May 2020
Agency targets 10 companies for alleged COVID-19-related income and health claims from the field
By: David Rauf
“During this health and economic crisis, we are on the lookout for false income claims for work-at-home opportunities, in addition to spurious health claims that products can treat or prevent COVID-19.”
—Andrew Smith, Director, FTC Bureau of Consumer Protection
“Your business opportunity participants and representatives must immediately cease making all express and implied earnings claims that would be false or misleading to current or prospective participants.”
—Excerpt from the FTC’s COVID-19 letter to Rodan + Fields LLC, April 24, 2020
The Federal Trade Commission (FTC) has a message for direct sellers: Keep the COVID-19 pandemic totally out of your sales and recruiting spiels.
Attorneys provide answers on topics ranging from marketing to compliance
By: John Sanders, Katrina Eash and Rebecca Loegering from Winston & Strawn
Ensuring that compliance permeates all aspects of a business’s operation will certainly serve the long-term interests of a company by keeping it off the radar of regulators.
Editor’s Note: The attorneys at Winston & Strawn have provided answers to the most common questions they’ve been asked about direct selling business practices by their clients during the COVID-19 pandemic. In the article below they share their insights and opinions.
The future of network marketing alone together
By: Steve Jamieson
While the rest of the world recently learned what “Alone Together” truly means, network marketing has been refining that socio-economic business model for many years.
One of the foundational principles of network marketing was based on the simple premise that you cannot be in two places at once. Hence, network marketing created a structure to leverage the time and efforts of potentially thousands of people to help individual entrepreneurs reach a financial success they could not achieve on their own.