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SECTION 8 – PURCHASE AND SALE OF PRODUCTS
8.1 Sales Presentations.
At sales presentations, distributors shall truthfully identify themselves, the FFi products, and the purpose of their business to prospective customers. Distributors may not use any misleading, deceptive, or unfair sales practices. Explanation and demonstration of products offered shall be accurate and complete including, but not limited to, with regard to price, terms of payment, refund rights, guarantees, and after-sales services and delivery. Personal or telephone contacts shall be made in a reasonable manner and during reasonable hours to avoid intrusiveness. Distributors must immediately discontinue a demonstration or sales presentation upon the request of the consumer. Distributors shall not directly or by implication, denigrate any other company or product. Distributors shall refrain from using comparisons which are likely to mislead and which are incompatible to the principles of fair competition. Points of comparison shall not be unfairly selected and shall be based on facts which can be substantiated. Distributors shall not abuse the trust of individual consumers, shall respect the lack of commercial experience of consumers and shall not exploit a customer’s age, illness, lack of understanding or lack of language expertise.
8.2 Purchase at Discount.
FFi distributors are entitled to purchase products from FFi at a discounted price.
8.3 Stockpiling Prohibited.
The success of FFi depends upon retail sales to the ultimate consumer; therefore, all forms of stockpiling are discouraged. FFi recognizes that distributors may wish to purchase certain products in reasonable quantities for their own use, for inventory purposes and for the purpose of provisioning new distributors as they are sponsored. However, FFi strictly prohibits the purchase of products solely in an attempt to qualify for advancement in the Compensation Plan.
8.4 Back Orders.
Should any FFi product or sales material be unavailable for any period of time, FFi distributors will be given the option of placing the order(s) and waiting for availability or cancelling the order with full reimbursement without penalties until those items are ready for shipping.
8.5 Seventy Percent Rule.
In order to qualify for commission and overrides, each distributor must certify with the purchase of product that he/she has sold to retail customers and/or has consumed seventy percent (70%) of all products previously purchased. This is known in the industry as the “Seventy Percent Rule”.
8.6 Retail Sales Required.
In order to qualify for any compensation payable under the FFi Compensation Plan, a distributor should make retail sales to the ultimate consumer.
8.7 Shipping Address.
FFi will only accept street addresses for shipping purposes. Orders will be shipped via UPS or other shipper as determined by FFi so that they may be tracked and, if necessary, replaced in a timely manner. Post office boxes are accepted for the mailing of commission checks only.
8.8 Direct Purchases.
A FFi distributor should purchase product needs directly from FFi. In the event that a distributor obtains product from his/her sponsor or upline distributor’s personal inventory, the commissions associated with the purchase will be attributed to the sponsor or upline who purchased the product.
8.9 Credit Card Purchases.
Credit card purchases may only be made by the individual whose name and address is on the credit card. Any distributor who uses another individual’s credit card to pay for purchases should submit a credit card authorization form to FFi with the order prior to placing the order. FFi considers unauthorized credit card use as fraudulent and will report such actions to the proper authorities for settlement.
8.10 Credit Card Chargebacks.
Under no circumstance will any distributor charge back any credit card purchase. Any distributor who does so will immediately lose all credit card ordering privileges until the charges are replaced with certified funds. If an erroneous charge is applied to a distributor’s credit card, the distributor should immediately contact FFi to initiate an investigation and resolution.
8.11 Commission Adjustments.
Any upline distributor affected by returned products to FFi will accordingly be subject to adjustment in his/her commissions, overrides and bonus accounts, personal volume, etc. based upon all commissions and bonuses paid on the returned products.
8.12 Bonus Buying.
Bonus buying includes (a) the enrollment of an individual or entity as a FFi distributor without the knowledge of and/or execution of a Distributor Agreement by such individual or entity; (b) the fraudulent enrollment of an individual or entity as a distributor; (c) the enrollment or attempted enrollment of a non-existent individual or entities as distributors (phantoms); or (d) the use of a credit card on behalf of a distributor when the distributor is not the account holder of such credit card. Bonus buying constitutes a breach of these Policies and Procedures, and is strictly prohibited.
8.13 Shipping Costs.
It is the ordering distributor’s sole responsibility to indicate (a) method and means of shipping, and (b) destination address. The methods available are stated on each order form and on the FFi website along with prepaid costs for shipping. Shipping costs will be automatically calculated.
Should the receiving party of an order shipped from FFi refuse delivery and the shipment is returned to FFi, the ordering distributor’s status will be made “suspended” pending resolution of the delivery refusal. Return delivery charges will be deducted from the distributor’s account.
8.14 Returned Packages.
In the event that a package is returned due to a distributor’s error or if the package was not picked up in a timely manner and returned, FFi will charge the distributor a re-shipping fee.
8.15 Special Orders.
FFi will not “hold” orders or delay shipment of products that have been processed. Once payment has been received, all orders must be released for shipping.
8.16 Consignment.
In order to protect the FFi business and the integrity of FFi, FFi products may not be delivered to a FFi distributor or another party on consignment. Only authorized FFi distributors may sell FFi products.
8.17 Damaged Shipments.
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Accept delivery. |
2.
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Before the driver leaves, document on the delivery receipt the number of boxes which appear to be damaged, while also including photographic evidence of such. |
3.
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Save the damaged product and box(es) for inspection by the shipping agent. |
4.
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Make an appointment with the shipping company to have the damaged goods inspected. |
5.
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File a claim with the shipping company. |
6.
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Notify the Customer Service Department of FFi. |
8.18 Short Shipments.
FFi takes pride in fulfilling orders in an accurate and timely manner. However, in those rare instances where errors may occur, a correction will be handled quickly to avoid further delay to the recipient. Distributors must report any damages within five (5) business days following receipt of shipment. Once notified and verified, FFi will ship missing items to the address on the original order.
8.19 Sales Tax.
For purchases made from FFi, FFi collects and remits applicable state and local taxes which may be due on the suggested retail price of those products and/or materials. The applicable rate of tax due is based upon the address to which the product and/or sales materials are to be delivered.
Exemption from payment of sales tax is applicable to orders that are shipped to a state in which a valid sales tax exemption of a distributor is on file with and accepted by FFi. Applicable sales taxes will be charged on orders which are drop-shipped to another state. Tax exemptions are not retroactive.
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