A customer commissioned me about a year ago for a quadsuit (four legged mascot costume) for $1,200. I gave her a nice discount on the quadsuit because she can commissioned me previously and sadly I missed the deadline (which was refunded in full, though :) ). From last year until now, she only paid $140 out of a $1,200 for the suit to be completed in August, which is barely enough to pay for materials. I offered to downgrade it to a fullsuit to help lower the cost and she agreed.
I don't mind when customers take a while to pay off suits, just as long and they don't expect to have it until it is paid in FULL. She expected to have this costume done in August.
Today, she emailed me and told me she wants to cancel the order since it is now August and she doesn't think she'll pay in full before her event. My question is that am I obligated to refund her her $140? Like I said before, the money was spent on materials, so I assume it is a deposit payment?. I am guessing I should reply "Sorry that you had to cancel this order. Best wishes!" or something along the lines.
I looked back our emails and it looks like the seller is aware that deposits are non-refundable and knew the $140 was spent on materials already. since I told her. Sorry for not mentioning earlier!
Edit Two - Resolved!:
Thank you all for your advice! I offered the commissioner to either send the materials back or make her something equilavent to $140. She likes the second option and seems very content/happy! =)
This never happened to me before, so I'd love some advice! :) Thanks in advanced!