to ensure the ability is not abused. This may be done, for example, by gerierating a periodic report listing all overrides by individual managers.
Several different techniques znay be used to evaluate and verify the , validity of the serial number. Qf course, to safeguard against fraud, individual manufacturers will likely each use its own tor~~dential technique for verifying the validity ofthe serial number. Accordingly, the retailer system preferably includes the ability to select and apply an appropriate verification technique in accordance with the particular manufacturer, product line, or the like. .

5-t0-Ot; 9:42AM;Furman & Kallio Rga ;+t 306 359 6956 # 25/tt9 ' WO OOf30014 PGTILlS991'646D

In ane preferred technique, a check digit is added to the serial number.
Such a check digit technique may utilize a predetermined mathematical operation which is performed on the digits of the serial number. If the result of the predetermined mathematical operation is equal to the check di~,~it, the validity S of the serial number is verified.
An example of a check digit technique will be described in connection with an eight-digit serial number. .A predetermined mathematical operation associated with tJZ' check di'it may be to multiply the sum of the first four digits of the serial number by two (?), multiply the sum of the last four digits by th>"ee m (3), and sum the resulting products. '~'ttis may be erpressed in equation form as:
?(N~+~~+N3+Na) + 3(N5+;~1~+rh+f'Ts) where N, is the first digit of the seriat number, NZ is the second digit of the serial r5 number, and so on. ?he check digit may then be taken as the least significant digit ofthe result. Thus, for a serial number 2?312313, the result of the predetermined mathematical operation is ?*(2+~+;+1) + 3*(?+3+1+3)= 1 (+'?'7 ~3. The check digit is the least significant digit; that is the cheek digit is 3.
Accordingly, the number appearing on the product would be ?231?3133, 2o wherein the last digit is the check dibit. For serial number 1053641, the check digit is 7 [?*( 1+0+5+~) + ~*(?+6+4+1 ) - 18+39=57], and the number appearing on the product would be 105326417.
The particular mathematical operation used in connection with the check digit is not critical to the present invention. Any predetermined mathematical ~~ operation may be used to obtai>~ the check digit. Indeed, for added security, it is possible to utilize more than one check digit, wherein each check digit is -calculated by a different mathematical operation. whatever mathematical 5-~0-0~; 9:42AM;Furman & Kallio R9a ;+i 306 359 6956 # 26/W 9 wo ooisoo~ s p~rrtas~rzsdso operation is used. however, it is desirable to minimize the number of individuals with knowledbe of the specific operation to reduce the risk of false serial numbers being generated.
In a prefewed embodiment of the instant invention a serial number mask and check digit svstem may be defined by the third~party ser',rice provider for use by the individual manufacturers participating, in the electronic registration system (E1ZS). This feature provides an improved method of defining seriai numbers fbr aach Universal Product Code {~,'PC), which method improves the efficiency and accuracy of ERS systems and/or other systems in which suck i4 information is utilized. This system enables significant tlesibility for the manufacturers in assigning serial numbers, while also assuring that the serial numbers can be efficiently and aceuratelv captured during tl~e purchase transaction for use by an ERS.
In accordance with this mask system, a number of mandatory rubs ara 15 defned for use by the participating manufacturers when defining serial numbers far their products. An example set of rules is provided b~low_ 1 ) A serial number consists of three parts: Constants, numeric variables, and a check digit. The constants and check digit are optional. Only the 2o numeric variables are required.
2) Serial number constants, variables and check digit must maintain positional integrity.
3) The check digit must be at the end of the serial number.

4) The value of the check digit is calculated from one contiguous rang.
zs 5) if a UPC or item number has more than one mask, all char~oter constants must be the same for each mask and in the same position, unless a numeric constant is defined that is unique between each mask.
6) All Cdr~stants are defined with uppercase letters, orrtumbers.
7) Constants can either be characters or numbers.
8) Ali variables are defined with a Iower case "x".
9) The check digit is defined with a lower case "y".
10) Variables can only be numbers. -

5-~0-0~; 9:42AM;Furman & Kailio R9a ;+~ 306 359 6956 # 27/ »9 d wo oor3ool a PcTlt1S99l26a60 11 ) The check digit can only be a sinsle number from 0 to 9.
1?} In the event that the bar code contains more than just the serial number, the UPC code will be defined with lower case "a", and the model number will be def nEd with lower ease "b".
13) If more than one contiguous range of variables exits iz~ the mask, only one range can be used to calculate the minimum value allowed for registration.
14). The range of variables used for minimum value allowed for registration, must be in ascending order from one serial number to the next.
In this example, a mask for a serial nmnber can consist of three pans:
Constants (optional), variables (reguired), and a check digit (optional}.
Below is an example of a serial number and how it is defined in the mask.
Example serial number: h1S I'~~.5678.~

- The constants are defined as "NS" in position I and 2.
- The variables are defned as lower case "x" in positions 3 through 10.
- The check digit is defined as a Iower case "y" in position I 1.
2o Thus, the mask would Look like: NSxxxxxxxacy r A check digit algorithm may alga be used iri this embodiment as follows:
The following six arguments need to be answered to define how the check digit is calculated. Note that these arguments are only answered when a check digit is 25 placed in the mask.
Example: NS 1234567$4 -, I ) Starting position of the range used to calculate the check digit. (~} k, ?) Endinb position ofthe range used to calculate the check digit. (IO) 3) Directional as Lefr to Right, or Right to Left (R-L) When taking the example 1?34aG78, and trying to determine which numbers are 35 in an even position, and which numbers are in an odd position, this tells the algorithm which direction to start from. In this case, the direction is from right to left. Thus all odd position numbers are 8, 5, 4, and 2. All even position numbers are 7, 5, 3 and 1. _ 5-10-0~; 9:42AM;Furman & Kallio R9a ;+~ 3Q6 359 6856 # 28i »9 Wl3 04130014 ~CT'!rJ$99~6460 4) Multiplier of odd ar even positioned numbers. (3) In the example above, the multiplier chosen is 3. This is a number that can range from 1 to 9, and is set by the client (e.g. manufacturer). . ~l 53 Multiply on alt odd positions or even positions (O). Sec argument 3. In the example above, the odd position numbers are multiplied by 3. This is also decided by the client (e.g. manufacturer) .

6) l~sduce single multiplier. ~I'.1) When tnultiplyin~ the positional numbers by the multiplier 3, there are two ways that you can perform the multiplication. You can multiply the sum of all the numbers by 3, or you may want to znultipIy each number by 3, and reduce the value to a sin~Ie di~it_ See below for each technique. For our example serial i5 number, option "a" will be used.
a). 8+b+4+2=20~3=60 lViultiply Reduce 24 b). 83=24 2+4=6 6 3= 18 1 +S=9 4-3=12 1 +?-_;

'~ 3 ~ 6 (no reduction needed) 2S 6+9+3+b~24 Notice with option a, the value is 60, but with option b the value is ~7.
~Cach option wilt produce a different result. 1~ or this example serial number, option a will be used.
3o When each of the six arguments are answered, the definition is stored in the following notation: d r, 3,1O,R-L,3,O,N
3S Therefore, the value of the check digit is calculated as follows:
~ ODD POSITIONS $ + ~ + q +2 = ?0-3 = 40 ~ EVEN POSITIONS 7 + S + 3 + 1 = 16 5-~0-0~; 9:42AM;Furman & Kallio R9a ;+i 306 359 6956 # 29/ 09 SUM OF RESULTS 16 -t- Gp = 76 LAST DIGIT QF RESULT
SUBTRACTED b'ROM I0 (LE., Mod 1 ~) I 0 - 6 = 4 The cheek digit value based on the above definition would be 4.
So for the example NS I ?3.~~b784;
Mask ~ NSxxac.~cxxx,~cy r4 Check Digit AI~c~rithrn = 3,1~,R-L,~.O.'_~1 If the range for the check digit al~oritt~m contains character constants, a conversion table is used. If the range of data used to calculate the serial number does not have any alpha characters, then a conversion table does not have to be assigned. An example conversion table is as fallow:
A=l, B=2, C=3, D=4, ~=j, F=(~, G=7, H=8, I=9, J=1 Q, K~l l, L~1?, M=13, fJ=14, O=15, P=0, Q~I, R=2, $~3, T=~, U-~, ~-~~ yV=7, X=8, Y=9, Z~ 1 ~
This example corresponds to what the I_LS_ postal service uses for converting characters to numbers. This conversion table is then provided to, for example, the retailers so that the Pp5 system can Edit the data scanned prior to accepting the value. The conversion table may also be used at the location where the ERS
z5 database is located to edit the data prior to registration in the database_ This feature of the instant invention provides an advantageous method of enabling participating manufacturers to assign a serial number mask for each a UPC, while also enabling the serial numbers used to be easily captured during a product transaction for input to an electronic registration system {ERS) or the 34 like. The POS system would then have access to information which would enable it to know what mask to use for each U'FS, thereby enabling the correct 5-~0-0~; 9:42AM;Furman & Kallio Rga ;+~ 306 359 6956 # 30/~~9 ,a wo oar~o4i~ PGT/US99IZ6460 2~
serial number to be obtained and verif ed during the product purchase transaction.
In accordance with another aspect of the invention. the mask may be -defined in a manner which enables the system (ERS system, POS system, or other related system) to determine ifthe mask is a packaging mask or a product mask. A packaging mask is defined as a mask for serial numbers used onIv on packaging for products, while a product rraask is defined as a mask far serial numbers used only on actual products. One example embodiment of this future of the invention is to define certain elements (.such as certain constants) in the mask to be used only with serial numbers on product packagi,n~, and to define different constants for use only with serial numbers on actual products. Ir!
this manner, the POS or ERS systerra could determine upon reading the Serial number whether the acEual product or only the product p$~ka~ing has been scanned or otherwise obtained.
One benefit of rhis optional feature of the invention, is that fraudulent r~turrxs can be minimized or prevented_ More particularly, by using this technique the fraudulent return situation can be avoided where a person purchases a new product with new packa~in~ and then returns the new packaging with an old or different product therein for credit or refund. The ZU invention r~duc~s this type of fraud by requiring that an actual product be scanned, rather than only the packaging returned with the product. In other words the POS or ERS system could be prv~ramt~ed to recognize during a product return transaction whether only the packaging serial number has been scanned, and prevent acceptance of the return until the actual product is scanned, thereby assuring that the actual product , not just the packaging, qualifies for return.

