Complaint Review: Melaleuca's Russ Paley - Woodbury New York

Fraud, Scam or whatever people say really doesnt matter. Or maybe, people don't read the out clause or terms and conditions before signing their name on the dotted line. It does not matter. Here are the Facts about Melaleuca, they sold
over a BILLION DOLLARS worth of products, and people must like their products, right?

Pyramid systems have been outlawed in the US a long time ago and they dont sell any products. We are paid just for referring people to Melaleuca and helping them register and thats it! No inventory control, no billing, no carrying of products. We are paid on immediate commissions with several tiers of bonuses and handsome residual income, how GREAT is that!

They have paid out over 2.8 Billion in commissions to regular people out there in the past 27 yrs. What is really great about Melaleuca is they genuinely want to HELP. This is Very Rare for a corporate identity. Helping people better their health; getting them out of debt; having a good personal life, so too in preserving our environment, is that a BAD goal to have? 

This is more than a business for most of us. You would really have to experience Melaleuca, and when you do, you too would have fallen in love with them just it like the more than 850 thousand families that have joined them. Sorry, but its hard to find sad storys telling lies here. What you will find are peoples experiences in how lives have changed because of Melaleuca. 

A Successful Melaleuca breeds successful people and its not too late to join us.

If you want to succeed and willing to work at it and if you think you are coachable, We Will Help because Melaleuca wants us to.

We are just starting; more questions, give me a call, Tony 408-771-0296.

If NOT, then, Good Luck on your travels and I hope you find contentment!         

I have been a Mela customer for 18 months. (I wasn't sure just which radial to click) A dear friend invited 8 friends over and we showed the latest presentation DVD. As I asked folks if they would like to be customers, the first lady who spoke said, "I feel that I should give full disclosure." This was curious but I know my experience of the company and I smiled and said go ahead. She explained that she retired from Bank of America and her position was in the Merchant services division and Melaleuca was one of her clients she covered. I thought quickly, oh boy what is she going to say? She then went on to explain that in all the years they must be doing something right because for a large company their complaints were minimal. It made us all smile. She had no reason to share that except she wanted us to know. She did not enroll as a customer as she had many products from her mother's estate and she lived alone. Her decision.

My personal experience is much the same as others. Products that came in less expensive than Sam's Club which I carefully measured because I'm an analyzer. Doesn't matter to me what ANYONE else says I have to check it out for myself. So an earlier poster claims that because our stories are so common that we must be repeating a script.....wow.....I guess they must be gullible to think that folks could be acting like machines. It reflects on their ease of being fooled. The quality is proved to me over and over as I use them. The Melaleuca oil itself has so many ways it has improved my skin conditions....well, I could go on and on about the products. I haven't used them all but haven't found one I don't like. My husband and I both use the vitamins and we easily go over the 75 points which is only one of two levels possible. By doing the 75 points and ordering before the 10th of the month we earn 15% loyalty shopping dollars. That rebate alone covers the minimal shipping charges and puts us further in the black.

The business is simple but not easy as has been stated before. The company is simply a manufacturing company that chooses to get their products into homes the most effective as possible and that is word of mouth. I have analyzed MLM and much of their structures are detrimental to their sales force but very favorable to the company. Not what I would want to be involved with.

Mela's is detailed but does reward their 'sales force' for true effort. I too have received regular checks and they have averaged a little over $200/mo. for the entire 18 months I've been purchasing. I personally have 23 customers and four have decided to drop into Direct status and that is fine. They are free to do that and we have had no problem with the company at all. In fact we are always amazed at how generous they are. I say to folks, "This company simply LOVES their customers, so much so that they even pay them commissions if you spread the word and end up enrolling customers yourself."

I have been a Melaleuca preferred customer for over 7 years.  I am a director, which means I have personally enrolled more that 8 other people also as preferred customers.

I order my products every month, and they have changed my life. I have hypertension, and elevated cholesterol (or at least I used to).

I am 51 years old. I developed hypertension and elevated cholesterol in my early 40's. When I researched the medicines that doctors were prescribing for me, I did not like the sounds of the side effects. I began a search for alternatives.

I began taking Melaleuca's Vitality for Life vitamins, ProVex CV, and PhytOmega products, along with increasing my daily fiber intake with a product called Fiberwise.

These products have changed my life. I am NOT nor have I ever taken a single prescription medication for these conditions, and yet my blood pressure, cholesterol, and triglycerides are all in normal ranges.

