DSSRC Administrative Closure #218

The Direct Selling Self-Regulatory Council (DSSRC) contacted a direct selling company (“Company”) regarding certain earnings claims that were disseminated on social media by the Company’s salesforce members. The claims at issue were made via 11 posts on Facebook and included quantified earnings claims as well as claims that Company salesforce members can earn trips, significant income, free jewelry, financial freedom, or have a new career through the Company’s business opportunity. DSSRC expressed its concern to the Company that these Facebook posts communicated atypical earnings claims regarding the amount of income that could be generally expected by the typical salesforce member participating in the Company’s business opportunity.

The Company promptly responded to DSSRC’s inquiry and agreed that the earnings claims at issue in this inquiry were unsupported and should not have been made. The Company was able to have 8 of the 11 social media posts taken down shortly after DSSRC commenced this inquiry. As to the remaining three posts, the Company was ultimately able to have two of the posts removed and demonstrated to DSSRC that it was continuing its efforts to resolve the one remaining post at issue.

Accordingly, DSSRC administratively closed the inquiry and indicated to the Company that it will continue to monitor the marketing claims being disseminated by Company salesforce members on social media.

(Administrative Closure #218, closed on January 24, 2022)
© 2022 BBB National Programs

 

Subscribe to the Ad Law Insights or Privacy Initiatives newsletters for an exclusive monthly analysis and insider perspectives on the latest trends and case decisions in advertising law and data privacy.

 

 

 

 

Latest Decisions

Decision

National Advertising Division Recommends The Princeton Review Discontinue Point Increase Claims for MCAT Test Preparation Services

New York, NY – April 18, 2024 – In a Fast-Track SWIFT challenge, the National Advertising Division recommended that The Princeton Review (TPR) discontinue claims that its students “Score a 515+ on the MCAT or add 15 points depending on your starting score. Guaranteed or your money back.”

Read the Decision Summary
Decision

Direct Selling Self-Regulatory Council Recommends Trades of Hope Discontinue Salesforce Member Earnings Claims

McLean, VA – April 17, 2024 – The Direct Selling Self-Regulatory Council (DSSRC) recommended that Trades of Hope discontinue certain earnings claims made by salesforce members on Facebook and YouTube. 

Read the Decision Summary
Decision

National Advertising Division Recommends Lily of the Desert Nutraceuticals Discontinue “100% Pure Avocado Oil” Claim for Tropical Plantation Avocado Oil

New York, NY – April 15, 2024 – The National Advertising Division recommended that Lily of the Desert Nutraceuticals discontinue the claim “100% Pure Avocado Oil” for its Tropical Plantation Avocado Oil and avoid conveying the unsupported message that the product is 100% pure avocado...

Read the Decision Summary
Decision

National Advertising Division Finds Certain Fenty Skin Melt AWF Cleanser Performance Claims Supported; Recommends Modifications to Disclosures

New York, NY – April 12, 2024 – The National Advertising Division determined, as part of its routine monitoring program, that Fenty Skin LLC provided a reasonable basis for certain claims for its Melt AWF Jelly Oil Makeup-Melting Cleanser.

Read the Decision Summary