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

"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

Original discussion about FTC vs Zaken at RealScam is here:

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

The FTC bites it again! Excluding MLM from the rule in the first place was strike 1!!!