DSSRC Administrative Closure #342
The Direct Selling Self-Regulatory Council (DSSRC) contacted a direct selling company ("Company") that markets home and personal fragrance products regarding six online posts that referenced “financial freedom.” The posts appeared on Facebook, LinkedIn and in salesforce member blog posts.
Upon receipt of the inquiry, the Company immediately took corrective action to address the identified online posts by contacting the individuals responsible for disseminating the posts, resulting in the removal of three posts in their entirety and modification of the remaining posts to eliminate the reference to “financial freedom.”
DSSRC determined that the Company's actions were necessary and appropriate. As noted in Section 6 (a) of DSSRC's Guidance on Earnings Claims for the Direct Selling Industry certain words or phrases, including “financial freedom,” carry a high risk of misleading consumers when used in a general context.
As detailed in Section III of the DSSRC Policy and Procedures, DSSRC assesses the truthfulness, accuracy, and substantiation of earnings and product claims made by direct selling companies and their salesforce members.
In conclusion, the Company demonstrated its commitment to voluntary self-regulation by promptly addressing DSSRC’s concerns. As such, DSSRC administratively closed its inquiry.
(Administrative Closure #342, closed on 12/18/24)
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