Spotlight on MLM: Lawsuit filed by Quixtar, Amway, Alticor, whatever the company is called today

A short story ran in the Detroit Free Press on Saturday about Quixtar (Amway, Alticor, etc.) and a lawsuit against bloggers and online forum participants. Althought the lawsuit was filed against 30 John Does, it is specifically targeting a former Quixtar distributor group who previously sued Amway/Quixtar/Alticor. They did not win the suit, and are apparently under acourt order to not say bad things about the company or disclose certain secret information.

Does this affect Pink Truth? I don’t think so. This suit is targeting people who were specifically prohibited from giving opinions or (negative) facts on the company. The public at large, however, is permitted to publicly discuss facts, opinions, and experiences. And that’s exactly what we’re doing on Pink Truth.

The article :

GRAND HAVEN, Mich. — Direct-marketing firm Quixtar Inc., a sister company of Amway Corp., has sued 30 people who anonymously posted what it considers disparaging remarks about Quixtar in blogs and online forums and in YouTube.com videos.

In the lawsuit filed this past week in Ottawa County Circuit Court, Quixtar seeks an injunction and damages of more than $25,000 against the posters, identified only as John Does.

Quixtar believes the videos and other postings are part of an organized effort by former distributors who unsuccessfully sued Alticor and are under court order not to disparage the company or disclose proprietary information, according to the lawsuit.

In one video the lawsuit cites, a man wearing a shirt that says “Property of Quixtar” rants about the company. In another, a man points out products at a grocery store priced much lower than comparable Quixtar products.

Quixtar plans to ask for permission to subpoena various online companies to figure out who posted the materials, spokesman Rob Zeiger said.

Quixtar develops and manufactures nutrition, beauty and cleaning products that are marketed through a tiered selling system. Parent company Alticor Inc. uses the Quixtar name for its U.S. and Canadian direct sales unit and sells products throughout the rest of the world as Amway Corp.

Alticor, a $6.3 billion company based in Ada, Mich., announced in June that it will start phasing out the Quixtar name and rebuilding its Amway brand in the U.S. and Canada.

2 Comments

  1. √NO-RECRUIT NO-PAY Δ TIP-OFF TO A RIP-OFF™ “Crush it #1~>Obama-backers!” Where’s the peoples justice? >>~>• http://www.supremecourt.gov/ FTC Cult expert Steve Hassan provides an interview in which he details techniques that have been utilized upon MLM distributors.

    If participants must recruit and buy products to be successful, or if the pay plan’s primary rewards are for building a downline, it should be considered a recruitment-driven MLM, and hence an illegal pyramid scheme. √≡ Melaleuca “NoRecruitNoPay™

    √Recruitment-driven MLM – an MLM with a compensation plan that rewards primarily distributors who recruit huge downlines, and is therefore a product-based pyramid scheme. KK© 2015 All rights Reserved. https://kenklocke.wordpress.com

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