I have enrolled customers in Melaleuca who for whatever reason decided not to continue. NOT ONCE have these customers had difficulty detaching themselves. Melaleuca does require a written cancellation which may be faxed to the company, by the 25th of each month. If you are past the 25th, and you receive a "back up" order, those products like ANY products may be returned for a full refund for 60 days. Each package from Melaleuca includes a return label. Vitality for Life Vitamins have a 90 day challenge. The business kit you receive when you enroll has a 120 day money back guarantee.

My wife and I enjoy the full range of Melaleuca's product line. We appreciate the effectiveness and efficiency of their household products. We thoroughly enjoy the
quality of their personal care, over the counter pharmaceutical lines, and (my wife) loves the Nicole Miller cosmetics.

The two of us, taking the supplements, and replacing the products in our home and for personal care use have no problem meeting the 75 point (around $120) monthly requirement. We would be spending that money at GNC, Walmart, Kroger, and Publix every month anyway.  It is old money already budgeted.  Plus demonstratively, Melaleuca products are a better value, and are safer for our family (grandchildren) and the environment. And those stores do not send us a check every month thanking us for referring other customers to them. Melaleuca does.

In addition, we were pleasantly surprised this year when our cell phone contract expired to find that we could shop AT&T through the Melaleuca Market Place. We got THREE new LG Touch cell phones for free and saved $10 per month over the best plan that we could get by going directly through AT&T. I know this as I called directly and tried to get the same deal, and the AT&T rep was amazed at the deal I had received.
The best offer he good give me was one free phone, the second for $99, and the third at regular price.

I totaled up my savings from that one experience. I saved $120 ($10 per month x 12) I saved $99 for the second phone and over $300 for the third phone. Melaleuca enhances my life EVERY DAY.

Again, I am not a Russ Paley, or a "heavy hitter" I am just a Melaleuca customer, thrilled with my decision to participate.

If you are approached my a Melaleuca person, LISTEN. Then try it out. If you participate as you are supposed to, you will be very satisfied.

BTW Melaleuca was awarded the Blue Chip Enterprise Award from the US Chamber of Commerce, as well as the Blue Flame Award from the Better Business Bureau.

yo dude, you have no idea. They all signed the backup order, which is a good thing. The nice thing about that is if you get busy or like me I was hospitalized back in december of 09 and didn't place my order, on the 10th I received my backup order which is some of the products i use on a monthly basis. If you don't like the backup order send it back, they have a 60 day money back guarantee on all there products, a 90 day challenge on the vitamins, and a 4 month test drive on the membership. If they weren't able to send them back is because they did it wrong. You have to call the company and get a mailing adress for the return. I've done it on a few occassions, I accidentially ordered 500 membership forms when I only wanted 50, I sent the others back and got a refund for the difference no questions even asked. She just told me the right adress and what to put on your receipt. Also the director has to order 75 product points, for a director you are guaranteed $120 a month, minimum. If you sign someone up in that given month your guaranteed $150. So you get free products and you get a little extra on the side. Who wouldn't want some free proiducts, right, Plus as a business builder you need to experience more of the products, I am order around the 150 product points on a given month and I no so much more of the products than anyone else. There great. If anyone would like to talk about a problem thay may have had with melaleuca, give me a call at (((REDACTED))) or email me at (((REDACTED))) I will get back to you as soon as possible, Thansk


CLICK here to see why Rip-off Report, as a matter of policy, deleted either a phone number, link or e-mail address from this Report.

Do a google search on Russ Paley. You will find HUNDREDS of positive articles and reports about my business practices for the past 17 yrs in Melaleuca. As you speak in front of many thousands of people all over North America, there will always be the VERY FEW that complain and take things out of context. The ACCURATE information on the complaint above is very simple: The person who filed a complaints name is also (RUSS). His mother was drinking alcohol by my pool while I was presenting the business to her, because it was her birthday. She didnt completely understand the benefits and commitments of the preferred customer program. Furthermore if you call 1 800 282 3000 and ask Melaleuca what their refund policy is you will be told we have a "90 day challenge" on the items his mother purchased and the refund policy on the business kit and other items is actually even LONGER then 90 days, so I understated the refund policy. I am proud to say I have helped many thousands of people earn significant supplemental income, and my reputation on and off the Internet is 99% squeaky clean, which I have earned. I wish all of you reading this a prosperous year, and am sorry you had to read the one complaint I have had in 17 years. I hope you take time to read all the positive articles all over the net about my business practices to see the true story. RUSS PALEY, Corporate Director, Melaleuca Inc. since 1991

I had to respond. In my 16 years experience with this company; they have always been very straight forward and honest. I have always received first class customer service. Their paperwork is very clear and easy to understand. Did you even bother to read it? Your report leads people to believe there are several levels of purchase requirements when in fact there are only two. It only increases one time and that is when you move from a customer to a business builder. It is only right if you are building a business, you are using the products that company makes. Otherwise you are a hypocrite and just out to make a fast buck like everyone else. I have no problem meeting the second level of purchases and always want far more than I can get. I just hope anyone who reads your report has the sense to know a sour apple when they see one.