5-~0-0~; 9:42AM;Furman 8~ Kallio Rga ;+~ 306 359 6956 # 3~/~i9 W O 0013007 d PCT/f F$99I264fi0 2~
Once the serial number is verified (blQCk 10&~, a local database may be updated with the serial number information and any other necessary or desired information (block I 10). At minimum, however, the local database should include an indication of the date on which the transaction took place. Other information might include the price paid. the store associate responsible for the sale, and the like_ The ser ial number of the individual product is printed (block 112) as p~-t of a written customer transaction r eceipt, As shown in the sample sales receipt 30 of F1G. 3. the serial number may be printed adjacent the description and to SKU number of the registered product. Thus, ix will be a simple matter to correlate serial numbers with associated products, particularly when several registered products appear an a single customtr sales receipt. Of course, addatior~al information nnay be printed as well.
The date of the transaction will typically be printed st either the beginning or the end of the sale$ receipt, but may appear anywhere on the receipt. In the example operation illustrated in FICA. 2 and the sample sales receipt of F1G.
3, the date is printed at the end of the sales receipt 30 (block I I 6). For ease of viewing, the serial number and date an the sample receipt 30 are indicated by boxes. If desired, an actual printed receipt may also have such information z0 higk~lighted, for example, by a different color ink.
'~'urning back to the example operation illustrated inn FIG. 2, after the serial number is pririced, a check is .made to determine whether sales are complete (block 114). Ordinarily, this will be based on the stare associate hitting a TOTAL button on the cash register. It sates are riot complete, control returns to =s block 100 far entry of a ShLJ number for the next product. Otherwise, sales totals are calculated and printed on the receipt along with the current date (block 5-10-01; 9:42AM;Furman & Kallio Rga ;+1 308 359 6956 # 32/i~9 B
WO OUl3D074 pGTILJS99IZ5460 2~
116). Thereafrer, the central registration computer system 14 is contacted and the general registration database I6 is updated.
It should be emphasized that the operation illustrated in FIG. ? is merely exemplary, and that the steps need not be performed in the par~icular order shown. For example, all print aperaeions and database updates can take place after sales are completed. Additionally, it is not necessary to update the databases on an item-by-item basis. Indeed, efficiency and speed in updating the Qeneral database may be increased by batcl~in~ transactibr~5 in groups of. for example, ffteen transactions.
t0 An example technique for interfaein~ the local computer system 6 to the central re~istr~,tion computer system 14 is illustrated in FIG. 4. product serial numbers are scanned or keyed in by a store associate (block 200) and stored with associated information in the local database (block ?0?) using an operation such as discussed in connection with FIG. 2. Thereafter, the local computer system i3 extracts the serial number information from the database (block 204) and batches the information in blocks of fifteen (black 206). The infiormation may also be botched by manufacture in the local corrzputer system 6. The operations represented by bloclts ~04 and ?06 are preferably performed periodically, for example, doily.
2~ Qnce the serial number inforrz~atiorz is properly botched (block 206), the local computer system 6, in this case a retailer system, dials the ~erteral registration computer system l4, to make ari electronic link to an electronic mailbox set up for that particular retailer (black 208). A separate electronic mailbox may be set up for each registration center account. The connection is 25 tested (block 210) and, if the connection is not properly established, the retailer computer system 6 rediaIs (black ? I?) until a proper connectiar~ is established.
At that point, data is transmitted (block ? 14) to the electronic mailbox.
hatching 5-~0-0i; 9:42AM;Furman & Kallic R9a ;+~ 306 359 6956 # 33/ »9 WO 00130014 F'CT/US99126460 the information increases transmission speed and, therefore. reduces data transmission times.
Data communications between the retailer system and the rc~istratiar~
cer~tcr system may use a conventional communications format. For example, the computer systems may be equipped with an E17I Translator capable of using the Standard I~0 file format established by the 1~lA. The Standard !~0 filz format is specifically desiCned to extract product registration information. A typical transrnissivn would begin with a Transaction Set Header to indicate the start of a transaction and to assign a control numbe:. This would be followed by a Be~~innin~ Segment for Product Re~istratipn which indicates the heninnin~ of a product registration transaction set and transmits identifyaz~g numbers, dates and times. The identifying numbers may include a purpose Code to identify the type of re~ista-ation (e.g., original sale or return to stock) and a Deference Number assigned by the user for the particular transaction. Next, a Name segment is I5 transmitted to identify the user by type of organization, name and identifier code.
The identifier code may indicaCe an organizational entity, a physical location, or a,n individual.
If desired, additional identifying segments such a$ are A.ddress Information segment and a Geographic Location segment may be transmitted. The address information would include, for example, a street number and name far the individual store. The geographic locaxion information would include the Gity name, a state or province code as defined by an appropriate Government asency, a postal code (e.g_, a zip code in the United States), and a country code.
Following any desired additional identifying segments, spccitic item 2S identification; information (e.g., serial numbers) may be transmitted along with a textual description of the product if desired. Information identifying the individual store that sold the particular item may be associated with the 5-~0-01; 9:42AM;Furman & Kallio Rga ;+1 306 359 6956 # 34/ 09 wo aoi~ooia PCTlUS99126~ibp information for that item. Appropriate dividers w4uld be provided to separate the information for the respective individual items. After the individual item information has been transmitted completely, a Transaction Set 'frailer sea ~rilent tray be transmitted to indicate the end of the transaction sec and provide the count of transmitted se~mcnts.
Returning now to ~'1G. ~, the registration center computer system I ~
decodes the serial number information received Irom the retailer (block, ?lb).
The decoded serial number inforznatian is preferably sorted by manufactut-er (if not already som~:d) and initially stored in a temporary database (block 218).
IU Separate temporary databases may be employed for individual manufacturers.
The serial number information is preferably encoded along with the retailer's name, the registration date, the sale date, the last date on which returns will be accepted, and the last date for warranty repairs (block ?30).
The applicable return and warranty dates may be storzd in the registration center computer system or, alternatively, could be obtained from the particular manufacturer by way of communication channels 15, 15', I5"-, ~tc. Of course, other ways of determining the appropriate dates may also be utilized. rn accordance with the preferred emboditzzent, however, the central computer systerzt has access to information providinb the manufacturers return and warranty p~ticy for each product registered, and the participating manufacturer or ether vender provides and updates this infarmatiøn for each of its product.
The individual serial numbers may next be validated using the check digit technique discussed above, and the data is transferred to the registration center's general database (block 232). Following validation of the serial numbers, an on ZS line summary report may be generated which lists all accepted and rejected serial number$ (block ?24). The valid data is then stored irl the manufacturer's national serial number database for later access as described in detail below.

