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 and direct selling 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 […]

    Vemma Analysis: Lessons Learned – Part 1

      Thompson Burton redefines the art of law by utilizing creativity, technology, flexibility and innovation to more effectively deliver information and connect with our clients. With that in mind, we’re not wedded to the old ways of practicing law behind bookcases and conference room tables. We’re committed to delivering exceptional results while maintaining our vision for transparency and accessibility.

      This article was written jointly by both Kevin Thompson and Kevin Grimes As most of you know, the FTC sued Vemma, alleging the company to be a pyramid scheme. Without a hearing, the FTC convinced a federal judge to shut down the company with a temporary injunction. On September 15, Vemma had an opportunity to […]

      The Economics of MLM Litigation

        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.

        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

          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.

          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. […]

          MLM Special Deals: Disclosure Requirements (Part 2)

            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.

            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)

              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.

              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 […]