Herbalife - The Next Chapter in Recognition in Portland, Oregon For Sale

BELGIAN APPEAL COURT: HERBALIFE IS NO PYRAMID: VALIDATES LEGITIMACY-
http://mlmlegal.com/herbalife%20is%20no%20pyramid.html
And that Name is not "Pyramid."
So says a Belgian Appeal Court about American direct selling/network marketing company, Herbalife, a company with thousands of distributors in more than 80 countries.
In a ruling, December 2, xxxx, the Court of Appeal in Brussels, came down like a sledge hammer on a lower court ruling of November, xxxx by the Brussels Commercial Court.** (Test-Aankoop v. Herbalife International Belgium NV, A.R. xxxx/xxxx). The Appeal Court categorically reversed a lower court finding that Herbalife was a pyramid. To the contrary, it found the company to be in compliance with Belgian law and non-binding guidance that it referenced from the European Directive on direct selling.
**See a translated copy of the actual Belgian Court of Appeal Herbalife ruling.
Although a European court ruling, the core issue of "recognition of validity of personal use by direct selling distributors" has dominated discussion about the legitimacy of direct selling companies in the U.S. and internationally for two decades, and the import of this case and its discussion cannot be underestimated in its potential impact on future U.S. and international cases which distinguish legitimate direct selling from pyramid schemes.
The Belgian Lawsuit and the Lower Court Ruling.
Based on a lawsuit brought by a nonprofit group, Test-Aankoop, in xxxx, the lower court held Herbalife to be violative of Belgian law prohibiting pyramid schemes, the WMPC, the Belgian Law on Unfair Commercial Practices. The applicable pyramid law, as described by the Belgian Court of Appeal is as follows:
"Article 91, 14° of the WMPC (Law of April 6, xxxx, on market practices and consumer protection) provides that under all circumstances the following commercial practice shall be regarded as unfair:
establishing, managing or promoting a pyramid scheme in which a consumer or an enterprise, after payment, is likely to receive a compensation that is derived primarily from the introduction of new consumers in the scheme rather than from the sale or consumption of products."
Herbalife argued that many downline distributors joined Herbalife to purchase product for personal use and, therefore, were end consumers. However, the lower court rejected that purchases by Herbalife downline distributors for personal use should be recognized as sales to end consumers, opining that they were really just merchants purchasing within the sales force system, and therefore Herbalife violated Belgian law and was a pyramid.
Rejecting that distributor purchases could constitute sales to end consumers, the lower court dismissed the Herbalife explanation of its system:
?Contrary to what Herbalife contends, it has not been proven that the distributors sell to end consumers.?
And that was the end of the story ? at least for the lower court.
The Belgian Appeal Court: Herbalife is Not a Pyramid.
To read the full article, visit: http://mlmlegal.com/herbalife%20is%20no%20pyramid.html.
The pivotal issue of "personal use" will be thoroughly covered in the next Starting and Running the Successful MLM Company Conference taking place October 23 & 24, xxxx.
The conference will be held October 23 & 24, xxxx, which is quickly approaching!
For more than 26 years, leading industry experts have educated the executives of starting and existing MLM, direct selling, network marketing, and party plan companies on how to structure their compensation plans, legalize their companies, recruit key employees and top-ranking distributors, develop business models, generate leads, fund their business, establish their website and technology platforms, better understand the direct selling industry, and so much more.
The next MLM Startup Conference takes place October 23 & 24, xxxx in Las Vegas. View the conference flyer page at http://www.mlmlegal.com/srs2.html to learn more.
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