The Economics of MLM Litigation

Thompson Burton’s MLM law practice often fields questions from companies looking to sue distributors for various reasons. We also take calls from distributors that are being sued by their former network marketing company.  We’ve seen the same issues litigated, over and over, from both sides, across the country. The surface reasons for these suits are […]

Education on Proper Weight Loss Claims

In a society that places a strong emphasis on appearance and in a country where a high percentage of Americans struggle with their weight, the U.S. market for weight–loss products is a booming industry. The FTC, along with other local and state consumer protection agencies, has recently started aggressively enforcing inappropriate claims for weight–loss products. […]

Jason Caramanis Lawsuits Revealed

Jason Caramanis, through his entity Online Communications, LLC, has filed several lawsuits against networkers in Orange County, California over the past few years (9 lawsuits that I could find, though I’ve heard there might be more). Jason Caramanis is a well-known networker known for his aggressive pursuit of other networkers via private deals. The lawsuits […]

DSA Hints At Its Intentions of Publicizing Code of Ethics Violations

Without question, self-regulation is better than government regulation. But when you remove the “regulation” out of “self-regulation,” it’s all sort of pointless. In other words, rules without penalties are meaningless. I was recently speaking at the Association of Network Marketing Professionals conference. It’s at these sorts of conferences where professionals get a sense of what’s […]

MLM Special Deals: Disclosure Requirements (Part 2)

Specific Strategies In Part 1 of our MLM Special Deal series, we covered the basic concepts about the need for disclosures when it comes to business development agreements. In this article, I provide specific strategies to help companies and distributors navigate the water. When does a deal need to be disclosed? In their FAQs, the […]

MLM Special Deals / Business Development Agreements: Disclosure Requirements (Part 1)

In December of 2014, I wrote an article titled “MLM Special Deals: The Fraud Ends Now.”  The article was about “Business Development Agreements” / confidential deals used by MLM companies to attract networkers.  The more success in prior companies, the sweeter the terms.  After reaching a deal, the networkers publicly announce, “After some serious due […]