Lessons from the FTC’s Herbalife and Vemma cases
As part of the FTC’s historic $200 million settlement with Herbalife, about 350,000 Herbalife distributors should be watching their mail for a partial refund check. The FTC has more information…
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Vemma Agrees to Ban on Pyramid Scheme Practices to Settle FTC Charges
Under a settlement with the Federal Trade Commission, Arizona-based Vemma Nutrition Company will end the business practices that the FTC alleged created a pyramid scheme. The multi-level marketing (MLM) company,…
Vemma Reaches Settlement Agreement in FTC Pyramid Case
Vemma, its CEO Benson K. Boreyko and top distributors have reached a settlement with the FTC in the pyramid scheme case the agency filed more than a year ago pending…
Herbalife: Get Out Of Dodge
Summary Italy has an easier time stopping MLMs by focusing on conscripted consumption, and false product claims. In the US Anthony Powell fled Herbalife for Vemma, Vemma soldiers moved to…
FTC vs Network Marketing Industry: Defense Fund Formed
Network Marketing Icon Richard Bliss Brooke has taken the initiative to launch a Defense Fund as the FTC (Federal Trade Commission) attack on Vemma is considered by many as an…
Bill Ackman Comments on Herbalife Short
Our thesis on HLF remains unchanged. We believe that Herbalife will ultimately be subject to regulatory action or will collapse because of fundamental deterioration in its business which relies on…
Did The FTC Just Shape The Future Of Multi-Level Marketing?
By: Seeking Alpha On November 12 the FTC approved Vemma’s New Compensation Plan. The plan states participants may not “qualify” with their own purchases therefore removing any motive to inventory…
Judge Rejects Vemma’s Proposed Compensation Plan over Inventory-Loading Concerns
A federal judge has denied Vemma Nutrition Co.’s motion to approve its revised compensation plan, under the terms of a preliminary injunction issued against the Arizona-based company last month. In…
Herbalife: What Matters
Now that the dust has settled from the Vemma ruling and we have discussed why a negative FTC ruling does not hurt Herbalife, let us look at why HLF is…
MLM Industry Put On Notice, With FTC Pulling Out Of A Skid In The Vemma Case
Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. Transcripts of Wednesday’s Vemma hearing had me squirming in…