Editor's Picks
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by Mark Rawlins
August 22, 2016FTC Demands Customers. How Will You Comply?
The Herbalife settlement is out. We’ve had time to examine its contents. We have compared this settlement with last year’s Vemma case. Several of the particulars the FTC went after in each case ar...
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by Nancy Tobler
Multi-level Marketing and Internal Consumption -
by Tina Rawlins
Making Earning and Product Claim Guidelines for Your Business -
by Spencer Reese
Binaries-Double Trouble! -
by Spencer Reese
Problems The FTC Sees In “Pay To Play” Commission Plan
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April 1, 2019
Spencer Reese Weighs in on MLM Law, Civil Suits, and Public Perceptions
Podcast episode 39
It’s no secret that MLMs exist in a bit of a grey area. There is no federal definition of a pyramid scheme. Over the years, regulators’ objectives and strategies change—sometimes in a major way. But have you noticed all’s quiet on that front? There hasn’t been a major government action agains... Read more ›
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January 14, 2019
China 2019: Still Open for Network Marketing Businesses
Despite gloom in the global economy and fears of a US-China trade war, growth in China’s retail sales (and direct sales in particular) remain robust. Chinese culture lends itself to the proliferation of network marketing models as it is very much a network culture where word of mouth marketing is kin... Read more ›
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May 28, 2018
What you need to know about buying and selling supplements
Nutritional supplements are big business. According to Statista, Americans spent $36.1 billion dollars on retail nutritional supplements in the year 2017. But traditional retail isn’t the only way that consumers buy supplements—the direct selling industry provides many high quality and unique nutritional ... Read more ›
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April 16, 2018
Boosting transparency to save direct sales
Podcast episode 24
Spencer Reese joins us again to talk about the current legal climate for MLM companies. He talks to us about the evolving definition of inventory loading, the dangers of illegal income claims, and the surprising absence of pyramid scheme allegations in recent FTC actions against direct sellers. Spence... Read more ›
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April 9, 2018
How to avoid joining a scam
Tips for differentiating legitimate direct sellers from pyramid schemes
First-time MLM distributors often wonder if the company they’re thinking about joining might be a scam. Unfortunately, some companies claiming to be legitimate MLMs are pyramid schemes. But many MLMs are legitimate businesses. So how can you tell the good from the bad? It’s not a bad idea to Google the... Read more ›
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September 11, 2017
A Castle Built on Sand
Challenges and opportunities for network marketing in China
This article was written by Mark Schaub (International partner), Atticus Zhao (Senior associate), and David Hong (Foreign law consultant) and reposted with permission. China is the promised land for many international network marketing companies. China has what network marketing companies thrive on: co... Read more ›
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March 26, 2017
8 Tips for Tightening Your MLM Legal Strategy in the US
Is your network marketing company safe? It’s the question you secretly dread. No one can tell you with certainty how to keep your direct sales company out of regulators’ crosshairs. No two rulings (or settlements) are the same. As circumstances change, regulators change their focus. If they act against y... Read more ›
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