What are expiration terms in consignment?
Expiration terms are the conditions in a consignment agreement that define what happens to an item once the consignment period ends. The three common options are returned to the consignor, donated, or store property.
Why do expiration terms matter?
Expiration terms protect both you and your consignors by making expectations clear from the start. Without them, you're likely to run into disputes over items that have already been donated, or end up holding inventory longer than you should because there's no agreed-upon end point.
They also keep you on solid legal footing — some states have unclaimed property laws that could apply to unsold consignment goods, and a signed agreement with clear expiration terms is the simplest way to avoid that becoming an issue.
Expiration terms types
Return to consignor
Unsold items are made available for pickup. Most stores pair this with a pickup window or grace period— typically 7–14 days — after which a secondary policy (usually donation) kicks in.
Donate
Unsold items are donated to a designated organization at the end of the consignment period. This is a clean, low-overhead option that many stores prefer. It's worth naming the specific charity or organization in your agreement for transparency about where items are going
Store property
Unsold items become the store's to resell, donate, or dispose of as it sees fit. This gives stores maximum flexibility, but it can also incentivize holding onto items that already have proven to be duds.
Hybrid
Many stores combine approaches — returning items if the consignor responds within the pickup window, and donating or converting to store property whatever isn't claimed.
Expiration term examples
Here are a few examples of how you could phrase expiration terms in your consignor agreement.
Return with pickup window
"At the end of the consignment period, you will be notified by email about any unsold items. These items will be available for pickup for 14 days. Items not retrieved within the pickup window will be donated to [Charity Name]."
Donate directly
"Unsold items will be donated to [Charity Name] at the end of the consignment period. You will be notified by email prior to donation."
Store property
"Items not sold by the end of the consignment period become the property of [Store Name] and may be resold, donated, or disposed of at the store's discretion."
Hybrid
"You will be notified at the end of the consignment period when any unsold items are available for pickup. Items must be retrieved within 7 days. Any items not retrieved during the pickup window will become store property."
What to include in your expiration terms
What happens to unsold items: return, donate, or store property
If returning: pickup window length and how consignors will be notified
If donating: the organization receiving the donation
Any secondary policy after a pickup window closes