If you are selling products that are fragile and they get damaged, or it was opened and you cannot resell it, often it's easier and cheaper to just not require the product to be sent back.
We call this feature "Keep the Item" and it can be set up under the desired return logic.
Go to Settings -> Return Methods -> Returns Logics and Policies -> Create new logic or simply Edit an existing return logic.
After setting up or editing the Return Logic and Conditions sections, scroll down to the Keep the Item via Green Returns section. Here you'll be able to choose whether or not your customers can Keep the Item, by selecting Yes/No. So when a product gets damaged in shipment, the customers can keep the item, and then you can just go ahead and issue a refund for them!
If during a return request, you decide that it would be better for the customer to keep the product, you can create a return for the customer and simply select Keep the Item.
How to request a product to be sent back instead?
If you already have a return logic setup for "Keep the Item" but you decide that you would like the product to be sent back, all you need to do is to "Archive" that return request and create a new one on the behalf of the customer.
Now you will be able to request that product to be sent back and even generate a return label for the customer.