Statement of DSA President Joseph N. Mariano on Herbalife's Settlement Agreement with the Federal Trade Commission

July 15, 2016

“We are confident that today's announcement regarding the settlement of the Federal Trade Commission (FTC) enquiry into Herbalife, a Direct Selling Association (DSA) member, will serve to answer questions and misunderstandings about the direct selling business model, which have arisen during the course of matter.

“Direct selling continues to have a special place in the American economy and the lives of millions of individual consumers and salespeople, as our recent announcement of 2015 record sales and the number people involved demonstrates.  Last year, over 16 percent of American households had someone involved with direct selling.   Given that presence, direct sellers have always recognized our unique obligations to our customers and salespeople, and today’s announcement by the FTC and Herbalife reinforces the importance of the principles and requirements of DSA's self-regulatory Code of Ethics for all DSA members. 

“As the voice of direct selling in the United States, business ethics and consumer protection are the heart of DSA’s mission.  We are proud of our decades-long commitment to self-regulation and look forward to continuing our dialogue with policy makers, the FTC, our member companies and other stakeholders to support and further strengthen policies that protect consumers, and what guidance direct sellers and other businesses might take from today's announced settlement.”

 

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I have additional questions, who can I contact?

You may contact David Riddy, DSA's Director of Communications & Marketing, at (202) 416-6408.