News | Anti/MLM in the News

November 1, 2019

Neora Files Suit Challenging FTC’s Attempt to Change Direct Selling Laws

The Federal Trade Commission (“FTC”) has recently targeted the direct selling industry, trying to change the way direct sales companies can operate without going through the proper legislative process or formal rulemaking. Industry leader Neora has rejected an offer from the FTC to settle a threatened lawsuit, and moreover, has stepped up to file suit challenging the FTC’s ability to retroactively change the law without proper authority from Congress or through formal FTC rulemaking.”

To read the full press release click here

November 1, 2019

FTC Sues Multi-Level Marketer Neora, formerly known as Nerium, Alleging it Operates as an Illegal Pyramid Scheme

“The Federal Trade Commission sued the multi-level marketer Neora, LLC, formerly known as Nerium International, LLC, and its Chief Executive Officer, Jeffrey Olson, alleging that the company operates as an illegal pyramid scheme and falsely promises recruits they will achieve financial independence if they join the scheme. The lawsuit also alleges that defendants deceptively promote “EHT” supplements as an antidote to concussions and chronic traumatic encephalopathy caused by repetitive brain trauma, as well as Alzheimer’s disease and Parkinson’s disease. The FTC is seeking to permanently stop the defendants’ deceptive practices and return money to consumers.”

To read the full press release click here

October 2, 2019

FTC: AdvoCare business model was pyramid scheme

“Multi-level marketer AdvoCare International, L.P. and its former chief executive officer agreed to pay $150 million and be banned from the multi-level marketing business to resolve Federal Trade Commission charges that the company operated an illegal pyramid scheme that deceived consumers into believing they could earn significant income as “distributors” of its health and wellness products. Two top promoters also settled charges that they promoted the illegal pyramid scheme and misled consumers about their income potential, agreeing to a multi-level marketing ban and a judgment of $4 million that will be suspended when they surrender substantial assets.”- FTC: Source

 

If you want to view the full press release, you can read it here


VICE - Why Women Are Quitting Their Side Hustle: Leaving LuLaRoe

Young Living sued for operating a Pyramid Scheme

4.19.2019

Young Living has been sued for operating an illegal pyramid scheme created under the guise of selling essential oils for quasi-medicinal purposes. This comes as no surprise to many of us that have seen the complaints made about this company. [Source]

Read Ethan Vanderbuilts article where he goes into more detail.