5-i0-Ot; 9:42AM;Furman & Kalliv Rga ;+t 306 359 6956 # 35/tt9 WO 00!34014 PCT/LJS99/Z6460 The summary report provided in block Z24 provides a tool for zhe registration center to locate trouble spots caused, for instance, by mal functioning retailer systems or attempted fraud. Additional monitorFng reports may also be generated as desired. For example, the serial number passlfail ratio for ali s returns by a particular retailer over a given time period r~nay be reported, duplicate serial numbers may be located and listed, previously registered serial numbers may be fagged, and cross-references may be made between the registration date arid the dote the product was returned to the manufacturer.
Such reports can be used by the rc~iszration center to monitor retailer returns for 1~ possible problems or abuse. Reports may also be generated for individual manufacturers for separate monitoring or other uses.
F1G. SA and 5B illustrate in flow chart form an example purchase and return process made possible by the electronic registration system described above in accordance with the present invention. A store custc~~er fFrst picks out i5 a store product for purchase (block 300) and brings it to the check out station (block 302). The store associate then Scans the LTPC code to enter the product SKIJ number (block 304) and, if it is a product for which electronic registrati4n is sought, the store clerk is prompted to enter the unique serial number (black 3d~).
20 AhEr the store clerk scans the serial riurnber (block 308), the customer sales receipt is printed with the serial number block 3l0 and the tra ( ) nsaction ai databases are updated (block 312). The process ends if the customer is satisfied with the product (block 314). If not, however, the customer returns the product to the store (block 316).
Z5 As noted previously, if the customer presents the sales receipt at the time of a return, the store associate may compare the serial number on the product -with that on the sales receipt. The associate should compare the printed serial 5-t0-Or; 9:42AM;Furman & Kallio Rga ;+~ 306 359 6956 # 36/19 WO 00130014 ~Cr/i.IS991~6døQ
number with that on the product itself, rather than the serial number on the packaging, to guard against repackaging of an old product in a box for a recentlw purchased product. If the serial numbers match, the return is within an applicable allowable time period, and all other return qualifications are met (e.g_, na major pans are missin,~, etc.) the return mar.- be accepted, assuming that the store clerk handling the return known the applicable return policy associated with that particular product.
1-io~~~ever, if the store clerk is uncertain of the applicable allpwab(e return period, the clerk may submit the product far alectronic return verification as 10 described below.
if there is no receipt, 4r if the product serial number does not match that printed on the receipt, the store associate examines the products to ensure all return qualifications are met (block 318). if so, the store ass4ciate scans the serial number Qn the product (block 3Z0) and the retailer computer system 6 m checks the retailer database for the serial number (block 3??). A link to the registration center's serial number database may be made to search for serial numbers which do not appear in the retailer database (block 324).
Assuming the serial number information is found in either the retailer database ar the registration center database, the date of purchase Is checked to 24 see if then return has been presented within the applicable return period (e.~. 90 days) (block 3?6). Purchases within the applicable return period which meet all other manufacturer return qualifications (black 3~$) may be refunded or exchanged (block 33Q). The retailer may then return the product to the manufactures- within an applicable time period (e.g., 1 ~0 days) front the date of 25 purchase to receive credit for the return (block 332).
For products which do not mEet all manufacturer return qualifications {black 32$), but were purchased within the applicable return period (block 3?6), 5-~0-Q1; 9:42AM;Furman 8~ Kalliv Rga ;+~ 306 359 6956 # 37/ 09 WO UO13041 d PCT1fI599/Zb4b0 the consumer may be referred to an authorized repair facility far a warranty repair (block 334). Similarly, if the purchase was made outside the applicable return period (block 3?6), but within tht applicable warranty repair period (e.g., I 80 days) (block 336), the customer will be referred to an authorized repair facility For a warranty repair (:block 33~.). ~artsumers seeking to return products purchased beyond the applicable w~arrantv repair period (block 336) will be~
directed to an authorized repair facility for a non-warranty repair (block 33$).
The example return and warranty repair deadlines noted in the example of FIG. a are fairly typical for actual return policies. However, these partic~xlar deadlines are merely examples, and other appropriate deadlines may be used without departing from the invention. Because different manufactures may utilize different return and warranty deadlines, it is preferred that the deadlines applicable to a particular manufacturer be stored in the retailer computer system.
~f course, i f the applicable deadlines are encoded along with the serial number I5 information at the time of initial registration, that information should be available from the registration data without the need to again check the applicable return criteria.
FIG. 6 provides a graphic illustration of a return process which utilizes the features of an electronic re~i$tration system in accordance with the instant invention. As illustrated at the left hand portion of FIG. 6, when a customer seeks to return a product, the store associate searches the retailer's store-wide database by entering the product serial number. If the transaction is located in the store-wide database, the operator terminal 11 ~f the retailer computer system 6 displays the product description, the purchase location, and purchase date.
Additionally, the consumer's return options for the particular manufacturer (e. g., warranty repair, exchange, store credit, or cash refund) xnay be displayed.
The .
display of consumer options is particularly advantageous where electronic ' 5-~0-0~; 9:42AM;Furman ~ Kallio R9a ;+~ 306 359 6956 # 38/ »9 WO 0013001A PCTIU599I26db0 registration is used for multiple manufacturers_ By displaying the options, the need for the store clerk to retrternber or look up the options is avoided.
Also, the likelihood of the store associate making a mistake is reduced.
The right hand p~rtian of FIG. 6 illustrates a situation where the product S was purchased from a competitor retailer and, thus, does not appear in the store-wide database. After unsuccessfully- searching the store-wide database, the retailer computer system 6 dials up to search the registration center database.
The registt-atic~n center computer system 1 ~. returns the date pcrchased, the name of the retailer that sold the product, the applicable deadline for consumer returns, ~0 the applicable deadline for the retailer to return the product to the manufacturer for credit, and the applicable deadline for warranty repairs. used on this iriforrnation from the registration center, the operator terminal 11 of the retailer computer system ~ displays the product description, the purchase location and date, and available consumer options.
15 Referring now to FZ~. 7, art example of a typical arrarxgernent which z'nay be used for handling product returns is illustrated. The present invention, of oourse, is applicable to other arrangements as weld, l,n the example arrarigernerit of FIG. 7, a regional warehouse 501 operated by a large retail chain collects prbduct returns from local retail stores 503A and Sp3B. In the illustrated example, retail store 503A is located in the hlvrtheast ~lnited States and retail store 503B serves the Mid-AcIantic region; the retailer regional return center warehouse 501 is located in the South: and the manufacturer warehouse 505 is in the Pacific Northwest. Ofcourse, this example is for illustrative purposes only, and it should be appreciated that other local retail stores, regional return centers, 25 etc. would be present in an actual return network. Also, it should be understood that a product return network typically would be operated in conjunction with a -product distribution network. _ 5-~0-Q~; 9:42AM;Furman & Kallio R9a ;+~ 306 359 8958 # 39~~i9 ~, wo o4~30014 Yc't'1US99~3da60 3~
After the returned products arrive at the re~ianal warehouse 501. they are sorted by manufacturer and/or product, and are shipped from the regional warehouse ~O l to the manufacturer warehouse 505 for credit or replacement.
The manufacturer then inspects the resumed products to ensure that they comply S with necessary return conditions and. if appropriate, issues a credit or replacement product.
Each step of the foregoing example return process involves various processing and handling requirements. For example, personnel at the local retail store must first review the product for compliance with applicsbie return l0 requirements (e.g., ensure that the product is returned within the specified return period and verify that all parts have been returned), and then arran~e for shiprxient to the appropriate regional warehouse by way of a truck 507 or other suitable means of transportation.
IYmployees at the regional warEhouse must unload the products received l~ from the local retail stores, sort them by manufacturer andlor product, prepare them far shipment (e.g., place the returned products on shipping pallets), and arrange for the shipment to the ma~n~facturer. Finally, the manufactur~x must receive the retr~xned product shipment, verify that the returns are proper, repackage the returned products if appropriate, and conduct necessary Z4 bvokkeepin~ to ensure that the retailer receives proper Credit for the return. it is noted that the foregoing is not an exhaustive list of the costs and efforts associated with processing product returns by the retail stores, the regional return center warehouses, and the manufacturers.
The electronic registration system (1~RS) described above may be utilized, 25 for example, in connection with operations at the retailer regional return center warehouse 5p1 to reduce costs incurred by both the return center and the rnanufacturer. In accordance with one aspect of the present inventiøn, 5-~0-0~; 9:42AM;Furman & Kallio R9a ;+~ 306 359 6956 # 40/119 W4 00/30014 PCT/1J59912b460 $4 significant cost savings can be realized by red.ucin' or eliminating unnecessary shipping costs by makirt~ a relatively early determination whether a product return will ultimately be accepted by the manufacturer or the like. If not, the returned product need riot be handled further, thereby reducing costs.
Thus, ERS can be used to rEduce costs and inrlprove eff ciency of returns between the retailer arid manufacturer and also. as described in greater detail below, between the consumer and the ratailcr. As explained herein, the user interface as well as the operation of the ERS system is significantly diFferent in the retail/manufacturer application as compared to the consumerlretailer io application, as a result of the particular needs in each of these return situations.
It is noted that commonly owned and co-pending application Serial l~io_ 091065,55 identihcd above, includes, as ot~e example, a method and apparatus for efficiently handling product return transactions between a retailer and a manufacturer. In order to provide a complete understanding of the preferred ~5 ER5 system used in the present invention, a further description of this retailer/manufacturer returns system is described below.
In accordartee with this feature of the E1~S system, advance return authorization for shipment of returned products between the retailer and the manufacturer can be obtained for a plurality of products at one time to establish 2Q an approved product return batch. The approved hatch may be properly labeled prior to return to the manufacturer. In this way, product returns rrlay be easily and efficiently handled in batches rather than as individual units, thereby d improving efficiency and reducing costs.
Referring now to FIG. 8, an example implementation of this system 2, includes a return side portion 5? 1 and a manufacturer side porti4rl S?3 which are operable to communicate aver, for example, an Internet connection 5?5.
Briefly, -the return side porti4ri 5? 1 may include a personal computer 5210 that includes, 5-~0-0~; 9:42AM;Furman & Kalliv Rga ;+~ 306 359 6956 ~ 4i/ »9 ~~J
for example, an Intel 486 processor or higher with at least I 6 MB of RAM, a Microsoft l~Iindows 9a or Windows NT operating system. and browser software such as Net$cape Navieator 4.0 or hi~her_ The personal computer 5? 10 may p also include a modem for direct connection to an Internet provider through a dedicated telephone connection 52I?_ Alternatively, an Internet connection may be made by the personal computer ~~ I O over a corporate network.. Also. it may be possible to utilize a direct telephone link by modom between the return side portion ~~ 1 and the manufacturer side porti4n y~'3 or even a hardwired connection.
io A bar code scanner 5? 14 is provided for scannin,~ bar coded SK~~ atld, A
possibly, serial numbers for returned products. Additionally, a printer ~? 16 is provided for printing transaction records and, if desired, printed versions of return authorizations from the manufacturer. As will be discussed below in ,greater detail, manually prepared return authorization forms may be used as an IS alternative to printed return authorizations.
The manufacturer side portion 5? I includes a corrzputer system 5230 utilizing, for example, an IBM AS/40b computer and havitlg an associated data storage unit 5234 for staring an electronic product registration database. The manufacturer side computer system 5?30 is capable of commuriicatin~ with the Z4 return side portion S'~ 1 over an Internet cannection though telephone connection 5232_ As noted previously, other communication techniques between the manufacturer side portion 5?3 and the return side portion 5? I may also be utilized.
After the regional retailer return facility receives products for return to the ZS manufacturer, the return side portion 5? 1 may access the manufacturer side portion 5?~ to screen the products for compliance with return requirement$ and to obtain pre-authorization of tl-~e returns. In particular, the return side computer 5-~0-0~; 9:42AM;Furman & Kallio R9a ;+t 306 359 6956 # 42/i~9 ~_ ' ~ w0 OD130014 PCTlfJS99I26460 5? 10 connects to the manufacturer side computer x'_'30 by wav of the Internet or through other appropriate comznunicatian techniques. In the present example embodiment, the manufacturer side computer maintains a world wide web page for access by the regional return enter. Password protection may be provided to ensure only authorized retailers are able to access return pre-authorization features in accordance with the present invention,. For ~~ample, each return center location that is permitted accsss to the pre-authorization features may be assigned a location identification code and a password. In such a case. both the location identification code and the password would be required before access is t0 gz'anted to the product return screening program.
FICr. 9 is a logic flow chart far the manufacturer side computer 5130 in screening returned products and processing preJauthorization requests from the regional return center. As indicated in the top portion of FIG_ 9, the user first enters the appropriate location identification code and password. FIG. l0A
i5 illustrates a screen which znay be displayed at the return side computer to pronnpt the user to enter the location identification and password. Once this information is receiveCl by the manufacturer side computer, the password is validated at function block 5302. if desired, appropriate application maintenance procedures rnay be implemented upon validation of tkte password.
20 ~Jpon verification of the location identification code and the password, the manufacturer side computer 520 may cause a screen such as is illustrated in FIG. 101 to be displayed at the return side computer S? I 0. As shown in FIG.
10B, existing batches saved in memory at the manufacturer side computer X2;0 are listed. Existing batches are those for which return products have been Z3 scanned, but which have not yet been submitted for return authorization.
Preferably, items can only be added or deleted from a batch up to the time that the batch is submitted for return authorization. In the present exarxxple 5-~0-0~; 9:42AM;Furman & Kallio R9a ;+~ 306 359 6956 # 43/i~9 . ' WO OOI30014 PCTfLS99lZ6460 implementation of the invention. once the batch is submitted for return authorization, it will no loner be displayed on the batch status screen, but can be viewed from the F~.a Status screen described below in connection with FIG.
I OH.
S It is possible to display a number of information items on the batch status screen in addition to the batch number. For e~cample, the batch status screen shown in F1G. I 0~ displays the dace and time the batch was opened, the total number of products that haw been ~crecned fdr return validation, the number of accepted items, and the number of rejected items. Of course, additional it) information could be displayed if desired.
A number of ~prions are offered to the return center operator on the batch status screen illustrated in ~'IG. I QB. In particular, the return center operator may open an existln~ batch, create a new batch, or submit a batch to the manufacturer for return authorization. To open an existing batch, the desired xS batch may be selected in a conventional fashion by using a mouse to highlight the batch number and then clicking on the "Open hatch" button. Similarly, a highlighted batch may be submitted for return authorization by clicking the "Submit R,~," button. A new batch can be created by clicking the "New $atch"
button.
zo Preferably, a batch must be set up prior to screening returned products for return authorization. ~ependinb on user preference, the return center operator may establish a new batch for each pallet of returned products that is screened for return authorizatipn, each bill of lading, or based an the date that the products are scanned. It is not necessary to limit the number of products that can be 2a scanned far each batch.
Referring again to F'IG. 9, when the return center operator either opens an ..
existing batch or creates a new batch, control passes to function blocl' 504.
For 5-~0-0~; 9;42AM;Furman & Kalllo R9a ;+~ 306 359 6956 # 44/ 09 WO b013bb1d PCTf(lS991264$b a new batch, the manufacturer side computer ~?30 creates a batch header which includes information identifying the assigned batch number. any customer reference numbers. the return center address. the name and telephone number of a customer contact person, and the status of the batch (e.g.. product entry stage, pending approval, approved. declined. IAA assigned. etc.). A new batch nurrxber will be assisned each time "flew Batch" is selected. If an e~cistin~ batch is opened, the header information is retrie~-ed from mernvrv associated with the manufacturer side computer ~?~0_ Once a batch is opened, the system is now ready tv screen returned product. Depending on the type of product for which return authorization is sought, the return center operator selects either "SGar~ hardware" or "Scan Accessories" by clicking the appropriate button (FIG. lOB).
Referring now to FIG. l OC, to screen hardware product returns for corripliance with return criteria, the return center operator is prompted to enter 1S the Universal Product Code (UPC) number for the product, the product serial number, and a stare reference code (if desired). This informatao~a rrmy be entered by scanning bar codes on the product with wedge scanner 5214 (FIGUR>8). or alternatively by typing the information on the keyboard associated with return side computer 5210. Other appropriate techniques may be employed as well.
ZD The user may then clack the "Validate" button to instruct the manufacturer side computer 5230 to screen the product for return approval.
As shown in FIG. l OC, the Scan Hardware screen then displays the submitted information including the UPC code, the serial n;urnber, a description of the product, the date and time it was entered, and the store reference if any.
?~ Abain, other items could be displayed if desired.
Although various techniques may be used for validating the screened products for compliance with return criteria, the system preferably uses data 5-~0-0~; 9:42AM;Furman & Kallio R9a ;+~ 306 359 6956 # 45/ »9 d WO 00130014 PCT/U599lZ6460 collected by an ERS as described above. In other words, while the above description of this retailer/manufacturer return system indicates that the manufactures has a product registration database, this database may be based on information collected by the central database of rnulti-vendor ERS system as described above. Briefly. such an electronic registration system establishes a database which then may be accessed at the time of product return to determine the dam of original sale and other information pertinent to determining whether return requiremems are nr~et. It is noted that, for a return to be properly accepted by a manufacturer, the product must not only be returned by the customer to the ~0 retailer within the specified return period, but it also must be returned by the retailer to the manufacturer within this specified period. Thus, this retailer/rnanufactuxer feature of the ERS systenn is used to verify the latter.
'When the manufacturer side computer 5?3~ receives UPC and serial number information for return validation, control passes to function black 536 15 of FIG. 9. The manufacturer side computer 5230 then checks the clectrvnic registration database to ensure that the identified product meets product return criteria, and posts the scanned inforrz~ation to a batch detail f Ie. The batch detail file preferably includes the LJPC number, the serial number, an indication of product quantity, and status (e.g_, pending approval, approval good, error, or Zo approval declined). The electronic registration database may then be edited to indicate that the product identified by the UPC cede (function black 530$) and a..;
serial number (function block ~~ 10) has been screened for return.
Accordingly, E
the manufacturer side computer 5?30 can keep track of products that have already been screened to avoid multiple submissions of a single product for 25 return.
There may be a number of reasons a product will not qualify fpr return credit or replacement. For example, the warranty period nnay have expired, the 5-t0-Ot; 9:42AM;Furman & Kallio Rga ;+~ 306 359 6956 # 46/tt9 Wo Ool3ool4 ~C'~'1US991~bd6Q
serial number rnieht not have been registered, an invalid serial number m~.y have been received, the packaging may be missing, a major component of the product may be missing. or the item rnight be non-returnable as part of the conditions of .
sale. Ifthe product does not qualify for return, the return center, such as the 5 retailer regional warehouse, can retain the rejected product s-ather than ship it to the manufacturer. thereby saving the cost of freight far shippin~~ a product that does not qualify for credit.
A note is displayed across the bottotn of the screen of the Scan Hardware screen when a hardware unit does not qualify for return. The displayed message 1o is preferably for the last item scanned. if the return center operator would like to review the reason a previously scanned item did not qualify for return credit, the operator may select ''P~ctians" from the screen menu to see a list of available options. The operator may then select "R,casons" to see a description of the reason the unit was rejected. An example of a displayed xeject reason is shown if 15 FIG. 1 OD. Scanning may be resumed by pressing the ~.EscS key on the return side computer keyboard to clo$~ the menu screen. '~"he scanning process is repeated for each hardware item for which screening is sought.
Ideally, the return center pperatar stacks returnable items I I03 qualifying for return on a shipping pallet 11 O l or the like (see FICr. 1 1 ). Non-qualifying items should be stacked on a separate pallet. It will then be unnecessary for return center personnel to later sort through the products a second time t4 separate qualifying products from non-qualifying products.
. d The Scan Accessories display screen is illustrated in F1~. I OE. The return '"'' center operator i prompted to enter the quantity of the accessory that is to be 25 scanned. For example, if return authorization is to be requested far three cables, the operator will input "3" and then use the ~TA$~ button on the return side computer keyboard to advance the cursor to the UPC Number field. The 5-~0-Oy; 9:4ZAM;Furman & Kallic R9a ;+~ 306 359 8958 # 47/ »9 :., w4 oai304~a QC~'ll?S99r~64d0 IJPC number may then be scanned or entered manually on the keyboard. if a Store Reference code is used it may be entered prior to clicking the ''validate"
button.
Once pre~screenin~~ is completed for the hardware and accessories, the 3 return center operator may move back to the "$atch Status'' screen. The batch may then be submitted far return authc~rizatiun by clickins the "Submit RA"
button. Referring now to FIG. l OF, the return center operator is preferably prompted to enter the riarr~e and phone number of the person who Should be cor'tacted with information or questions conczrnin'x the return authorization request. If desired, a customer reference number (e.g., a bill of lading rtumbex, file number, invoice number, etc.) may be entered for an internal reference to identify the return authorization. If the information on the screen is not filed in ar "Cancel" is selected, the batch will not be submitted for return authorization.
~-Iowever, the batch will continue to be visible from the "Batch Status"
screen.
Referring again to FIG. 9, control Goes to function black 5313 upon submission of a return authorization request. 'First, the return center operator is asked to verify the contact information. An example of an appropriate contact verification screen for display on the return side computer 5210 is shown in I
ICi.
l OG. If the contact information is verifzed, the manufacturer side computer 52.X0 re-validates the good scans included in the submitted batch. Control then proceeds to function block 5314. If the good scans fail re-validation, control proceeds to function block 531 b, which flays the batch header with an error indication, and notifies the return center operator of the failure. Otherwise, control proceeds to function block 5318 for automated approval-Function block 5320 checks to determine whether the automated approval process was successful. if not, an e-mail message may be sent to a manufacturer's representative for the particular return center (function block 5-t0-Ot; 9:42AM;Furman & Kallio R9a ;+t 3Q6 359 6956 # 48~tt9 , .:..
WO 00130014 PGT~~gg~'~'~'0 53??). The return authori~.atiori request may then be reviewed manually to determine whether the request should be approved (function block 53?~). If the manual review shows that the request was properly rejected, the batch is flagged with an indication that the request was rejected. and the return center is notified of the rejection (function block >>?6). However, if the request is approved, control passes to function block 5.3?8 to create a return authorization nunnber and update the batch headtr to indicate the approved status. .~s indicatad in F1G.
9, control may also pass to function block X3''8 by way of function block X320 if the automated approval process is successful.
FIG. l OH illustrates an example of an R~ Status display screen which may be used to inform the return center operator of the status of a return authorization (RA) request. ~s shown, the RA Status screen lists the authorization status (e.g., pending, approved, rejected), the batch number, the customer reference number if any, the number of scans in the batch, the 5 submission date, the approval date if applicable, the RA number if applicable, and the expiration date by which the return must be completed.
Once the RA has been submitted and approved, the system may also provide the dollar value of the product that is authorized for return. This dollar value may be based on the lower of (1 ) the ,~-oss invoice price paid by the Dealer for the product, less the value of all allowances and incentives given to the dealer, or t3) the vex~d4r's net product pricing at the time of the return. In most cases, the dealer may deduct the monetary value of authorized returns from az~y ' ' existing or future vendor invoices. Additionally, the system can be configured to comply with a vendor's specific returns policy and guideline.
z~ The RA number should be placed on the products prior to shipping to the manufacturer for credit. Referring now to FIG. 1 l arid I lA, the RA number listed on the RA Status display screen may be written on an adhesive label I

