DSSRC Administrative Closure #177
The Direct Selling Self-Regulatory Council (“DSSRC”) contacted a direct selling company (the “Company”) regarding seven social media posts that DSSRC was concerned communicated the message that the Company’s products effectively treated serious health-related conditions such as cancer, diabetes, and migraines. The posts were identified by DSSRC pursuant to its ongoing, independent monitoring of the direct selling industry.
The company promptly responded to DSSRC’s notice of inquiry and provided DSSRC with a copy of the Company’s policies and procedures on disciplinary actions regarding salesforce members who disseminate claims such as those referenced in DSSRC’s inquiry. Six of the seven posts have been removed from circulation and the Company informed DSSRC that it has taken actions in accordance with its internal policies and procedures to discipline the salesforce member responsible for the remaining post. The Company also pledged to update its compliance training and to provide further commitment to an internal monitoring of social media claims made by salesforce members.
Based on the Company’s good faith actions to address DSSRC’s concerns, DSSRC administratively closed this inquiry
(closed on 6/21/2021)
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