Comment Number: 522418-05450
Received: 7/1/2006 10:56:13 AM
Organization: Quixtar
Commenter: Sharon Mauzey
State: WV
Subject: Business Opportunity Rule
Title: Notice of Proposed Rulemaking
CFR Citation: 16 CFR Part 437
No Attachments

Comments:

I understand you will be issuing new guidelines for direct sellers soon. I am an IBO affiliated with Quixtar. While I currently have a small business I am glad to know that I could develop it at any time I choose. I have been affiliated with Quixtar since its inception. Requiring people to wait seven days to register once they have received a “disclosure statement” is unwieldy and doesn’t seem to add to their ability to make a good decision. In addition the “10 references” concept is nearly impossible with the development method since a new IBO who has a sponsor far away would not have access to ten others in the area who are outside their line of sponsorship. It would nearly put an end to our ability to function effectively. How on earth could a local IBO have current access to all the legal activities the requirements would have us give to folks? When I purchase a vehicle I am not given copies (or a list) of all the litigation against Chrysler Corporation and/or the dealership I’m purchasing from. This is nonsense. Since Quixtar is a huge company the newest (or any, for that matter IBO who is talking to friends and relatives could not possibly even understand the types of disclosures your guidelines ask for. I am opposed to these ideas and am quite concerned about this. It seems very reasonable to have a requirement for business disclosures that give a prospect good information. Concise, simple disclosures about income possibilities should be available to the prospect from the business owner, but please allow it to be kept simple. In addition I believe there should be an equally clear cancellation policy. I think it should be very straightforward -- something like “You can cancel in writing or verbally within ____days by telling me or notifying Quixtar.”