Comment Number: 522418-03162
Received: 6/17/2006 7:40:44 PM
Organization: Xango
Commenter: Rebecca Mar
State: TX
Subject: Business Opportunity Rule
Title: Notice of Proposed Rulemaking
CFR Citation: 16 CFR Part 437
No Attachments

Comments:

I have been in Xango for 7 months. I have been in other network marketing businesses and believe that this rule would be unfair to the company and the consumer. First, I think that the small companies are being singled out. If this is to be a rule, it should be mandatory for everyone, not just the smaller companies. Many of the things that this ruling asks for are not fair. It does not distinguish between winning and losing lawsuits. It is difficult to collect required data. Targeted "bad actors" will not provide accurate data, while legitimate companies will and this will harm legitimate business. It will be impractible to find the 10 nearest existing sales people. We sponsor people all over the country. We, as representatives of the company, are not allowed to know all of the people in the business. This is the way it should be. There are serious privacy and safety issues associated with this, not to mention possible corporate liabilty for ID theft. The 7 day waiting period will be unfair. Many of the consumers who get into Xango need the product immediately and this will prolong their need for this product unnecessarily. Often people are helped within a week's time. Also, this will put an unnecessary negative feeling toward this product and the company to make them wait. This, in my opinion, is a fraudulent injustice to the company which is legitimate and strives constantly to live up to the law. I appreciate the fact that the FTC strives to protect the consumer. There are fraudulens groups out there, but this particular rule unfairly targets legitimate direct selling businesses. I feel that the FTC needs to do the right thing to stop fraudulent groups, but not to hurt legitimate businesses and the consumers who depend on our product. Rebecca