FTC Order May Guide Cos. In Avoiding Pyramid Scheme Label - Law360
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By Branko Jovanovic and Lia Bozzone (June 28, 2023, 6:20 PM EDT) -- While the direct-selling world was awaiting U.S. District Judge Barbara Lynn's decision in Federal Trade Commission v. Neora LLC, in which the FTC alleged that Neora operated an illegal pyramid scheme, the FTC v. Noland case largely flew under the radar....
This post contains a video, which you can also view here. To support more videos like this, head to patreon.com/rebecca! Transcript: You guys probably already know I am not a fan of MLMs: five years ago I did a video all about them, but just to recap, MLM stands for "multi-level marketing," and it's sometimes known as network marketing. MLMs are basically like pyramid schemes that also sell a product, which allows them to operate legally while continuing to pull people in with promises of huge profits from "working from home" that rarely, if ever appear. No one really wants the overpriced essential oils, skincare, or shampoo you're peddling, and so your best bet is to try to recruit people onto your "team," and the best way to do that is to either go after your friends and family or become a social media "influencer" and convince random people on TikTok or Facebook to join your weird little expensive cult. And I don't use the wo...
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