April 22, 2011


Many of my friends have been victimized by multi-level marketing (MLM) schemes, and I might have been were it not for the knowledge I’ve gained from the web site of Dr. Jon M. Taylor of Consumer Awareness Institute. I implore you to read his reports, and especially his new eBook which can be downloaded free of charge from his web site at www.mlm-thetruth.com.

The Case for and against Multi-level Marketing is a summary of research and reporting by top independent analysts. Dr. Taylor presents compelling evidence that tens of millions of MLM victims lose a total of tens of billions of dollars every year.

I believe it’s essential to get this information out to consumers, since law enforcement is essentially asleep on this issue. For example, the Federal Trade Commission, the nation’s consumer watchdog, is yielding to the Direct Selling Association, the chief MLM lobbyist, to exempt MLM companies from having to disclose information to prospects that would help them make an informed decision about participating.

Consumer advocates, media reporters, and law enforcement agencies have long wrestled with questions about the legitimacy of network or multi-level marketing (MLM). Common questions include: Does anyone actually profit from these schemes, and if so, whom? Are MLM companies (MLMs) legal, or are they skirting the law in most cases? Are MLM products – often “pills, potions, and lotions” – overpriced and merely a front for investing in a disguised pyramid scheme? And are some MLMs more legitimate than others?

Fortunately, the misinformation promoted aggressively by the DSA and the MLM industry is being counteracted by consumer advocates who have founded non-profit organizations to do independent research and to provide guidance to assist consumers in making informed decisions about MLM participation. A leading consumer advocate in this field is Dr. Jon Taylor, whose research is based on analyses of over 350 MLMs and 15 years of worldwide feedback to his Consumer Awareness Institute. Dr. Taylor has just completed a new e-book summarizing thousands of pages of research and reporting by independent analysts and research firms. The book The Case for and against Multi-level Marketing – and numerous reports to guide consumers, attorneys, and educators can be downloaded free of charge from his web site www.mlm-thetruth.com


Sincerely,

James Davison