The FTC’s ability to regulate consumer markets is largely created and limited by Section 5 of the FTC Act. The FTC’s power comes from US, you and I legislatively, by way of our chosen representatives. There’s a specific provision in the Act that pertains to the sorts of remedies the FTC can obtain in its […]
TLDR; There is zero gray here. THE FIELD CANNOT COMMINGLE ANY CONTENT WITH COVID. Companies need to increase their efforts to police content referencing COVID; educate the field to avoid referencing COVID; leverage every online tool available to blast the message as far and wide as possible i.e. email newsletters, splash disclaimers on the homepage, […]
The Federal Trade Commission continued its recent flurry of activity against network marketing companies with the public announcement of a lawsuit against company Success by Health. This marks the third action against an MLM in the last four months (the Advocare settlement in October of ’19 and the ongoing Nerium/Neora lawsuit filed in November of […]
“Never take advice from anyone in a tie. They’ll bankrupt you. It’s very difficult to argue with salaried people that the simple can be important and the important can be simple.” – Nassim Nicholas Taleb, author of the Incerto. Lawyers in our industry have a knack for making the simple complicated, repeating the same tired […]
Deborah Heisz and I had a casual chat about Neora’s recent challenges with the FTC. We discussed the genesis of the FTC investigation, a few details of the settlement negotiations, the FTC’s view of the network marketing model, Neora’s financial ability to continue with litigation, and a lot of other things. Heisz’s transparency about the […]
Confirming longstanding suspicions held by many since the company publicly announced back in May of 2019 plans to disband its network marketing distribution model, the Federal Trade Commission formally announced an enforcement action and settlement order(s) today with MLM company Advocare. Beyond a $150 million monetary judgment and the company’s permanent exit from the direct […]
