Walmart Deduction Code 93: Merchandise Return (Damaged)

What Walmart is claiming

Walmart code 93 takes the cost of damaged merchandise off your check before the product ever reaches the store floor.

• Code 93 (Mdse. Return, Damaged Merchandise) fires when product arrives at the DC in a damaged condition that prevents it from being sold. The deduction covers the full merchandise cost.
• Two independent vendor sources (SPS Commerce and SupplyPike) converge on this label and mechanic.
• The damage happened before the product was placed on the store floor. This distinguishes code 93 from code 94 (defective merchandise), which applies after a customer purchases and returns the item.
• SPS Commerce notes that Walmart expects code 93 to be disputed alongside any associated fees on the same claim, specifically codes 44, 60, and 120. Disputing the merchandise deduction alone while ignoring the companion charges is treated as an incomplete claim.

What actually causes it

Physical / Warehouse

Product packaging that does not survive the distribution chain: pallets that shift in transit, cases that collapse under stacking weight, or shrink wrap that fails to hold the load. The product may be intact, but if the outer packaging is compromised on arrival, Walmart records it as damaged.

Carrier / Logistics

Carrier handling damage in transit. A load that shifted, was dropped, or was exposed to temperature or moisture during transport. The carrier's liability depends on the BOL condition notes at origin vs. destination.

ERP / Data Bridge

Packaging spec mismatches between the supplier's ship-ready standards and Walmart's DC receiving requirements. If your ERP's item master does not enforce the correct pallet configuration, case weight limit, or packaging type per Walmart's routing guide, the product is structurally vulnerable before it leaves your dock.

Is it disputable?

Code 93 is disputable when you can demonstrate either that the merchandise should not have been classified as damaged, or that your defective allowance has not been exceeded. SPS Commerce describes the dispute form as the Defective Merchandise, Handling Fee, and RTV Freight Claim Form, filled out with the claim number, invoice date, disputed amount, and reason. Both sources note that Walmart expects the code 93 to be disputed alongside companion fees (codes 44, 60, and 120) on the same claim. Returns Center claims from location 9462 follow a dedicated process through Partner Support under Returns > Returns Chargebacks > Defective Merchandise. For other locations, the dispute goes through APDP.

Evidence you'll need

Gather this before you file, not after:

• Photographic evidence of product condition at the time of shipment, if available (pre-loading dock photos, pallet inspection records)
• Bill of lading with condition notes at origin showing product was undamaged when handed to the carrier
• Defective Merchandise, Handling Fee, and RTV Freight Claim Form (Walmart's required dispute form for returns claims)
• Supplier agreement showing the defective allowance percentage and whether the cost of returns has exceeded it

How to stop it recurring

Recovering one deduction is worth less than removing the cause. What closes this one out for good:

• Photograph and document pallet condition at your outbound dock before the carrier takes possession. A BOL signed 'clean' at origin and 'damaged' at destination shifts liability from you to the carrier, and that evidence is the fastest way to reverse a code 93.
• Audit your packaging specs against Walmart's receiving requirements at least quarterly. Case crush-test ratings, pallet configuration, and shrink-wrap specs that were compliant two years ago may not match the current DC handling equipment.
• Track code 93 frequency by carrier lane. A damage rate concentrated on one carrier or one route is a logistics problem, not a product quality problem. Switching carriers on that lane eliminates the deduction at the source.

A shipment left your dock in good condition. Walmart’s receiving scan flagged it as damaged. Code 93 fires, and the full merchandise cost comes off your next check before you get a chance to inspect anything.

If you manage supply chain or finance at a $10M-$500M CPG supplier shipping into Walmart, code 93 is the deduction that makes you question whether the damage happened in your warehouse or in transit. That distinction determines who pays: you, or the carrier.

Code 93 applies to damage identified at receiving, before the product reaches the store floor, per SPS Commerce. A pallet that arrived crushed, cases with water damage, or product with compromised outer packaging all trigger it. The DC marks the merchandise as unsellable and returns it.

The deduction rarely arrives alone. Both SPS Commerce and SupplyPike note that Walmart expects code 93 disputes to include companion fees: code 44 (handling), code 60 (additional charges), and code 120 (return freight). Those companion charges add cost on top of the merchandise value, and Walmart treats a dispute that ignores them as incomplete.

Your dispute hinges on two things. First, whether the damage was present when you shipped or occurred in transit. A clean BOL at origin paired with a damage note at destination shifts liability to the carrier. Second, whether your defective allowance has been exceeded. If the cumulative cost of returns (codes 93 and 94 combined) remains below the allowance percentage you negotiated in your supplier agreement, you’ve already paid for this through the allowance, and the additional deduction is disputable.

The dispute form is specific: the Defective Merchandise, Handling Fee, and RTV Freight Claim Form, filed with the claim number, invoice date, amount, and reason. Returns Center claims originating from Walmart location 9462 route through Partner Support, not APDP. For all other locations, the standard APDP dispute path applies.

Code 93 sits alongside code 92 (overstock/recall) and code 94 (defective after customer purchase) in the Returns family on this hub. The three codes share a family, but the triggers and evidence requirements differ.