| Comment Number: | 522418-10574 |
| Received: | 7/16/2006 6:00:02 PM |
| Organization: | |
| Commenter: | Ron Harris |
| State: | ND |
| Subject: | Business Opportunity Rule |
| Title: | Notice of Proposed Rulemaking |
| CFR Citation: | 16 CFR Part 437 |
| No Attachments |
Comments:
Ron and Rita Harris 07-16-2006 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 present form, it will prevent us from continuing as Independent Gano Excel Affiliates. We understand that part of the FTC's responsibilities is to protect the public from "unfair and deceptive acts or practices," but some sections in the proposed rule will make it very difficult if not impossible for us to sell Gano Excel products. One of the most confusing and burdensome sections of the proposed rule is the seven day waiting period to enroll new Affiliates. Gano Excel's sales kit only costs $24.99. People buy TV's, cars and other items that cost much more than that and do not have to wait seven-days. This waiting period gives the impression that there might be something wrong with the plan. We also think this seven-day waiting period is unnecessary, because Gano Excel already has a 90% buyback policy for all products including sales kits purchased by a salesperson within the last twelve months. Under this waiting period requirement, we will need to keep very detailed records when we first speak to someone about Gano Excel that will negatively affect our ability to build our busness. The proposed rule also calls for the release of any information regarding lawsuits involving misrepresentation, or unfair or deceptive practices. It does not matter if the company was found innocent. Today, anyone or any company can be sued for almost anything. It does not make sense to us that we have to disclose these lawsuits without cause. Otherwise, Gano Excel and us are put at an unfair advantage even though Gano Excel and us have done nothing wrong. Finally, the proposed rule requires the disclosure of a minimum of ten prior purchasers nearest to the prospective purchaser. We are glad to provide references, but in this day of identity theft, we are very uncomfortable giving out the personal information of individuals (without their approval) to strangers. Also, giving away this information could damage tha business relationship of the references who may be involved in other companies or businesses including those of competitors. In order to get the list of ten prior purchasers, we will need to send the addresses of the purchaser to Gano Excel and then wait for the list. We also think the following sentence required by the proposed rule will prevent may people from wanting to sign up as a salesperson, "If you buy a business opportunity from the seller, your contact information can be disclosed in the future to other buyers." People are very concerned about their privacy and identity theft. They will be reluctant to share their personal information with individuals they may have never met. Furthermore, 80% of direct sellers are women. Have you considered that the rule may subject women to potential harassment or endangerment? We have been Independent Gano Excel Affiliates for one year. Originally, we became affiliated with Gano Excel's products because we liked them and wanted to earn some additional money. Now we depend on this extra income to supplement our budget. We appreciate the work of the FTC to protect consumers, but we beieve this proposed new rule has many unintended consequences and that there are less burdensome alternatives available in achieving its goals. Thank you for your time in considering our comments. Sincerely, Ron ad Rita Harris