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My personal advice would be, yes we do have incidents when clients request refunds (often for reasons of falling out with the person that they have bought them for…girlfriends/boyfriends breaking up etc.). In terms of the commission that isn’t a problem, business policy is that if you generate income from the lessons than commission is created, if you make no money then no commission is created – so in this case if you were to refund a client then I would refund you the commission on that clients lessons (or more likely deduce the refund amount from the next months payment). The more likely thing we find that happens if that the receiver doesn’t claim their lessons for months/years and turns up one day demanding their lessons…I would therefore recommend a 3 month expiry date to take your first lesson. That said it really is something to play by ear as lets say Student A is suddenly admitted into hospital it seems very harsh to prevent them from taking their £100 worth of lessons as they didn’t make it to their first one due to serious illness etc. Interested to hear what other teacher think/have done this year:)