5-~0-0~; 9:42AM;Furman & ISallio R9a ;+~ 306 369 6956 # 49/ 09 WO OOf300id PCTILJS~gf?~~60 supplied by the manufacturer along with the customer reference number (if applicable). Alternatively, the printer 5~ 16 (F1GUR~ 8) may be used to print labels upon receipt of a return authorization number. Such labels are preferably placed on all four sides of the shipping pallet. the pallet is shrink ~Trapp~d and shipped to the manufacturer. The pallet should be shipped immediatclv to ward against ~~piration of product return datss. Uf course, other shipping containers may be used as well.
The return authorization labels 110 provide an easy rezcrencc to personnel at the manufacturer warehouse and permit simple and efficient processing of the returned- ~ccause the returned products are received in a batch and have been pre-approved for return credit, less work is required in reviewing the returned products td verify compliance with return criteria. As a result, the resources required to process the shipment are reduced, and the mataufacturer is able to more quickly credit the return center for the returrxed products.
tS As explained above, this exemplary retailer/manufacturer returns feature of the ERS system simpIifes and improves the returns process between a retailer and a ananufacturer. The instant invention, however. is particularly advantageous when used at the consurnerlretail level to prevent acceptance of unauthorized returns to retailers by consu~rters_ This retailerlconsumer feature of ~b the instant invention will now be described in greater detail below.
Referring now to FIGS. 1?, 12A, 1'?B and 13, in accordance with one aspect of the present invention, a computer based system provides a method for real-timz data storage and retrieval for the purpose of verifying and validaung specific sales transaction data and product returr5s/warranty repair eligibility at 25 the point of sale (P4S) or retail location at which the cansurner brinSs the product for return. Sales transaction information provided by this system rrtay include SICU or UPC number, product serial rtu~nber. date of purchasE, place of I

