| Comment Number: | 522418-07611 |
| Received: | 7/11/2006 12:07:28 PM |
| Organization: | Xango |
| Commenter: | Pamela Morris |
| State: | VA |
| Subject: | Business Opportunity Rule |
| Title: | Notice of Proposed Rulemaking |
| CFR Citation: | 16 CFR Part 437 |
| No Attachments |
Comments:
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 am writing this letter because I am concerned about the proposed Business Opportunity Rule R511993. I believe that in its presented form, it could prevent me from continuing as a Distributor –Xango and destroy my small business. I fell in love with this product and what it is doing for people. I have been an independent distributor for more than 1 year. Please don’t destroy my small business we need it! My family loves this product also. Some of the sections in the proposed rule would make it hard or almost impossible for me to sell my Mangosteen Juice/Xango. This waiting period will give the public the idea that there’s something wrong with me or our plan and also reflects badly on me. I also think this seven-day waiting period is unnecessary, because Xango already has a 90% buyback policy for all products including sales kits purchased by a salesperson. One of the most difficult sections of the proposed rule is the seven day waiting period to enroll a new Distributor. When people find out about the product they are excited, and ready to try it immediately. They can order whatever they want. No one makes them feel they have do anything, except order in the product, and try it, and see if works for them. It’s up to them to order more. Xango sales kit only costs $35.00. People buy TVs, cars, and other items that cost much more than that and they don’t have to wait seven-days. Under this waiting period requirement, I will need to keep very detailed records when I first speak to someone a prospect and will then have to send in reports to my company. I am a small home business and this burden could destroy my business. Finally, the proposed rule requires the disclosure of a minimum of 10 prior purchasers nearest to the prospective purchaser. I am glad to provide references, but in this day of identity theft, I am very uncomfortable giving out the personal information of individuals (without their approval) to strangers. Women in my organization may be subject to sexual or racial harassment so this part can’t go in at all, unless the FTC passes an addition to this rule Prohibiting sexual or racial attacks related to this disclosure. In the end the rule must bind the FTC to take direct enforcement action on sexual and racial attacks with a special unit assigned to monitor actions related to the disclosure forms. I have seen many scams on the Internet and television. This rule will do nothing to stop them. They hurt my business! They hurt all business! This rule will not stop Crooks – they violate the current rule all the time. But I am a good American citizen and it will hurt me. Thank you and please help me. Sincerely, Pamela Morris