Two-month comment period underway to shape prospective rule impacting direct sellers
By: David Bland
The Federal Trade Commission (FTC) published its Advanced Notice of Proposed Rulemaking (ANPR) as well as a request for public comment concerning false, misleading and unsubstantiated earnings claims to the Federal Register on March 11.
This action starts the clock on a 60-day window in which the public may submit written comments, data and arguments in regard to the need for such a rulemaking. All public comment submissions are due by May 10.
The ANPR outlines the FTC’s consideration of a new earnings claims rule for several types of businesses promoting business opportunities, including multi-level marketers, gig economy platforms, for-profit colleges, franchises, e-commerce companies, and other business and investment opportunities.
The Commissioners also included in the ANPR a multitude of specific questions about various aspects of a potential new rule in an effort to guide and assist the public in its responses.
As the COVID-19 pandemic passes the two-year mark, the field’s giddiness from the channel’s record growth has given way to the emotional and mental weight of coping with ongoing disruptions from the Omicron variant’s ubiquitous surge. And with this surge comes more changes and shifts in consumer and distributor patterns.