Sunday, September 25, 2005

The Legal Definition of Pyramid Selling

Laws vary from country to country, as a rule of thumb the following marketing practices would render a scheme illegal in most countries.

* A participant is required to buy a specific quantity of products, other than at cost price for the purpose of advertising, before the participant is allowed to join the plan or advance within the plan.

This is not the case with Emerald Passport where there is no requirement to buy the product.

* Participants are knowingly sold commercially unreasonable quantities of the product or products. (This practice is called inventory loading).

This is not the case with Emerald Passport.

* Participants are not allowed to return products on reasonable commercial terms.

Not applicable to Emerald Passport.

* Participants are required to pay for the right to receive compensation for recruiting new participants.

Emerald Passport participants do not have to pay or purchase the product to be eligible to receive compensation for recruiting new participants.

DISCLAIMER.

This information is of a general nature only and is not intended to constitute advice for any specific situation.

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