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View Full Version : FTC Flunks First Court Test of ‘Biz-Op’ Rule (FTC vs Zaken)



JustTooMuchTime
09-10-2013, 11:20 PM
"Parsing the rule’s “business opportunity” definition, the court in Zaken held that defendants don’t offer a business opportunity under the rule because: a) they do not represent that they will “provide outlets, accounts, or customers” for the purchaser’s goods or services”; b) they do not provide such “outlets, accounts, or customers;” and; c) the sales commissions their finders receive upon converted merchandise leads do not constitute a “buyback” of their services."

Full article is here:
FTC Flunks First Court Test of (http://www.ftcadlaw.com/ftc-flunks-first-court-test-of-biz-op-rule/)

Original discussion about FTC vs Zaken at RealScam is here:

http://www.realscam.com/f10/ftc-vs-zaken-corp-1743/

Soapboxmom
09-11-2013, 09:45 AM
The FTC bites it again! Excluding MLM from the rule in the first place was strike 1!!!