News & Analysis as of

Federal Trade Commission (FTC) MLM Industry

Troutman Pepper Locke

FTC and Nevada AG Accuse ILM of Deceptive Advertising

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Nevada Attorney General (AG) Aaron D. Ford recently announced that the State of Nevada and the Federal Trade Commission (FTC) have filed a suit against IYOVIA. IYOVIA currently operates under the brand names IM Mastery...more

Lathrop GPM

FTC Proposes Changes to Deter Deceptive Earnings Claims by Multilevel Marketers and Money-Making Opportunity Sellers

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On January 13, 2025, the Federal Trade Commission announced that it is seeking public comment on proposed changes to the Business Opportunity Rule and a proposed new Earnings Claim Rule to strengthen the agency’s tools to...more

Venable LLP

FTC Issues Proposed Rulemakings Related to Deceptive Earnings Claims

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As part of a flurry of activity this week before the change in its leadership, the Federal Trade Commission (FTC) announced proposed rulemakings regarding deceptive earnings claims by multilevel marketers and money-making...more

Kelley Drye & Warren LLP

FTC Puts Pedal to the Metal to Release Proposed Rule on MLM Earnings Claims, Changes to Business Opportunity Rule—but Republican...

The FTC released two Notices of Proposed Rulemaking (NPR) and an Advance Notice of Proposed Rulemaking (ANPR) that would establish a new Earnings Claims Rule and expand the existing Business Opportunity Rule – changes that...more

Hinch Newman LLP

Did Your Company Receive an FTC Warning Letter or Notice of Penalty Offense?

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Has your company received an FTC warning letter or a penalty offense notice? If so, such correspondence should not be ignored because there is a high likelihood that the FTC is in the process of actively and quickly seeking...more

Wiley Rein LLP

Wiley Consumer Protection Download (September 17, 2024)

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Welcome to Wiley’s update on recent developments and what’s next in consumer protection at the Consumer Financial Protection Bureau (CFPB) and Federal Trade Commission (FTC). In this newsletter, we analyze recent regulatory...more

Venable LLP

Not So Fast: FTC Letter Rebukes Direct Selling Self-Regulatory Council Guidance

Venable LLP on

Historically, the Federal Trade Commission (FTC) has touted self-regulation as integral to consumer protection. This has included encouraging industries to work with the Better Business Bureau (BBB) in developing a...more

Hinch Newman LLP

Direct Seller Defeats FTC Pyramid Scheme Allegations

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In November 2019, the Federal Trade Commission filed a lawsuit against direct selling wellness company Neora, LLC (f/k/a Nerium International, LLC) and its Chief Executive Officer alleging that the company operates as an...more

BakerHostetler

AD-ttorneys@law - August 2023 #2

BakerHostetler on

“Blessing Loom” Scheme Unravels in FTC Settlement - Esoteric trappings can’t save pyramid-scheme-by-another-name - Neolawgism - By certain ironclad laws of demography, we aren’t allowed to add terms to the...more

BakerHostetler

AD-ttorneys@law – November 2020 #3

BakerHostetler on

FTC Tries to Clean Out 25 Fake Disinfectant Websites - But all information about scheme masterminds has been wiped away - Less Is More - There are elaborate schemes out there – boy, have we covered them. Misdirection, shadowy...more

Buchalter

FTC Enters Into Landmark Settlement With Network Marketing Company; Vemma Lives To Play Another Day

Buchalter on

The sixteen month long lawsuit between the Federal Trade Commission and Vemma Nutrition Company has come to a negotiated resolution under terms which will allow Vemma to continue operating its business under restrictions...more

Kelley Drye & Warren LLP

Vemma Settles Ongoing Litigation with FTC over Pyramid Charges

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The FTC announced today that it had settled charges with multi-level marketer and seller of health and wellness drinks Vemma over allegations that it operated a pyramid scheme. The FTC initially filed the action in August...more

K&L Gates LLP

Introducing the New Multi-Level Marketing Governing Act

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Taiwan had approximately 369 multi-level marketing (MLM) companies and a total of 3.09 million MLM participants as of December 31, 2012. Adjusting for people who participate in more than one MLM company, almost 12% of...more

K&L Gates LLP

Introducing the New Multi-Level Marketing Governing Act

K&L Gates LLP on

Taiwan has approximately 369 multi-level marketing (MLM) companies and a total of 3.09 million MLM participants, as of December 31, 2012. Adjusting for people who participate in more than one MLM company, almost 12% of...more

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