Re: Thinking about a Nexus 7? Beware...
Amazon does that when you decide you don't like something. If the product is defective, as the OP describes, there is no shipping charge for returning an item.
However, if a seller sent something for free shipping, then two things are fair when you have to return the item: either the buyer pay for the return shipping cost. Or the seller cover the cost, but will subtract that cost out of the total of the refund. This is what Amazon does, when you return an item and print out a shipping label they will subtract the cost from the refund total. Or you can choose to ship at your own cost, then they will refund fully.
Amazon does that when you decide you don't like something. If the product is defective, as the OP describes, there is no shipping charge for returning an item.