5-~0-0~; 9:42AM;Furman & Kallio Rga ;+~ 306 359 6956 # 50/i~9 WO o0i3oota ~CTNS99r~l~ab0 "

purchase, register transaction number, payment information, return-to-vendor status, repair warranty status, authorized repair center location and phone number. estimated distance from consumer to repair location, repair prices, and any other suitable information as desired by the retailer and/or vendor.
S The sales and returns verification system illustrated in FIGS. 1?, 1?A, 1?B
and 13, preferably makes use of and incorporates pOS electronic registration technology at the point of sale register. where the product's SKL (stock keeping unit) or UPC (universal product code) is linked to the product's serial number, forming a unique identifier. Additional point of sale data (as determined by the tp retailer andlor vendor) can now be attached to this unidue identifier and stored and/or transmitted and stored in a central database For future reference. Once the connection is made between the retailer arid the vender 4r third party service provider additional services, such as credit card authorization ar check verifcatian, can be provided to the retailer.
is In operation, the FOS rrgister may capture the LTPC or SKU and the product's serial number to establish a unique identiFer. Depending on the requirements df the particular retailer ar~dlor vendor, additional data rnay b~e linked to the unique identifer and then transmitted. As explained above, the unique identifier may be determined in accQrda,nce with a mask arid associated 20 decoding information defined, far example, by the third party service provider and manufacturer.
If a transaction is paid by check or credit card, the check ar credit card identification number may trigger the system to establish a connection with the third party service provider for credit card authorization or check verification.
23 Once the POS register transaction is closed, the system stores and/or transmits and stores the unique identifier {UPC ar SKLt and Serial Number) along with the paint of sale data as determined by the retailer and/or vendor. ;

5-~0-0~; 9:42AM;Furman & Kallio Rga ;+~ 306 359 6956 # 5~/ »9 .
w0 001300 4 PCTN5991~d4~p The third party service provider acts as a central registration computer system (see, e.g.. F'ig. 1 ) and facilitates the link with the retailer.
Credit card authorization ar check verification data may be prac:essed directly or through an approved financial institution. The financial institutian/third party service 5 provider returns a credit card authorization or check approval number.
The unique identifier {e.g.. SKU or UPC and the product's serial number) alon_ with the date of purchase and any additional data linked to it is stored m a central database for future access. The central database preferably physically resides with the third party service provider. Alternatively. applicable portions 10 of the central database can reside with the respective vendors as explained above.
When a consumer returns a product to the retailer, the stare associate scans ar otherwise inters the product's UPC or SKU, the product's serial number and, preferably, the customer's zip code. The system transmits this information 13 to the third party service provider {or manufacturer) where certain data resides irl a central database from the initial POS transaction arid electronic registration as explained above.
The information is pz~ocessed in accordance with the retailer and marxufacturer's returns policy terms and conditions (each retail~x and 20 manufacturer is preferably responsible for updating its own returns policy and product warranties via a remote log in password). The manufacturer's warranty repair policy is also taken into account, as well as repair localities, including the E
repair center's address, phone number, approximate repair charges, etc. The system can also accommodate multiple (different) returns policies and repair Z~ warranties for the same manufacturer. This feature will help to satisfy contractual agreements for specific retailer customers.

