Historical Perspective on the Seventy Percent Rule

    Kevin Thompson is an MLM attorney, proud husband, father of four and a founding member of Thompson Burton PLLC. Named as one of the top 25 most influential people in direct sales, Kevin Thompson has extensive experience to help entrepreneurs launch their businesses on secure legal footing. Recently featured on Bloomberg TV and several national publications, Thompson is a thought-leader in the industry.

    Out of all of the topics covered in MLM law, there is not a single topic more obfuscated and misinterpreted than the 70% Rule. This rule has been purposefully screwed up by MLM critics in an effort to craft a narrative that suits their agenda. Candidly, I’m shocked that neither myself nor my peers have […]

    Network Marketing in 2016: Back to Basics

      Kevin Thompson is an MLM attorney, proud husband, father of four and a founding member of Thompson Burton PLLC. Named as one of the top 25 most influential people in direct sales, Kevin Thompson has extensive experience to help entrepreneurs launch their businesses on secure legal footing. Recently featured on Bloomberg TV and several national publications, Thompson is a thought-leader in the industry.

      When Paul O’Neil delivered his first speech as CEO at Alcoa (the aluminum manufacturing giant), he shocked the audience of shareholders when he disclosed his top priority for his tenure as CEO.  Instead of doing the usual dance where the CEO talks about increasing sales, increasing margins and driving down costs, he talked about something […]

      What Makes a Company a MLM?

        Thomas Ritter is an associate attorney at Thompson Burton PLLC. His practice area focuses primarily on business transactions, direct selling law, and cybersecurity law. He assists a variety of businesses, from well-established companies to early stage start-ups.

        I recently fielded a phone call from a business owner who asked me the following question: Does my business model qualify as a multi-level marketing company? It’s a good question whose answer invokes a variety of possible legal implications. THE MLM LEXICON With no single authority providing some sort of precedential definition of “MLM,” the best way of […]

        Required Purchases: The MLM Pay to Play Dilemma

          Thomas Ritter is an associate attorney at Thompson Burton PLLC. His practice area focuses primarily on business transactions, direct selling law, and cybersecurity law. He assists a variety of businesses, from well-established companies to early stage start-ups.

          When I sense a gap in the industry’s understanding on an issue, I see it as an opportunity to learn more and write content that sets the record straight. I’ve been fielding a lot of questions lately on the subject of whether a company can require monthly product purchases as a condition for pay plan […]

          Thompson Burton: Support Company of the Year

            Kevin Thompson is an MLM attorney, proud husband, father of four and a founding member of Thompson Burton PLLC. Named as one of the top 25 most influential people in direct sales, Kevin Thompson has extensive experience to help entrepreneurs launch their businesses on secure legal footing. Recently featured on Bloomberg TV and several national publications, Thompson is a thought-leader in the industry.

            I’m extremely proud to announce that our firm, Thompson Burton PLLC, recently received an award from The Academy of Multilevel Marketing (“TAMM”). Taken from TAMM’s website: TAMM’s mission is to recognize and reward industry leaders in all categories of business who exhibit the “best of the best.” Spearheaded by friend and industry advocate Len Clements, […]

            Fifth Circuit Creates an “Insurmountable Barrier” to Pyramid Class Actions

              Thomas Ritter is an associate attorney at Thompson Burton PLLC. His practice area focuses primarily on business transactions, direct selling law, and cybersecurity law. He assists a variety of businesses, from well-established companies to early stage start-ups.

              In the Fifth Circuit of the United States Court of Appeals, bringing a class action lawsuit against an alleged pyramid schemes just got a heck of a lot harder. According to one of the three Circuit Judges presiding over the case, the court’s decision gives illegal pyramid schemes a “Teflon coating” and protects them “not […]