Case #136-2023: Administrative Closure – Grace & Heart
BBB NATIONAL PROGRAMS
Direct Selling Self-Regulatory Council
Case #136-2023: Administrative Closure – Grace & Heart
Company Description
Grace & Heart (or the “Company”) was a direct selling company based in California. The Company was established in 2015 and sold fashion jewelry.
Basis of Inquiry
The Direct Selling Self-Regulatory Council (“DSSRC”) is a national advertising self-regulation program administered by BBB National Programs. This inquiry was commenced by DSSRC pursuant to its ongoing independent monitoring process, which monitors advertising and marketing claims disseminated by direct selling companies and their salesforce members.
This inquiry concerned six earnings claims disseminated on social media by Company salesforce members. DSSRC was concerned that the posts communicated non-representative claims regarding the amount of income that the typical company salesforce member could earn from the Company’s business opportunity.
- “Full or part time income”
- “Why Grace & Heart? Fun & financial freedom in retirement”
- “they’re making big full-time incomes”
- “Do you want to earn some extra income to pay off your Holiday bills and other bills, save for a vacation or even better, earn a Free Vacation with Grace and Heart Jewelry company?”
- “We have women who have been selling for us for years that are making 100 to 150 to 250 a month…all the way up to women that are making well into six figures.”
- “You’re making a full-time living, you’re working about 15 to 20 hours a week”
Administrative Closing Summary
Shortly after this inquiry was commenced, it came to DSSRC’s attention that Grace & Heart ceased operations in July 2023, and is no longer in business. The dissolution of Grace & Heart was confirmed by DSSRC during an email exchange with the Company’s founder, Suzanne Garrett, and by several Facebook posts disseminated by ex-salesforce members. Ms. Garrett informed DSSRC that all of the posts at issue were disseminated before termination of the Grace & Heart business. Although another jewelry company continues to sell the remaining inventory from Grace & Heart, the salesforce members who had worked for Grace & Heart have no current affiliation with the company that continues to sell the remaining Grace & heart inventory.1
As noted in Section III of the DSSRC Policy and Procedures, DSSRC reviews earnings claims and product claims made by any direct selling company (i.e., companies who sell their products and services directly to consumers through an independent salesforce) and/or its salesforce members and evaluates the truthfulness, accuracy, and substantiation of such earnings and product claims. Because Grace & Heart has since closed its business, DSSRC administratively closed the inquiry.
(Case No. 136-2023 closed on 11/17/23)
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[1] Despite the closing of the Grace & Heart business, DSSRC nevertheless recommended to Ms. Garrett that she make a good faith effort to contact the individuals responsible for the posts and request that they be removed.