5-~0-0~; 9:42AM;Furman & Kallio Rga ;+~ 308 359 6958 # 52/ »9 ' ~ WO 00/300I4 QcTlU5991264b0 P~dditional POS information (form of payment, price, etc.) as determined by the retailer and manufacturer may also be stored and linked to this product and/or sales transaction. In some instances, where the msnufactu~er has more A
strinpEnt returns policies, the manufacturer rna;' populate and store the product serial numbers at the time when products are shipped (sell-in) to the retailer.
When the product is sold by the retailer (sell-through) the serial number is retransmitted and the records updated at the third party's database. This feature allows the manufacturer to track specii~:: products with unique warranties andlor returns privileges.
1U Once the information is processed. it is transmitted back to the retailer (along with a transaction record number I~.A.) and presented in the form of an on-screen menu options) with predetermined (canned) te:.rt message(s). '~"he retailer associate and/or the cu$tomer select the most appropriate option (repair, returnlrefunc~ or returnlexchan$e, etc.). rf the customer seleots the x5 returnlexchange option, the system prompts the store associate to scan the replacement product's serial number. A hard copy, in the #~orm of a receipt or an expanded version, detailing the transaction {repair information, etc.) may be printed for the customer as well as far the retailer's material move records.
~'he transaction may then~b~ closed and the final information (customer ZO selection) is retransmitted, linked to the product record and stored for future use by the manufacturer, retailer, and or third party service provider. The system ~._.
updates the original records according to which option the consumer exercised.
If the repair option was selected the system voids the R.A. transaction number.
In case of a returnlexchange transaction the system updates the record with the 25 replacement product serial number. It is note that with most manufacturers, the replacement product's warranty expiration date coincides with the ox-igi~al warranty expiration date-5-~0-0~; 9:42AM;Furman 8~ Kallio R9a ;+~ 3Q6 359 6956 # 53/ 09 ' WO 00130b~~ PC'1'lLlS99I26460 Referring to Figure 1?, a third party service provider 1001 operates a central registration computer system for the benefit of a number of retailers and vendors 1005. The use of an independent service provider 1001 may be beneficial in encouraging retailers and vendors to utilize the transaction registration services- In addition to the retailers 1003 and vendors 1005, a number of oxher users 14(77 n~a~ access the thirst party service provider system through, for example, a modern or Internet connection, by way of a toll free telephone number, or other appropriate means. These other users 1007 may include, for example, law enforcement aycncies, lass prevention and insurance r Q groups, third party reverse logistics providers, third party warranty providers, third party groups that provide sell through reporting, authorized service centers and others. In other words, the information stored by third party service provider can be used for other applications in addition to the validation of returns.
'Law enforcement agencies rx~ay, far example, access the central database to locate information regarding recovered stolen property. Thus, the rightful owner of a recovered property may be readily located. Additionally, locating the rightful owner may provide law enforcement agencies with leads to assist criminal investigations by, for example, helping determine the location from which stolen goods originated. Similarly, insurance carriers and lass prevez~tian broups may be given access to the database to verify sales information and help guard against fraudulent claims.
Customer information such as name, area code and the like is typically not gathered at point of sale. Accordingly, a vendor may include a registration card ?~ with the product which may k~e filled in by the customer and forwarded to the vendor or the third party service provider. 'The information from the product registration card may then be appended to the transaction record to provide 15 10/05/2001 11:59 ~+1 306 359 6956 received Resend 5-~0-0~;~0:07AM;Furman & Kallio R9a ;+~ 3Q6 359 8958 # 54/ »9 W 4 04l3DOi 4 PCTIi35991Z6460 4$
corresponding customer information. Of course, in Lieu of a mail-in product registration card, it is also possible tv permit on-line registration, telephone registration. or other available forms of registration. Of course, any such farm of .
registration should require a su~cient indication of information that can be used to verify that the transaction is bcin~ registered to a rightful purchaser.
FI~'rLJR.E 15 schematically illustrates a process that rnay be used for on-line consumer post-sale registration. To ensure that the past-sale registration is bein,~ made by a proper customer, the process does through an initial validation i0 stage to verify iW ormatian that would be l;.nown to a proper customer and which is already available to the central registration system by virtue of the previous POS registration. For example, the consumer may be prompted to inter the bz~and name of the product (step I ~Q I ), the stare at which the product was purchased (step 150'), the purchase date (step i50~), the product serial number (step 1504), and the product description (step I 505). Correct responses to these inquiries permit the user to proceed to the second stage of the past-sale rebistration wherein the consumers name, address, phone number and other suitable information is obtained and stored with a link to the product information. Qf course, adequate steps should be taken to ensure consumer privacy.
As shown in FIG. 1?, at the point of sale (FOS), th.e retailer may transmit applicable information to the third party service provider 1001 to be included In a rr~ulti-vendor datalaase 1009. If desired, the central registration computer system may include a database i pl 1 For use in verifying credit card or check 2S transactions. Ifthis capability is used, the third party service provider may return a credit card or check approval number at the time of the sale. _ Resend 5-~0-0~;~0:07AM;Furman 8~ Kallio R9a ;+~ 306 359 6956 # 55/ »9 I
W O 1~01300i 4 PCTlIlS99126460 Additiorxally, a database 1013 may be provided for information pertaining to the return policies of particular retailers and vendors.
The system permits customer service requests (CSR.) upon receipt of applicable information such as a ~,'PC number, serial number, or customer zip code. In response to a CSR, the third party service provider will return pertinent information such as the purchase lots, return status in view of the applicable return policies; a return authorization number if appropriate. warrantylrepair information such as a list of authorized repair centers, or other information.
For example, user tips may be downloaded to assist a customer in diagnosing a it! problera~, properly connecting electronic equipment, etc. Such information may be included in a IocaI retailer database, a third party service provider database, or a manufacturer database. The third party service provider a.nd z~na~nufacturer databases are preferably available seven days a week, and ?4 hours a day.
FIGURE I 3A further illustrates a preferred operation of the system illustrated in FIGURE 1 ? during electronic product registration. FIGURE I?B
further illustrates a preferred operation of the system illustrated in FIGURE
x?
during a product return traxlsaGtion.
Turning now to ~'1G. 13, the third party service provider system may include retailer and ananufacturer validation tables cvntai~airig specific r~tum 2o policy information. Maintenance of these validation tables is preferably the responsibility of the individual retailer, manufacturer or other party, In other ward, the retailers and manufacturers are provided with access to these validation tables so that they may provide arid update the applicable return criterias for their products.
~S In addition, a retailer may access retards in separate manufacturer databases at the third party service provider to obtain selected prEdefined or ad hoc management reporting_ For example, a retailer may monitor returns "
a Resend 5-~0-0~;~0:07AM;Furman 8~ Kallio R9a ;+~ 306 359 6956 # 56/ 09 WO aP130014 PCTItJS99I26460 rJQ
accepted by an individual clerk to determine whether the clerk has an unusually high (and possibly fraudulent) return rate. Qf course, the third party service provider should maintain security measures to ensure that the retailer can access only records to which it is entitled access. For example, a retailer would be prevented froth runninu reports on sales by a competitor.
Similarly, the manufacturer may run predefines or ad hoc reports to monitor sales activities. Such reports may be useful, for example, in determining which products are selIin~ well and. therefore. whether production or shipping of these products should be increased. Again. a manufacturer would hoc be given 1o access to competitors sales information.
FIGLrRE 14 is an application overview of the components and functions of the central registration computer system. As shown, the central registration computer system may perform a riurczber of sy$terrt functions. These system functions include application services, database services, electronic data x3 ixxterchange (>rDl), batcft services, VRU services, collaboration services, RMI/IIOP services, e-mail services, directory services, encryption services, VPN
service, load balancing services, systems management services, reporting tools, site analysis services, and I-FI'I'P services.
Application services allow the handling of server-side processing on a 20 world wide web server. This is important to meter traffic td the databases.
It also allows for fail over if applications are not available. It also allows for session tracking and extra security. Database services handle the storage aztd retrieval of the central registration computer system data. This can be important for the speed and integrity of data storage and access. It also can allow the 35 synchronization of data across multiple databases and data-centers. EDI is an application that allows the mapping and conversion of data from the central -registration computer system database and converts it to the industry standard -;;

Resend 5-10-O~;i0:07AM;Fu~man & Kallio R9a ;+~ 306 359 6956 # 57/ »9 C
B

5~
Electronic )7ata lnterchar~ce (EDI) documents. It also processes EDI documents and will place the results in the database. 1~DI handles the communications of data to and from value-added,network electronic mail boxes. Batch services support the set of processes that allow the scheduIinb and loszs~ing of jobs that may be run as part of the system. This includes scheduling transfers of data, cleanup processes. database conversions, content updates, alert triggers, audit processes, etc.
VRU services is the szt of telc:phonv services that alto«~ the system to implement applications on the database. This can support applications that allow is retailers at the point of return to check returns verification status and warranty information. Collaboration services allow accounts and central system personnel to communicate real-time and provides for on-line customer service to help decrease costs, decrease time to handle service requiremer4ts, arid increase the Level of customer satisfaction. RMI service allows far remote execution of is transactions between central system applications and its accounts, and can be one of the ways to process data exchange, and execute electronic registration or returns verification trans3ctipns. E-mail services carp facilitate the processing of e-mail between the central system and the accounts (vendors, retai;IerS, service centers). It can include hosting of e-mail services for those accounts who do not 2o have their own Internet Service Provider (iSP) and can also handle consumer accounts (if needed).
Directory services are the systems services that allow a standard technique for storing, using, and accessing user-centric information. This database can drive the user data for the central system web. e-mail, and collaboration services.
zs and can also serve as the basis of central system security. Encryption services allow the central system to encrypt (secure) data that is transferred over the Internet. This could be important for securing non-private network datafles.

Resend 5-10-01;~0:07AM;Furman 8~ Kallio R9a ;+~ 306 359 6956 # 58/i~9 Wo 0a13U014 PCTP135991=Sd50 This service also includes management/publishinJserving of the public key associated ~uvith the central system. VPN services allow the central system and it's retailer accounts to establish a private communications channel on the l:nternet, and may be implemented at the hardware yr software level. It can be ~ very important to maintain security on the Internet, yet allow transactions to perform up to requirements. Load balancing services route transaction traffic to appropriate services, systems. and sites (datacenter) depending on system availability, performance, and location of the request. This can he important because it allows a transaction to continue if a site or host is down, and ensures tU that the system is always available.
Systems management services monitor the availability, security, and performance afthe central system applications. It also can allow the central system to e$calate problems if they are not resolved in a timely manner. and can allow the central system to manage the network and host functions in addition to 15 the data center. Reporting tools allow authorized central system accounts azxd central system personnel to easily access the database. This will allow ad hoc analysis of data for an account and will allow straightforward deployment of new reports. Site analysis tools allow the central system to azzalyze its world wide web traffc. This includes the overall amount oftraffic to the site or to 20 specif c sections of site. It caz~ allow the central system to see where the traffic is coming from and what type ofbrowser is being used. It can also allow the a consolidation of log reporting across several hosts. HTTP services is what is ~' typically referred to as a web server. These are the services that allow the central system to handle Internet browser access. 1t can serve and secure static content zs and hand off dynamic content requests. It also can allow for intuitive links to FTP services.
The central registration computer system also includes a number of semi- -Res2nd 5-~0-0~;~0:07AM;Furman & Kallio Rga ;+~ 306 359 6956 # 59i »9 C
1.:.1 WO 0013001d PCT/US99I~6460 private support components such as data exchange, a communications menu system, alerts, reporting services, and project tracking az~d user help.
Additionally, a numbez~ of semi-private core components are provided, including account maintenance, product maintenance, warranty maintenance. electronic registration, serial number maintenance, returns verification, returns prescreening, warranty inquirer and consumer registration. Although these itEms require authori2ed access. they may be shared by a number of individual users and are therefore semi-privatz.
The Account ~laintcnance care component allou-s the cerxtral System to setup an account for either a retailer or vendor. Account setup covers such areas as contact, relationship and equity, account type, user information and authorities. This preferably includes account profile maintenance to maintain account information for each customer; contactJuser maintenance to setup and maintain coz~tactslusers for each accauz~t (user default and specif c authorities z5 may be assigned here); authority group maintenance to maintain various authority lists which are assigned to various groups or account types; account contract/relationship maintenance to track contracts, equity, correspondence for each account; and retailer location maintenance which allows for the maintenance of each retail store location. The product maintenance component 2o allows the retailer, vendor, and the central system to maintain and distribute product infc~rrr~ation. RetailerNendor UPC maintenance allows maintenance of product information at,the UPC level. Kit maintenance cross references to store ~J
pre-loaded serial numbers that go together in each "kit" shipped. Product type ''"'' maintenance allows a vendor to define groupings of their products te.g., '~'~V, 25 VCR).
The warranty maintenance component allows the vendor to set up return _ and repair warranty information for each of its products. policies can be set up ' Resend 5-~0-0~;~0:~2AM;Furman & Kalllo Rga ;+~ 306 359 6956 # 60/ »9 .
,_, WO 00130014 PC'F/CIS99/2b460 at the product or product type levels. Warranty maintenance sets up and maintains return and repair warranties_ Reason code maintenance maintains caries by product type to indicate the reason a product is returned. The .
electronic registration component allows the central system to collect product w registration data from the retailer. This may include several interfaces to collect this data- EDl to support legacy implementation, and a real-time interface to support ongoing implementations. Resistration transmission is a request from 3 retailer to the central system to renister a product as sold. A regtstrataon transmission proce$svr is a processing program at the central svstern that io contains all the edits necessary to process the incoming renistration transmission az~d send back the canfrmation transmi$sion when appropriate. An internal registration audit rnay provide an on-line interface which will displays transmission. errors that need to be reviewed and fixed before registration is accepted. A registration confirmation may be transmitted from the central m system back to retailer to confirm that the registration was rec~iv~d_ A pre-sell product registration may be used to register a product that is sold through catalog sales, or to indicate product as sold to a particular rEtailer for establishing special return policies.
The serial number maintenance component can be used to maintain and 2o view serial number registration infarmatiori (returns and warranty e~cpiration dates). It can also be used to maintain exceptional 5ituativns such as an indication that the serial number was stolen. On-line serial number maintenance may be used to allow an account to view andlor update (depending on authorization) specific infarmation about a registered serial number. Stolen 2~ serial number maintenance allows stn account to update a spoci~c serial number as stolen. Serial number manual registration allows for registration (pre-sell and _ pOS) of a range of serial numbers without scanning or otter electronic intea-face.

