Direct Selling Self-Regulation Council

DSSRC Case Decisions and Administrative Closures

Case Decisions

DSSRC Administrative Closure #44

DSSRC contacted a direct selling company about three social media posts disseminated by its salesforce members. The subject social media posts came to DSSRC’s attention pursuant to its independent monitoring of advertising in the direct selling marketplace. Specifically, DSSRC expressed concern that the three social media posts conveyed unsubstantiated earnings claims that individuals can make a minimum level of income and replace lost income due to the current COVID-19 pandemic.

The first post in question claimed that individuals can earn extra income by working only thirty minutes per day. The second post claimed that individuals that take part in the Company’s sales team can earn $2,100 in the next thirty days by joining the Company. Lastly, the final post encouraged individuals to join the Company and replace their lost income due to the current COVID-19 pandemic.

In response to DSSRC’s inquiry, the Company assured DSSRC that they share our mission and they are dedicated to educating their independent consultants on the FTC’s recent guidance to advertising in the direct selling market. The Company forwarded the issues to their compliance team who then contacted the responsible individuals in order to have the posts removed. DSSRC confirmed that the posts in question were in fact removed.

DSSRC expressed its appreciation to the Company for its efforts in removing the posts and its dedication to educating their independent consultants. As a result of the prompt actions taken by the Company, DSSRS administratively closed the inquiry.

(closed 6/30/2020)

 

 

 

 

Administrative Closure Summaries

 

DSSRC Administrative Closure #44

DSSRC contacted a direct selling company about three social media posts disseminated by its salesforce members. The subject social media posts came to DSSRC’s attention pursuant to its independent monitoring of advertising in the direct selling marketplace. Specifically, DSSRC expressed concern that the three social media posts conveyed unsubstantiated earnings claims that individuals can make a minimum level of income and replace lost income due to the current COVID-19 pandemic.

The first post in question claimed that individuals can earn extra income by working only thirty minutes per day. The second post claimed that individuals that take part in the Company’s sales team can earn $2,100 in the next thirty days by joining the Company. Lastly, the final post encouraged individuals to join the Company and replace their lost income due to the current COVID-19 pandemic.

In response to DSSRC’s inquiry, the Company assured DSSRC that they share our mission and they are dedicated to educating their independent consultants on the FTC’s recent guidance to advertising in the direct selling market. The Company forwarded the issues to their compliance team who then contacted the responsible individuals in order to have the posts removed. DSSRC confirmed that the posts in question were in fact removed.

DSSRC expressed its appreciation to the Company for its efforts in removing the posts and its dedication to educating their independent consultants. As a result of the prompt actions taken by the Company, DSSRS administratively closed the inquiry.

(closed 6/30/2020)

DSSRC Administrative Closure #44

DSSRC contacted a direct selling company about three social media posts disseminated by its salesforce members. The subject social media posts came to DSSRC’s attention pursuant to its independent monitoring of advertising in the direct selling marketplace. Specifically, DSSRC expressed concern that the three social media posts conveyed unsubstantiated earnings claims that individuals can make a minimum level of income and replace lost income due to the current COVID-19 pandemic.

The first post in question claimed that individuals can earn extra income by working only thirty minutes per day. The second post claimed that individuals that take part in the Company’s sales team can earn $2,100 in the next thirty days by joining the Company. Lastly, the final post encouraged individuals to join the Company and replace their lost income due to the current COVID-19 pandemic.

In response to DSSRC’s inquiry, the Company assured DSSRC that they share our mission and they are dedicated to educating their independent consultants on the FTC’s recent guidance to advertising in the direct selling market. The Company forwarded the issues to their compliance team who then contacted the responsible individuals in order to have the posts removed. DSSRC confirmed that the posts in question were in fact removed.

DSSRC expressed its appreciation to the Company for its efforts in removing the posts and its dedication to educating their independent consultants. As a result of the prompt actions taken by the Company, DSSRS administratively closed the inquiry.

(closed 6/30/2020)