Merchant of Record

Category: Payments

Also searched as: MOR

Definition (plain English)

The legal seller responsible for processing payment, taxes, refunds, chargebacks, receipts, and customer payment obligations for a transaction.

Why it matters commercially

Merchant-of-record status determines who carries payment disputes, tax collection, customer refunds, and platform compliance exposure.

Example

A marketplace clarified that the platform, not the supplier, was merchant of record for card sales and therefore owned refunds and chargeback response.

Common mistake

Launching a marketplace or reseller flow without deciding who is merchant of record, seller of record, tax collector, and refund owner.

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