| Comment Number: | 522418-06526 |
| Received: | 7/6/2006 4:07:04 PM |
| Organization: | USANA Health Sciences |
| Commenter: | Paul Maki |
| State: | UT |
| Subject: | Business Opportunity Rule |
| Title: | Notice of Proposed Rulemaking |
| CFR Citation: | 16 CFR Part 437 |
| No Attachments |
Comments:
July 6 2006 Federal Trade Commission Office of the Secretary Room H-135 (Annex W) 600 Pennsylvania Avenue, NW Washington DC 20580 RE: Business Opportunity Rule, R511993 Dear Sir or Madam: I have never written a letter to our government officials in my life. I absolutely feel compelled to write this letter because I am gravely concerned that the FTC’s proposed Business Opportunity Rule (R511993) as presently written could actually destroy my small business. I greatly appreciate the FTC’s roll in protecting the American consumer from fraudulent and scandalous schemes and people. I have had my share of dealing with those type of people. However, I feel that rule R511993 goes too far by proposing rules I feel are unnecessary and burdensome. I have spent the last ten years of my life with great effort, time and financial investment building my USANA Health Sciences business. If this rule is implemented it will have disastrous effects on my business, my life and my families life. I love this country and the freedoms it has given me. Please do not pass this rule as it is unfair to my business, the company (USANA Health Sciences) I represent, the American public and my life as a tax paying citizen. The seven day waiting period section of the proposed rule is very biased and unfair. For me to enroll a new associate in my business, the cost to them is $49.95 for the hard bound Business Development System, registration and sales tools. If they elect to purchase the Electronic version the cost to them is $19.95. Please think seriously about this issue. I can go into an electronics store, purchase a big screen television for $3000, and take it home immediately. I do not have to wait 7 days. Why would someone have to wait 7 days to spend a maximum of $50 to enroll in my business with me? USANA already has a 30- day 100% money back guarantee and a 90% money back guarantee for products purchased within the last 12 months. Where else but in our industry can you find this type of guarantee, yet we are looking at a rule that will force us to keep detailed records of when we speak to someone about USANA and then have to submit those records to our company. All this rule does is make our prospects concerned that we could possibly be misleading them about our opportunity. I assure you, that is not the case. If this rule is passed, in all fairness, all purchases that a person makes over $50 should have a seven day waiting period, which I know you will see as ridiculous. The Litigation Information rule is also unfair and biased. I was sued last year for the first time in my life by an unscrupulous contractor. This suit did not involve my business with USANA. His case was found unsubstantiated and thrown out of court in less than ten minutes. I was found not guilty in the case of his suit against me. The litigation rule in regards to my company would be the same as if I had to personally disclose that I had been sued to everyone I do business with. It won’t matter that I was found innocent, it would still raise a red flag to anyone doing business with me. The same would be true with concerns to USANA Health Sciences. I find it fair to release information concerning misrepresentation, unfair or deceptive practices if USANA is sued and found guilty, but releasing information about any lawsuit in general misleads potential clients into thinking that USANA and myself are doing something wrong even though we were found innocent. Finally the rule that states “If you buy a business opportunity from the seller, your contact information can be disclosed in the future to other buyers” would absolutely destroy my business. People today are so self-conscious of giving any information concerning their private lives that they would run for cover it this rule is passed. I find it difficult to get someone to put their social security number on an application because they are afraid of identity theft. You are proposing that they be listed as one of 10 previously enrolled associates and that list is available for any potential prospect to see! You may as well shut my business down as do that. Again, in all fairness, if that rule is passed for my business and my industry, it should apply to all industries. This is a plea to your fairness and unbiased judgment to not pass this rule. If you do, ten years of my life’s hard work and passion will all be for nothing. Our entire life will be disrupted and I do not have a clue how to start again. I would face the possibility of losing everything I have worked for. I am nearly 55 years old and have found my passion and niche in life. Please do not take that away from my family and myself by passing rule R511993. I would like you to know that I sincerely appreciate the work that the FTC does to protect myself and the public. I also believe that the bad consequences of what will happen to people like myself and our company due to the passing of bill R511993 are not intended, they are just not thought out from the proper perspective. Thank you in advance for taking the time to read and consider my plea to you. Sincerely, Paul Maki, USANA Emerald Director