Tag Archives: ftc

What It Means When Network Marketers Say “Opportunity”

Posted on July 29, 2014 by Charity

The word “opportunity” is a generic term for the chance to advance, better one’s economic state, health, social position, etc. However, in the context of direct selling, “opportunity,” in addition to the chance to make money, is a reference to … Continue reading →

Posted in Advertising, Compliance Guidelines, Consultants, Consulting, Consumer Protection, Direct Selling, Distributor Education, Distributors, Home-Based Business, Legal, MLM, MLM Articles, MLM Startup, Network Marketing, Party Plan, Success | Tagged business opportunity, consumer protection laws, direct sales, direct selling, Federal Trade Commission, franchise, ftc, guidelines, law, library, mlm, Multilevel marketing, network marketing, opportunity, regulation | Comments Off

What Are Unauthorized Medical Claims?

Posted on July 22, 2014 by Charity

MLM companies and direct sellers are among the biggest sellers of health and cosmetics products in the world. Some of the largest companies are traded on the New York Stock Exchange (NYSE), such as Avon or Herbalife. Because of concerns … Continue reading →

Posted in Advertising, Compliance Guidelines, Consultants, Consulting, Consumer Protection, Direct Selling, Distributor Education, Earnings Claims, FDA, For MLM Executives, FTC, Home-Based Business, Law Cases, Legal, MLM, MLM Articles, MLM Companies, MLM Startup, Network Marketing, Party Plan, Products, Pyramid, Startup, Success | Tagged claims, direct sales, direct selling, DSHEA, FDA, ftc, guidelines, labeling, law, legal, Marketing, medical claims, mlm, network marketing, opportunity, party plan, product claims | Comments Off

BurnLounge Appeal Decision: Guidance on Pyramid v. Legitimate MLM and the Role of Personal Use in Pyramid Analysis- New Article at MLMLegal.com

Posted on June 24, 2014 by Charity

BurnLounge Appeal Decision: Guidance on Pyramid v. Legitimate MLM and the Role of Personal Use in Pyramid Analysis By Jeffrey A. Babener © 2016 On June 2, 2014, in the case of FTC v. BurnLounge, the U.S. Court of Appeals … Continue reading →

Posted in Compensation Plan, Compliance Guidelines, Consultants, Consulting, Consumer Protection, Direct Selling, Direct Selling Association, Distributor Education, Distributors, For MLM Executives, Headlines, Home-Based Business, Industry Sales and Growth, Internal Consumption, Law Cases, Legal, MLM, MLM Articles, MLM Attorney, MLM Companies, MLM in the News, Network Marketing, Personal Use, Pyramid | Tagged analysis, appeal, article, Burnlounge, Cases, commentary, court, decision, direct sales, direct selling, discussion, DSA, Federal Trade Commission, ftc, full article, law, legal, mlm, network marketing, personal use, Pyramid, Pyramid Scheme | Comments Off

What Regulatory Changes are Affecting Network Marketing Companies? Part One

Posted on May 13, 2014 by Charity

Part One The MLM industry has, during the last 20 years, developed positive working relationships with regulatory agencies such as attorneys general and the FTC (Federal Trade Commission). There was a time, however, back in the 1970s, when the FTC … Continue reading →

Posted in Advertising, Capitalization, Compliance Guidelines, Consultants, Consulting, Consumer Protection, Direct Selling, Direct Selling Association, Distributor Education, Distributors, For MLM Executives, FTC, Home-Based Business, Law Cases, Legal, MLM, MLM Articles, MLM Attorney, MLM Companies, MLM History, MLM Startup, Network Marketing, Party Plan, Personal Use, Press Releases, Products, Recruiting, Registration, SEC, Securities and Exchange Commission, Startup, Training | Tagged Amway landmark case, comments, consumer protection, direct sales, direct selling, distributor association, DSWA, Federal Trade Commission, ftc, FTC Proposed Business Opportunity Rule, mlm, Multilevel marketing, network marketing, party plan, personal use | Comments Off

New Video – Interview by the DSWA of Jeff Babener – “Legal Hotspots for Direct Selling Companies”

Posted on April 15, 2014 by Charity

Nikki Keohohou with the Direct Selling Women’s Alliance (DSWA) hosts the Executive Interview Forum titled “Legal Hotspots for Direct Selling Companies.” The interviewee for this hour is Network Marketing Attorney, Jeff Babener, Editor of www.mlmlegal.com. View the video on our … Continue reading →

