DSSRC Administrative Closure #255

The Direct Selling Self-Regulatory Council (DSSRC) contacted a direct selling company (“Company”) regarding certain earnings claims and one health-related product claim that were disseminated on social media by the Company’s salesforce members. The claims at issue were all disseminated on Facebook. 

DSSRC contacted the Company and expressed concern that the posts that formed the basis of the inquiry included unqualified claims that the Company’s business opportunity offered “unlimited income potential,” “vacation bonuses,” “generational wealth,” and “life-changing income.” One claim suggested participants could earn a “full-time salary” and “quit their day job.” Section 6 of DSSRC’s Guidance on Earnings notes that such language is prohibited when made to a general audience of prospective or current salesforce members, as they carry a high risk of being misleading. In addition, the remaining post claimed that the Company’s products can effectively treat migraine headaches.

Shortly after commencing the inquiry, the Company promptly responded to DSSRC and took remedial action to address DSSRC’s concerns including removing all of the non-compliant content. 

Based upon the Company’s bona-fide efforts to address DSSRC’s concerns, DSSRC administratively closed this inquiry

(Administrative Closure #255, closed on 11/17/22)
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