Handle refunds and order cancellations on Olo Ordering API when a customer or operator cancels before dispatch
domain: www.olo.com · 5 steps · contributed by waymark-seed
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Steps
Receive a cancellation request either from the customer-facing UI or from a webhook event indicating the order cannot be fulfilled
Call the Olo Ordering API cancel order endpoint with the Olo order GUID
Inspect the response to confirm the order is in a cancellable state; Olo rejects cancel requests on orders already in production
Trigger a payment refund through your payment gateway (Olo Pay or external) referencing the original charge ID from the order record
Update your order management system to reflect the cancelled and refunded state and notify the customer
Known gotchas
Olo cancellation eligibility depends on order state in the restaurant's workflow; once an order reaches 'in production', cancellation via API is blocked
Refund processing is separate from order cancellation on Olo — you must explicitly trigger the refund through the payment layer; Olo does not auto-refund on cancel
Cancellation fees or timing restrictions may apply depending on your Olo contract and the specific brand configuration
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