AdvoCare Abandons MLM: Uncertainty Returns to Direct Selling

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AdvoCare Abandons MLM: Uncertainty Returns to Direct Selling On May 17, 2019, a 26-year-old AdvoCare announced, its only "viable choice" was closure of the MLM aspect of its business. Kevin Thompson MLM Attorney

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As a collective of people engaged in the direct selling channel of distribution, we’d like to think we’ve got all our major obstacles figured out. But there’s an awful lot of uncertainty swirling around us right now. Even before AdvoCare’s stunning announcement on May 17, this year has felt like a year of change on many fronts.

AdvoCare Abandons MLM: Uncertainty Returns to Direct Selling Article. FTC Guidelines on Endorsements and Testimonials Analysis. FTC Guidelines on Advertising. Business Guidance Concerning Multi-Level Marketing, January 2018. FTC Final business opportunity rule. Still Work to Do. FTC Exempts MLM from Proposed Business Opportunity Rule

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At a minimum, the threat of FTC prosecution, pursuant to the new suggested paradigm, has caused major uncertainty in the direct selling community. with attendant options of "fight", "capitulate" or "find common ground". Abandoning Amway. In abandoning support for the Amway Safeguards Standard, Chairwoman Ramirez stated as a premise:

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