Direct Selling Self-Regulation Council

DSSRC Case Decisions and Administrative Closures

Case Decisions

DSSRC Administrative Closure #167

The Direct Selling Self-Regulatory Council (“DSSRC”) contacted a direct selling company (the “Company”) regarding three Facebook posts that were disseminated by its independent salesforce members. 

The first post originated in Asia and included a picture of the Company’s product accompanied by person who appeared to be protecting himself from virus particles that DSSRC determined could be reasonably interpreted as COVID-19 particles. The second post also was disseminated by a Company sales force member in Asia and implied that an ingredient contained in the depicted Company product could effectively treat several health-related conditions including, but not limited to, heart failure, fertility, diabetes and cancer. Similarly, the third social media post identified by DSSRC featured a picture of the Company’s product and insinuated that one of the product’s ingredient was beneficial for health-related conditions such as high cholesterol, colon cancer, breast cancer and leukemia.

After being informed of the social media posts at issue, the Company immediately contacted DSSRC and explained that the language used in the three posts were not approved by the Company and were in violation of its Policy & Procedures. The Company disabled all three of the claims within one week after receipt of the inquiry. 

Based upon the Company’s good faith actions to address DSSRC’s concerns, the matter was administratively closed.

(closed on 5/18/2021)
 

 

 

 

Administrative Closure Summaries

 

DSSRC Administrative Closure #167

The Direct Selling Self-Regulatory Council (“DSSRC”) contacted a direct selling company (the “Company”) regarding three Facebook posts that were disseminated by its independent salesforce members. 

The first post originated in Asia and included a picture of the Company’s product accompanied by person who appeared to be protecting himself from virus particles that DSSRC determined could be reasonably interpreted as COVID-19 particles. The second post also was disseminated by a Company sales force member in Asia and implied that an ingredient contained in the depicted Company product could effectively treat several health-related conditions including, but not limited to, heart failure, fertility, diabetes and cancer. Similarly, the third social media post identified by DSSRC featured a picture of the Company’s product and insinuated that one of the product’s ingredient was beneficial for health-related conditions such as high cholesterol, colon cancer, breast cancer and leukemia.

After being informed of the social media posts at issue, the Company immediately contacted DSSRC and explained that the language used in the three posts were not approved by the Company and were in violation of its Policy & Procedures. The Company disabled all three of the claims within one week after receipt of the inquiry. 

Based upon the Company’s good faith actions to address DSSRC’s concerns, the matter was administratively closed.

(closed on 5/18/2021)

DSSRC Administrative Closure #167

The Direct Selling Self-Regulatory Council (“DSSRC”) contacted a direct selling company (the “Company”) regarding three Facebook posts that were disseminated by its independent salesforce members. 

The first post originated in Asia and included a picture of the Company’s product accompanied by person who appeared to be protecting himself from virus particles that DSSRC determined could be reasonably interpreted as COVID-19 particles. The second post also was disseminated by a Company sales force member in Asia and implied that an ingredient contained in the depicted Company product could effectively treat several health-related conditions including, but not limited to, heart failure, fertility, diabetes and cancer. Similarly, the third social media post identified by DSSRC featured a picture of the Company’s product and insinuated that one of the product’s ingredient was beneficial for health-related conditions such as high cholesterol, colon cancer, breast cancer and leukemia.

After being informed of the social media posts at issue, the Company immediately contacted DSSRC and explained that the language used in the three posts were not approved by the Company and were in violation of its Policy & Procedures. The Company disabled all three of the claims within one week after receipt of the inquiry. 

Based upon the Company’s good faith actions to address DSSRC’s concerns, the matter was administratively closed.

(closed on 5/18/2021)