Code Responsibility Officers
The DSA Code of Ethics mandates that all pending and active members of DSA designate Code Responsibility Officers (CRO).
DSA Code of Ethics, Section B, 3 - Code Responsibility Officer
Each member company and pending member company is required to designate a DSA Code Responsibility Officer. The Code Responsibility Officer is responsible for facilitating compliance with the Code by their company and responding to inquiries by the DSA Code Administrator. He or she will also serve as the primary contact at the company for communicating the principles of the DSA Code of Ethics to their independent salespeople, company employees, customers and the general public.
Every year at renewal, companies are ask to reaffirm that selection or designate another individual for that task. As indicated in the mandate in the Code, the CRO is the point person for the Code within that company. They are responsible for all aspects of facilitating compliance with the Code. They are responsible for responding to all inquiries from the DSA Code Administrator. The CRO is also responsible for communicating the principles of the Code to their independent salespeople, company employees, customers and the general public.
Some Key Points of Focus:
- The CRO should have a good understanding of what is required by the Code with regard to the company and the salesforce.
- The CRO should ensure that the company has procedures in place that properly inform and educate their salesforce about obligations under the Code.
- The CRO should ensure that their compensation plan remains focused on the sale of products to end users.
- The CRO should ensure the 90% buyback provisions are being communicated and enforced.
- The CRO should ensure that the company maintains a link on the company website to the DSA Code of Ethics.
- The CRO should ensure that the company’s sales receipts are “Cooling-off” compliant.
- The CRO should ensure that any claims by the company or the salesforce about the company or the company’s products or services are accurate and not misleading.