| Comment Number: | 522418-10501 |
| Received: | 7/16/2006 3:46:38 PM |
| Organization: | |
| Commenter: | Dale Erickson |
| State: | ND |
| Subject: | Business Opportunity Rule |
| Title: | Notice of Proposed Rulemaking |
| CFR Citation: | 16 CFR Part 437 |
| No Attachments |
Comments:
RE: Business Opportunity Rule, R511993 Dear Federal Trade Commission: As an independent FreeLife International Marketing Executive who has developed my business as a result of the opportunity FreeLife International, its products, and marketing plan made available to me, I am strongly opposed to the new business opportunity rule being promoted by the Federal Trade Commission ("FTC") and others at 16 CFR § 437. The proposed rule seems to be an example of big government interfering with private enterprise and restricting the freedom for average people to legally and legitimately pursue the American Dream. While the intentions of this bill might be to inhibit some scam businesses, history shows those charlatans will find a way to operate around or in spite of any law. However, legitimate businesses in the Direct Sales industry like FreeLife will be so negatively affected by increased costs, delays, recordkeeping, disclosures of confidential information, and other burdens that it can damage or destroy the livelihood of thousands of independent businesses like me who are American taxpayers. Here are just a few of the proposal’s rulings that I find oppressive and objectionable. 1. Disclosures must be made in a separate pre-printed form, without other materials, and signed by the prospective purchaser, at least seven business days before any contract or payment can be signed or received. Not only would this requirement severely hamper my ability to do business, I can’t think of any other scenario in retail where such handcuffs on free enterprise exists. 2. The requirement of disclosure of the name, city, state, and telephone number for at least 10 prior purchasers nearest to the prospective purchaser's location, or alternatively, a nationwide list of prior purchasers within the last three years. This proposal doesn’t understand the impossible burden the requirement of listing "the ten purchasers nearest to the prospective purchaser's location” prior to enrolling. In this day of working by cell phone, Internet, and email, there are no designated geographic territory limitations on anyone operating a business like ours within America. 3. Disclosure of cancellation or refund policy, the total number of oral or written cancellation or refund requests, over the prior two years, regardless of whether or not the request was proper. Please understand how our business works. We enroll a lot of people who try the product or work the business opportunity. For many, it is a godsend. For some, it doesn’t quite fit, so they cancel and can get their money back. It’s that simple. However, since we are an international company, those numbers of people who cancel can grow into thousands. So, providing such statistics would be an impossible burden on me or anyone who works a legitimate business like ours. 4. Earnings claim disclosure that any direct or indirect claim about income, including disclosure of the name of the person making the claim, date of earnings, number, and percentage of all purchasers during the time period that received the same earnings, etc. So, for this and many other reasons, I urge you to vote against this incredibly restrictive proposal that would dampen, if not crush the American dream it offers people like me. Please vote to leave our American freedoms intact. I don’t see the real estate or other sales businesses having to supply this finite information when they publish their top producers. Why should I be singled out? Thank you, Sincerely, Dale and Bonita Erickson