WOW! Every posting here that is bashing Melaleuca with these alleged facts and supposed research; I have only one question for every one of you. Can you prove any of your claims and produce documentation to back it up? Melaleuca can! Dun & Bradstreet can! U.S Chamber of Commerce can! The problem as I see it is some people are getting a little (and I do mean very little) information and they are assuming that they know what Melaleuca is. The fact is that if you are looking for a good home based business it is up to you to not take anyone's word for it and check the company's credentials for yourself. It is my opinion that you will not find a stronger, more stable and ethical company than Melaleuca. Those of you that are not being completely honest (you do know who you are) and are stating hearsay as fact should be ashamed of yourself.

As a matter of assignment, I have been looking into Melaleuca and the many MLMs that support the business. This thread of posts is one in a sea of many just like it. There are a few themes that become evident: 1. Melaleuca is not an MLM, they are a product sales company (which is why they are registered with the BBB). However they use MLM groups to sell ("promote") products and increase profits (These MLM groups are represented on the BBB wesbites in various jurisdictions, but are not members). 2. If you look at the rebuttals and testimonials, they all sound amazingly similar. This could mean that they are all having the same wondrous experiences, or that they are armed with a large an arsenal of defense phrases that they can use when they see the company is being questioned or outright attacked. Knowing that large companies who bankroll their sales forces directly (instead of recruiting customers to do their sales for them) do that, it only makes sense that Mel does too. 3. There are several MLMs that Mel is using to sell their products. A lot of the more convincing pro-Mel posts throughout the web apologize for the terrible experiences they've experienced with the 'training' orgnaizations and whatnot, but insist that the Mel company itself is wonderful and doesn't condone that type of behavior. 4. The ads designed to get SAHMs to join up state that someone has to call you in order for you to get information (I cite specifically the MOM Team ads). They say this is because of the cost associated with mailing and e-mailing. Look at any number of studies done by reputable institutes - you will never read one that tells you e-mail is more expensive that making a phone call (because it isn't true). It seems clear that there is something amiss, although perhaps not to an alarming and dangerous (cultlike, some have said) degree. If Mel was a genuinely good company that is sometimes misrepresented by their affiliate sales forces, then they should show their concern by employing a fully trained (yes experience necessary!) and wholly owned sales team. The fact that someone needs my telephone number before they'll even tell me whose products I'm supposed to be promoting, is just creepy. The point to which some supporters will rabidly defend this company is even creepier still. Making $50 to $400 a month by posting on free ad/classified websites, doing trainings or shows or whatever, buying products, and getting other people to buy the products may not cause a monetary (money in money out) loss each month, but that doesn't consider that your TIME, your LIFE, your WORK is worth something as well. Just sharing what I've learned. I hope everyone will read these things before they make a decision about whether or not they want to join. Always remember that HEMLOCK is natural, but that does not make it good for you.

Melaleuca is really a good company with some flaws like most companies but I love the products and I am working the business from the comfort of my own home while I raise my 2 children. I have read all the positives and negatives and a lot of the negatives are not true. Now this Russ Paley situation, I am absolutely shocked but everyone works their business their own way! I am now a Director and I have been with Melaleuca since March of 2006. I make anywhere from $300-$500 a month but I do know people within my organization who are Directors themselves that are making over $1000 a month. There are even some who are Directors III, IV and V's making at least $4000/month. It all depends on how much you work your business. If you do a little you get a little and so on.. I do not lead people on about anything about the business. The back-up order I go over and over again so people will know that if they forget to place their orders they will get a back-up order, it is self-explanatory! The enrollee has to initial the box after explaining the back-up order so it's not like they are in the dark about it. Everything is 100% money back guarantee. If you enroll and desire to opt out it is simple, write a brief letter to Melaleuca and mail it or fax it in by the 25th of the month and you will not receive any orders from Melaleuca, I know because one of my enrollees did it after 2 months and there was not a problem. She only opted out because of a serious financial situation. I could go on but people are going to believe what they want to believe and that's how life is. On another note, I am not an employee of Melaleuca, I am an independent agent just like an Avon or Mary Kay representative!

