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 […]

    Vemma Analysis: Lessons Learned – 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.

      This is Part Two of our series on the Vemma ruling. In Part One of our Vemma analysis, we dissected the Court’s ruling and attempted to explain the basis for the Judge’s conclusions. Part Two is a discussion on the Order’s implications for Vemma and the industry. Before we begin, it’s important to understand that […]

      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 […]

        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. […]

          Federal Cooling Off Rule

            Kevin Grimes is one of the most experienced and accomplished MLM attorneys in America. Over his 22 career as a network marketing attorney, he has represented and advised the proverbial “Who’s Who” of direct selling and multilevel marketing including Herbalife, Shaklee, Tupperware, USANA, Metabolife, MonaVie, and hundreds more.

            The Thermonuclear, Scorched-Earth, Mother-Of-All Best Practices Series By Kevin Grimes Virtually everyone has heard something about some mysterious state or federal law or regulation that provides some buyers under certain circumstances the ability to cancel some types of purchases or contracts within three days. But . . . most folks are rather hazy on the […]

            MLM Special Deals: The Fraud Ends Now

              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.

              We’ve been tip-toeing around this issue for years. The first question: Is it legal to offer distributors special incentives (in addition to the pay plan) to join a company? Yes. Just like it’s legal to hire the services of a doctor to promote a new medical device. The second question: Is it legal when the […]