Resend 5-~0-O~;iOo 2AM;Furman R Kallio R9a ;+~ 306 359 6958 # 6~/ 09 ~:
W~ 00!30014 PGTlUS99lZb4bQ
Serial number history allows for the inquiry of ail activity against a specific serial number. '~'he returns verification cornportent provides the retailer or return enter with the ability to verify that a product is eligible for return. A
confrrnation will be transmitted back which Contains a return authorization code or message. return-by date, and repair warranty infort-nation if requested. A
return verification request may gC~ from a retailer or return center to the central system. A return verification processor may be used to edit and proceas the data sent in and to send cortFrmation data back. A return eli~ibilim confirmation can be transmitted from the central svstern back to the retailer to verifv the product is 14 eligible For rcturn_ The returns prescreen compvncnt permits verif cation of whether or not a product is returnable to the vendor just prior to shipping. 'X'his system may be required to ensure that the product being sent back to the vendor will qualify for Credit when it reaches the vendor. This is particularly important for those 1~ retailers who use returns Centers to consolidate returns. Thm warranty inquiry component allows an authorized service center to access information regarding a product's repair warranty. Access to this information is preferably through a web interface or through the V'RU. A product warranty inquiry allows access to a product's repair warranty information. The consumer post-sale registration 2o component gives consumers the ability to regi$ter a product against the central System account. This will allow consumers to have a record at the central system of the serialized products they have purchased. Also it will allow law i i enforcement agents a means to contact the purchasing consumer far stolen products. This component includes consumer account setup, consumer serial z3 number regiszration, law agent access, arid provision of a consumer web site.
With regard to the semi-private support components, the data exchange component allows for the exchange of data between the central system and the Resend 5-~0-Q~;~0:~2AM;Furman & Kallio R9a ;+~ 306 359 6956 # 62/ 09 B
W(3 OOJ308i 4 PCr/L1S9912546U
rJ~
accounts (vendors or retailers). beta e~cchan~e key maintenance maintains multiple user id/password combinations to support different ways of comt~nur~icatin' with the account. Far each account. data exchange subscription maintenance maintains which types of data will be sent to their systems using 3 the data exchange mechanism. Startup services are the processes used to support the initial IoadinQ of the account's data into the central systEm database.
VendoriRetailer data exchange are the processes that set up and control the exchange of data with accounts. Product maintenance push u-ill allow the movement of the product file information to the retailer with lllLle development i0 on the retailer's part. This wilt include only information needed to drive PAS
terminals for each retailer. The data exchange file generator are the programs that generate the differeztt types of f les that contain the different types of data.
The Internet menu system component is what an individual user (central system employees, accounts, and consumers) will see when they log onto the system. It i3 will be used by the central system personnel (intranet) and the vendors, retailers, and service centers (extranet) that have access to the central system. Account application maintenance defines which applications will appear on each account's "menu", based on user access rights. Application billing structure maintenance defines the pricing structure associated with a particular 20 applieation/aeeount combination.
The alerts messaging component provides a facility to send alert messages generated from various processes throughout the system. Alert maintenance is a process to set up the type of alerts an account would like to receive. An alert processor may be provided to process and send the alerts. The reporting i5 component provides the account With various standard reports for tracking electronic registrations and return verification data. For example, an electronic w registration summary report can be provided to summarize all registration -Resend 5-~0-0~;~0:~2AM;Furman & Kallio R9a ;+t 308 359 8956 # 831ii9 PCTIUS99IZfi460 vV0 44~3ooi d information. An abuse audit report can be used to identify patterns of abuse based on warranty setup. A returns reconciliation report can show the histaiy of registrations including any return request activity. A returns to registration audit report can show percentase ofreturns compared with registrations. A returns verification request summary report can show total return verification requests by return code. The project tracking"helpdesk component provides information exchange between the account arid the central system regarding new account setup, bug fixes, and ether pertinent information. Information exchange/project tracking can provide an abifitv to track projects and problems, and to exchange 1~ other information with the account. Time tracking can provide the ability to track time against projects such as custom reports and other enhancements specifc to an account. A help desk facility could incorporate the pz'obleml tracking portion ofthe information exchange.
Private support components include audit maintenanca, billing system iS interface, and purge setuplprocessing. 'The audit maintenance component can provide various audits on activity against the central system database. Those audits can be used internally by the central system for tracking an account's usage of the system. An audit activity log can track specific types of activity against the serial number database_ The billing system interface component 20 provides processes for approving the billins of accounts for the central system services. The actual invoicing and fund c4llection may be provided by a _ standard accounts receivable software package. Billing structure maintenance may provide information on how each account will be billed. Billing approval can provide an interface for approval of the billing before actua'I invoicing.
25 Finally, the purge setup/processing component includes the processes and supporting information that will al low the central system to purge appropriate --data from the system. Purge processing may summarize transactional data, save Resend 5-~0-0~;~0:~2AM;Furman & Kallio R9a ;+~ 3Q6 359 8958 # 84/ »9 WO 00!30014 P~'TlI,T549126460 to Other media (tape, CD, optical), and purge data based on time defaults set at the account level.
Turning now to FICxURES 1 bA through 16G, a user at a retail store may access the central reuistration computer system to make a customer service Y
request. Upon access, a main menu is displayed which provides the user with options to request returniwarranty information, operating,'hook-up instructions, vendor/product information, yr other information. Figures 16A through I6B
illustrate a series of interactive customer interface screens that may be displayed upon selection of return/warranty inforrt~ation.
1~ As illustrated in FIGURE 16B. the user may, Far example, be prompted to input the product UpC number, the product serial nurrtber and the customer's zip code. This information is then transmitted to the third party host system of the centralized database to be used in accessing the pertinent database record.
The user may also be requested to input a reason for the returnlwananty inquiry.
FIGUIZIr 16C shows ti7forrriat4on that rrxay be returned to the retailer by the third party host system. In particular, the host system may return additional ~tetails c4ncerning the original transaction as well as a list of customer options.
The list of customer options may be deterrnined by the host systenn in light of the applicable retailer and/or manufacturer warranty information included within the validation tables 1013 (see FIGURE 13).
Turning nc~w to FIGURES 16D through 16G, the retailer selects the option chosen by the customer by clicking on the appropriate choice. The host system ''' d then returns pertinent information relzvant to the selected option. For example, if free warranty repair is selected, a list of local authorized repair shops may be listed. This list may be printed and provided to the customer by the retailer store. If the customer selects a product exchange, the retailer tray be prompted to enter the serial number of the replacerr~ent product so that Lhe central Resend 5-~0-Q~;i0:~2AM;Furman & Kallio R9a ;+~ 308 359 8956 # 85/ »9 ' WO 00130D14 PCTlU599f26d6D

registration database may be updated accordingly. Similarly, the host system will update the registration database to reflect a return for in-store credit or refund.
Customer problems with products often are not the result of defects in the 3 product, but rather may simply be the result of a lack of knowledge by the customer on the proper operation or hoak,up of the product. Accordingly, the retailer may request information from the host system to assist the customer in the proper operation or hookup of the product. Such information is preferably stored in an appropriate host system database. Far example, a manufacturer may tU download instructions into the database for this purpo5e_ The manufacturer ideally bears tk~e responsibility of ensuring the information is kept current.
As an alternative, the host system may access a manufacturer database to obtain this information when requested.
Figures 17A through 17H Illustrate interactive user interface display I
Xs screens that may be utilized when a customer chooses to obtain operatinglhookup instructions. As shown in F1GURE 17B, the user is prompted to enter the UPC number or the vendor name and model number. If the vendor name/ model number option is used, the host system may be programmed to recognize the vendor name based upon the first few characters. For example, 20 once a user enters "NINT'', the system may recognize the vendor as NINTENI70, as illustrated in FIGURE 17C. Once the vendor name is recognized or completely input, a pull down menu of possible model numbers ' d rtiay be provided for user selection, as shown in FIGURE I7D.
l~eferrinb to FIGURE 17E, the user is then prompted to select information 25 on either the operation or proper hookup of the product. In this example, the user selects hook-zip infortnation. The halt system then displays appropriate hook-up information (FIGUR.~ 17F), which may be printed for the customer.

