Hi @john john Pter ,
For your questions:
1.When a document in SharePoint Online is deleted and subsequently removed from both the first and second-stage Recycle Bins, it is permanently deleted and cannot be recovered through standard SharePoint features. However, if a retention policy is applied to the document, SharePoint retains a copy of the document in the Preservation Hold Library, even after it has been deleted from the Recycle Bins. This ensures that the document is preserved for the duration specified in the retention policy.
2.When a retention policy is applied to a document, SharePoint retains the document in its original state, including all custom metadata and permissions.
3.Yes, the retention policy allows you to restore retained files to their original locations.
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