I thoroughly enjoyed this episode, and the other episodes that were part of the same show.
It really goes to show that there is a sliding scale to morality.
To me, it is morally wrong to return items that are used just to get your money back, but at the same time, the fact that the store says it's OK certainly makes it *less* morally wrong.
Then you have the store who is allowing itself to be taken advantage of. Is this correct? I personally feel that it is NOT ok, both to yourself and to the person whom you're allowing to take advantage of you. On a business level, though, I guess LL Bean is finding that it works for them.
There is the other issue of having return policies that are too strict. That is also morally wrong, I feel, because all the power is now in the merchant's hands.
I suppose that power imbalance is the key issue: If you let either side have too much power, I feel there's is a moral dilema. Things should be fair and equal to both. And fairness is different depending on the circumstances of each party.
Like for example, a relaxed return policy might be fairest for a large retailer. A more stringent one might be fairer for a small boutique.