1. World Codes of Conduct for Direct Selling

2. zPresentation overview yPurpose yBackground yKey provisions yApplication World Codes of Conduct for Direct Selling

3. zPurpose yEnsure an ethical marketplace yImprove government and public perception yPromote fair competition World Codes of Conduct for Direct Selling

4. zPurpose yUnderpin self-regulation for industry ySupplement/expand on existing laws World Codes of Conduct for Direct Selling

5. zBackground y1993Commissioned by WFDSA y1994Approved by WFDSA board y1995Ratified by national DSAs y1996Implemented worldwide y1998 Extra-territorial World Codes of Conduct for Direct Selling

6. zBackground yTwo related codes xtoward consumers xtoward direct sellers, between direct sellers and between companies World Codes of Conduct for Direct Selling

7. zBackground yDSAs must adopt codes or equivalent yMember companies must abide World Codes of Conduct for Direct Selling

8. zKey provisions - consumer codes yNo deceptive, unfair sales practices yIdentification required World Codes of Conduct for Direct Selling

9. zKey provisions - consumer codes yAccurate, complete comparisons yClear price, terms of payment yCooling-off period and/or return rights yGuarantees/warranties yKey delivery details World Codes of Conduct for Direct Selling

10. zKey provisions - consumer codes yWritten order form required xcooling-off clause xguarantee/warranty terms World Codes of Conduct for Direct Selling

11. zKey provisions - consumer codes yTruthful and fair speech xonly company-authorized verbal promises xtrue, applicable, relevant testimonials xno deceptive/unfair comparisons or comments xrespect consumers’ request for privacy World Codes of Conduct for Direct Selling

12. zKey provisions - consumer codes yRequire sellers to be fair, responsive xno abuse or exploitation xtimely deliveries World Codes of Conduct for Direct Selling

13. zKey provisions - company/seller codes yThree aspects of conduct xbetween direct sellers xbetween companies and direct sellers xbetween companies yInventory/sales aids buy back requirement World Codes of Conduct for Direct Selling

14. zKey provisions - extra-territorial World Codes of Conduct for Direct Selling

15. zKey provision - company/seller codes yNo misleading, deceptive or unfair recruiting yAccurate and complete information World Codes of Conduct for Direct Selling

16. zKey provision - company/seller codes yDocumented earning claims yWritten agreements yReasonable fees World Codes of Conduct for Direct Selling

17. zKey provision - company/seller codes yInventory yRemuneration yEducation and training World Codes of Conduct for Direct Selling

18. zKey provisions - between companies yFair treatment yNo enticement yNo denigration World Codes of Conduct for Direct Selling

19. zKey provisions - code enforcement yCompanies have primary responsibility yDSAs assist in complaint resolution yTermination and other appropriate actions World Codes of Conduct for Direct Selling

20. zApplication Educating …… -consumers (www.wfdsa.org) -consumer advocates -regulators -academics yCode administrator’s role

21. World Codes of Conduct for Direct Selling