Posted in Advertising, Compensation Plan, Compliance Guidelines, Consultants, Consulting, Consumer Protection, Direct Selling, Distributor Education, For MLM Executives, FTC, Home-Based Business, Industry Sales and Growth, Internet Marketing, Just for Fun, Law Cases, Legal, Marketing, MLM, MLM Articles, MLM Attorney, MLM Companies, MLM History, MLM Startup, Network Marketing, Party Plan, Personal Use, Products, Pyramid, Recruiting, Social Networking, Software/Technology, Statistics, Success, Tax, Trademarks, Training, Videos | Tagged communication, Compliance, direct sales, direct selling, Direct Selling Women's Alliance, distributor raiding, distributorships, Federal Trade Commission, ftc, funding, legal, mlm, Multilevel marketing, network marketing, noncompete agreements, party plan, personal use, Pyramid Scheme, recruiting, regulatory, responsibility, social media, Startup, trademark, training | Comments Off

Quote of the Week – Future of 2014

Posted on February 18, 2014 by Charity

“Looking from your perspective, what will be the most important issue, whether it be an opportunity or a threat, in the direct selling industry that will need a closer focus Next Year?” As one American troubadour notes, “money talks, but … Continue reading →

Posted in Biography, CEO Interviews, Compensation Plan, Compliance Guidelines, Conference, Consulting, Consumer Protection, Direct Selling, For MLM Executives, Home-Based Business, Just for Fun, Legal, MLM, MLM Articles, MLM Attorney, MLM Companies, MLM in the News, MLM Startup, Network Marketing, Party Plan, Pyramid, Success, Testimonials | Tagged 2014, direct selling, direct selling industry, expert advice, ftc, future of MLM, mlm, Multilevel marketing, network marketing, personal use, Pyramid Scheme, quote, World of Direct Selling | Comments Off

Why Do I Need an Experienced Network Marketing Attorney?

Posted on October 1, 2013 by Charity

An experienced and seasoned direct sales attorney can be the single most valuable resource that a MLM company can ever utilize. Look for a professional who has represented leading direct selling companies as well as startup companies. As industry experts, … Continue reading →

Posted in Advertising, Compensation Plan, Compliance Guidelines, Consulting, Consumer Protection, Direct Selling, Distributors, Earnings Claims, FDA, For MLM Executives, FTC, Home-Based Business, Internal Consumption, IRS, Legal, Marketing, MLM, MLM Articles, MLM Attorney, MLM Companies, MLM Startup, Network Marketing, Party Plan, Pyramid, Registration, Sales Tools / Kits, Software/Technology, Success, Tax, Trademarks, Training | Tagged Attorney, business opportunity rule, CEO, company owners, compensation plan, direct selling, executives, FDA, ftc, IRS, law, lawyer, legal, mlm, MLM Law, MLM lawyer, MLM Legal, MLM state statutes, network marketing, party plan, postal regulations, regulation, sales tax, securities, vendor | Comments Off

MLMLegal.com Featured in September Issue of Direct Selling News

Posted on September 3, 2013 by Charity

Direct Selling News featured MLM expert attorney, Jeff Babener, editor of MLMLegal.com, in its September issue. Direct Selling News sourced the following notable article “Herbalife: What the Short Sellers Missed on the Way to the Press Conference,” written by … Continue reading →

Posted in Compliance Guidelines, Consulting, Consumer Protection, Direct Selling, Distributor Education, For MLM Executives, FTC, Headlines, Home-Based Business, Internal Consumption, Legal, MLM, MLM Articles, MLM Attorney, MLM in the News, Network Marketing, Party Plan, Personal Use, Pyramid, Training | Tagged article, consumption, direct selling, Direct Selling News, federal, ftc, headlines, Herbalife, Herbalife: What the Short Sellers Missed on the Way to the Press Conference, law, legal, mlm, Multi-level marketing, network marketing, New Perspective, news, party plan, personal use, Pyramid, September 2013 | Comments Off

What is “Front Loading” or “Inventory-Loading?”

Posted on July 30, 2013 by Charity

Front loading is when a MLM company requires a consultant to purchase an unreasonable amount of inventory that cannot realistically be resold and/or used within a reasonable amount of time. Apart from general pyramiding accusations, the direct selling industry can … Continue reading →

Posted in Consultants, Consulting, Direct Selling, Distributor Education, Distributors, For MLM Executives, FTC, Home-Based Business, Law Cases, Legal, MLM, MLM Articles, MLM History, Network Marketing, Party Plan, Pyramid, Recruiting, Training | Tagged buy-in, consultants, direct selling, Federal Trade Commission, Five ways to tell if it's a pyramid scheme, front loading, ftc, FTC v. Equinox, IBO, inappropriate activity, inflated prices, inventory loading, legal, legitimate, marketing plans, mlm, MLM Law, MLM Law in 50 States, network marketing, Pyramid, recruiting, representatives, require substantial initial cash investments | Comments Off

The FTC Speaks out on Direct Selling

Posted on May 30, 2013 by Charity

The Federal Trade Commission (FTC) is the primary federal enforcement agency for the direct selling, network marketing and multilevel marketing (MLM) industry. In its own words, here is the FTC’s advice for evaluating a direct selling opportunity: Multilevel Marketing In … Continue reading →