In this Podcast Episode
Rob McNealy interviews one of his most popular guests, multi-level marketing scam expert Jon Taylor, about the dangers lurking behind an MLM exemption in the Business Opportunity Rule. If the rule goes into effect in it’s current form, it would exempt MLM companies from having to provide basic information to consumers that would help them determine the legitimacy of a company. Current commentary about the rule can be found here. Rob and Jon strongly urge listeners submit rebuttal comments to the FTC by July 1st!
More on the Business Opportunity Rule from Jon Taylor
According to Jon,
My big concern is the FTC proposal for a Business Opportunity Rule that would require promoters to reveal minimal information to protect consumers from scams. The MLM lobby screamed bloody murder and got 17,000 of their pyramid participants to write in and protest including MLM in the rule. They also got over 80 Senators and Congressmen to write in – for whatever political favors they had to offer – mostly money.
My position is that by excluding MLM the Rule would be more negative than positive because it would give MLM the excuse to say they the reason they were excluded is that they are legitimate businesses, etc.
Again, rebuttals can be submitted on the FTC website. Note that rebuttals can only be written in response to comments that have already been submitted. If you’re looking for a particular comment to rebut, check out this comment from the Direct Selling Association. The window for original comments is closed, and rebuttals must be submitted no later than June 16th!