Resend 5-10-0~;~0:~2AM;Furman & Kallio R9a ;+~ 306 359 6956 # 66/ »9 i ' WD DDI30D14 PCTl1159912b460 ~0 Similarly, FIGURES I 7G and I7H illustrate the interactive screen displays if operation instructions are requested. As shown in FIGU'l~.E 17C~, the user may be prompted to enter additional information concerning the particular operation af interest, for example. how to set the clock, how to record, how to edit, etc.
s Again. the appropriate information concerning the customer inqui~-~.~ then may be displayed and printed.
FIGURES 18A through 18F show interactive screens that may be displayed when the use: selects vendoc;'product information. The user would again be prompted to enter sufficient information for the host system to a determine which records to access, as described above in connection with FIGURES I 7B Through 17D. Pertinent information concerning the vendor (F'IGUR~ I $B) or the product (FIGURE 1 8C) rxxay then be displayed. This vendor information may be useful to the retailer, for example, to contact the manufacturer with questions or to provide the cu$tomer with a manufacturer t3 customer service phone number. The product information may be used, for example, to verify what components were sold with the products so that the retailer can verify the return of all major components. If desired, the retailer may also return to the main menu to obtain further information concerning proper hook-up or operation of the product, as illustrated in FIC'rURES I8D through 2U 18F.
The implementations described above illustrate the characteristics, features and advantages of the present invention. These implementations, of ' I
course, are not exhaustive, and other implementations within the scope and spixit of the present invention will be apparent to those skilled in the art.
Although the z~ invention is The implementations described above illustrate the characteristics, features and advantages of the present invention. These innplementations, of ' ;.

Resend 5-~0-0l;~Oo 2AM;Furman & Kallic Rga ;+i 306 359 6958 # 67/~i9 .°...
Vv0 o0i300i 4 PcTIUS99I26d50 course, are not e.chaustive, and other implemeritatic~ns within the scope and spirit of the present invention will be apparent to those skilled in the art.
Although the invention is described primarily in the context of a two-level rctailerlmanufacturer arrangement, other arrangements are available. For a e:carnple, a three-Level individual chain store/store hcadQuarterslmanufacturer arrangement may be implemented. Yet further levels may be added.
While the invention has been described in connection with what is presently considered to be the most practical and preferred embodiments, it is to be understood that the invention is not to be limited to the disclosed embodiments, but on the contrary, is intended to ewer various modifications and equivalent arrangements included within the spirit and scope of the appended claims.

Claims (47)

WHAT IS CLAIMED IS:

1. A method for verifying a product return, comprising:
entering unique identifying information for the product for which return is sought:
transmitting the unique identifying information to a general database for a determination of whether applicable return criteria are met for the product for which return authorization is sought:
obtaining product information from the general database which indicates whether the product sought to be returned meets applicable return criteria;
and accepting the product for return if the product information indicates that the product qualifies for return.

2. The method of claim 1, wherein the unique identifying information is entered by scanning a bar code on the product sought to be returned.

3. The method of claim 1, wherein the general database is located at a remote location, and the transmitting is accomplished by establishing electronic communication with the remote location.

4. The method of claim 3, wherein the remote location is a service provider which maintains the general database.

5. The method of claim 4, wherein the general database includes a product registration database containing information received on purchased products including at least date of purchase, and further wherein the general database includes the applicable return criteria for the purchased products.

6. The method of claim 1, wherein obtaining product information includes displaying the product information on a display at the location where the return is being sought.

7, The method of claim 1, wherein the product information includes options available to the person presenting the product for return based on the applicable return criteria.

8. A method for electronic validation of product returns prior to accepting the product for return, comprising:
obtaining unique identifying information from the product at a location at which the product is sought to be returned;
using the unique identifying information to access a product registration database and obtain product information on the product sought to be returned;
providing the product information to the location where the return is being sought for use in determining whether the return carp be accepted as a valid return under applicable return criteria.

9. The method of claim 8, wherein the unique identifying information includes a universal product code and a product serial number.

10. The method of claim 8, wherein the product registration database includes information on purchased products collected at the time the products are purchased,

11. The method of claim 8, wherein the product information is displayed on a display screen at the location wherein the product is presented for return.

and the product information includes available options with respect to return and repair of the product sought to be returned.

12. An apparatus for validating product returns at a retailer's facility prior to accepting the product for return, comprising a local computing system having an associated data entry device and display device located at the retailer's facility, and being capable of communicating with a host system having access to a product registration database. the data entry device being operable to enter unique identifying information for the product for which return is sought, the local computing system operating in response to the unique identifying information to communicate the product identifying information to the host system and, thereafter, operating in response to product information received from host system to display the product information on the display for use in determining whether to accept the return.

13. The apparatus of claim 12, wherein the data entry device includes a scanner operable to read a product bar code providing at least one of a universal product code and a product serial number.

14. The apparatus of claim 13, wherein the data entry device further includes a keyboard for manual entry of the unique identifying information.

15. The apparatus of claim 12, wherein the local computing system communicates with the host system by way of an internet connection.

16. A method of reducing unauthorized consumer returns of purchased products, comprising:

(a) maintaining a product information database for purchased product, wherein the product information database includes return criteria for purchased products;
(b) providing unique product identification information to a host system having access to the product information database, wherein the unique product identification information unique3y identifies a product far which a return is sought;
(c) using the halt system to access the product information database to determine a return criteria for the product based on the unique product identification information:
(d) determining whether the product qualifies for return based on the return criteria;
(e) transmitting to the location where the return is sought information indicating whether the product qualifies for return; and (f) accepting the product for return if the transmitted information indicates that the product qualifies for return.

17. The method of claim 16, wherein the transmitted information is displayed on a display screen, and the transmitted information includes options available to the person seeking the return with respect to replacement and repair of the product sought to be returned.

18. The method of claim 15, wherein the location where the return is being sought is a retail location.

19. The method of claim 16, wherein maintaining a product registration database includes maintaining a local database which includes information on products purchased from a particular retailer, and maintaining a general database including information or products purchased from a plurality of different retailers.

2D. The method of claim 19, wherein using the host system to access the product registration database, includes first accessing the local database to search for the product information, and then accessing the general database if the local database does not include the product information.

21. The method of claim 16, wherein the step of providing unique product identification information is accomplished by establishing electronic communication between the retailer's facility and the host system.

22. The method of claim 21, wherein establishing the electronic communication is achieved by way of an internet connection.

23. A method of reducing improper consumer returns of purchased products of different types, comprising:
(a) maintaining a general product information database, wherein the general product information database includes product information indicating at least a date of purchase for each purchased product;
(b) defining a particular return criteria for each of the different types of products;
(c) transmitting unique product identification information from the location where the return is being sought to a host system having access to the general product database, wherein the unique product identification information uniquely identifies the product for which a return is sought;

(d) accessing the general product information database to determine the date of purchase for the product based on the unique product identification information;
(e) determining whether the product qualifies for return based on the date of purchase and the return criteria defined for the particular product type;
(f) transmitting to the location where the return is sought product information which indicates whether the product qualifies for return; and (g) accepting the product for return if the product information indicates that the product qualifies for return.

24. The method of claim 23, wherein defining a particular return criteria for each of the different types of produces includes providing manufacturers of the products with access to the host system for the purpose of defining and updating respective return criteria for the different types of products.

25. The method of claim 23, wherein the applicable return criteria includes return criteria for the manufacturer who snakes the product and the retailer who sells the product, and further wherein the manufacturer and the retailer are provided with access to the host system to define and update the return criteria.

26. The method of claim 23, wherein the step of transmitting unique product identification information includes establishing electronic communication between the location where the return is presented and the host system.

27. The method of claim 26, wherein establishing the electronic communication is achieved by way of an Internet connection.

28. The method of claim 23, wherein the step of transmitting product information is accomplished by establishing electronic communication between the host system and the location where the product is sought to be returned.

29. The method of claim 28, wherein establishing the electronic communication is achieved by way of an internet connection.

30. The method of claim 23, wherein the step of defining a return criteria for each of the plurality of different types of products includes defining different return criteria for products manufactured by different manufacturers.

31. The method of claim 23, wherein the step of defining a return criteria for each of the plurality of different types of products includes defining different return criteria for products sold by different retailers.

32. The method of claim 23, wherein the product information includes at least a date of purchase, location of purchase and purchase payment information.

33. The method of claim 32, wherein the product information is displayed on a display screen at the location where the return is sought.

34. The method of claim 33, wherein product information further includes a listing of available options with respect to return, replacement and repair of the product sought to be returned.

35. The method of claim 34, wherein upon selection of one of the available options, the general product database is updated to reflect the option selected.

36. The method of claim 23, wherein the product information includes date of purchase, location of purchase, purchase payment information, available options regarding return, replacement and repair of the product based on applicable return criteria, and general product information.

37. The method of claim 36. wherein the general product information includes operating instructions, installation instructions, parts list, and repair information.

38. The method of claim 37, the product information is displayed an a display screen at the location where the product is presented for return.

39. A system for validating consumer returns of purchased products, comprising;
a first information processing system having a product registration database containing information on purchased products and return criteria for purchased products;
a second information processing system located at a retailer's facility operable to receive input on a purchased product sought to be returned and to transmit to the first information processing system a unique product identifier based on the input;
the fast information processing system being operable to:
receive the unique product identifier;

access the product registration database and determine whether the product qualifies for return based on the unique product identifier and the return criteria; and transmit to the first information processing system product information which indicates whether the product qualifies for return.

40. The system of claim 39, wherein the second information processing system includes a display which is operable to display the product information once received from the first information processing system.

41. The system of claim 39, wherein the first and second information processing systems are operable to establish a communication link therebetween by an Internet connection.

42. The system of claim 39, wherein the first information processing system is located at a location remote from said retailer's facility.

43. The system of claim 39, wherein the second information processing system includes a product scanner operable to generate the input by scanning the product.

44. The system of claim 43, wherein the scanner is operable to read a product bar code indicating at least one of a universal product code and a product serial number.

45. The system of claim 40, wherein the product information includes at least a date of purchase, location of purchase and purchase payment information.

46. The system of claim 45, wherein product information further includes a listing of available options with respect to return, replacement and repair of the product sought to be resumed.

47. The system of claim 46, wherein the display enables selection of one of the available options, and the second information processing system operates in response to the selection to transmit information to the first information processing system for updating of the product information.