DSSRC Administrative Closure #204
The Direct Selling Self-Regulatory Council (DSSRC) contacted a direct selling company (“Company”) regarding certain claims that were disseminated by the Company’s salesforce members on social media. The claims included health-related product claims that the Company’s products addressed conditions including adrenal fatigue, hormonal imbalance, anxiety, depression and inflammation. The claims also included earnings claims that the Company’s business opportunity offered time freedom, financial freedom and unlimited income.
The Company promptly contacted the salesforce members responsible for the posts and advised them to remove the posts at issue. All of the posts at issue were promptly removed from circulation.
The Company also outlined for DSSRC its efforts to train and effectively monitor claims disseminated by the Company’s salesforce members including the Company’s use of a third-party monitoring service and its plans to unveil a distributor compliance training program.
DSSRC administratively closed this inquiry based upon the good faith efforts demonstrated by the Company to address DSSRC’s self-regulatory concerns.
(Administrative Closure #202, closed on October 27, 2021)
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