Here's the bottom line; you're either qualified to represent Melaleuca and make some money or you aren't. My wife and I first became Melaleuca customers in 1991 and haven't been without the products since. While we have not always been active on the marketing end, the products have pleased us since day one for performance as well as economics. Having tested and worked with over 30 MLM style companies since 1991, we came back to working with Melaleuca about a year or so ago and it's been like an oasis. Over these last 15 years I have followed many of the complaints I've seen filed relative to aledged problems with Melaleuca, Inc. and in virtually every instance where a person claims to have lost money or been ripped-off, it's generally nothing more than malicious whining. In a few of the cases the loses were a total result of that person NOT following refund proceedures. I must agree that there are some reps who engage in practices that neither I nor Melaleuca feel are honorable but the only way that can ever get put in check is for people to let Melaleuca know about it. It seems that so many people who feel they have been abused by a rep or Melaleuca are either too embarassed to come forward or, just blowing smoke over their own inabilities to pay attention. The Melaleuca opportunity is not right for everyone but neither is buying a Dollar Store Fanchise for a couple hundred thousand dollars only to fold in a year. This is a "business" people, not a "hobby". This is a "business" people, not a "lottery ticket". Treat it like a business and you might just reap the rewards. Melaleuca doesn't need or want your $29.00 to get richer. They need and want your ambition and dedication and are willing to pay you well in return.

In response to Tim .. I found the following statement quite astonishing, considering that the only required investment in Melaleuca is the $29.00 business kit: "99.9% of Melaleuca agents LOSE money each year. That is to say the amount of money they invest in the company is more than what they earn." That would mean that 99.9% of Melaleuca customers did not refer a single person to the company or have anyone place a single customer under tham. This is simply totally incorrect! However, it's also an interesting comment in that the $29.00 is less than the membership fee for Cosco or Sam's Club. Actually 100% of their customers "lose" more each year than Melaleuca customers lose. The "facts" reporter simply does not understand the Melaleuca company. The company is a stable, well-respected manufacturer of household, skincare, cosmetic, nutritional and pharmaceutical products. It is a direct seller, meaning it does not use middlemen, and its only method of advertising is word-of-mouth by satisfied customers. In contrast to many product-oriented home business models, Melaleuca prices are competitive with Wal-Mart when one considers concentration. Thus anyone switching to buying Melaleuca products is not "investing in the company" anymore than someone shopping at WalMart is "investing in the company." I suspect that the "facts" reporter does not understand this and reports that 99.9% do not get a check that's as big as the cost of products purchased from Melaleuca. Even if that's true, that's not so bad, since WalMart doesn't give me *any* check at all!! Nor does Safeway or the local pharmacy. Melaleuca products are also of exceptionally high quality, environmentally safe and non-toxic. For instance, I can clean my oven with my bare hands and breathe freely. I don't have to worry about my curious grand-children accidentally swallowing a Melaleuca cleaner and being poisoned. The worst they'd get is a tummy ache! And many customers have reported that their asthma, headaches and/or allergies went away after converting their homes to Melaleuca products. Without a single check from the company, any consumer would be better off with Melaleuca products. I have been a customer for almost 6 years and have not built a business as seriously as others. Yet my monthly check almost covers my product cost, and that means, I'm making money, since WalMart doesn't give me a check to pay for anything I might buy there! The bottom line is that no on can get hurt by Melaleuca, if they'll pay attention to company policy. Of course, it's possible that some customers misrepresent the company, and that's where folks need to do their own due diligence.

This sounds to me like a REAL story-sort of like the three pigs. Can we say F.A.I.R.Y. T.A.L.E? . Quote:"You, in turn, get toxic, dangerous products from WalMart or BJ's or Sam's Club that you pay at retail............you spend time going shopping, and worst of all, will die young." . I find that interesting, and my thoughts are somewhat mixed. This is my dilemma at my current age of 70.: . [1] I have never had access (nor wanted) the first "M.E.L.A.L.E.U.C.A." product. I have always availed my self of the products to which you allude as to making the user "die young". Geez! Am I overdue for the big dirt nap? Did I get lucky? I sure as F am not young anymore. "Die young"? Too late for me now. . [2]Could I have expected to live to 100 had I been gorging my self on these miraculous elixirs of melaleuca?. [3] Would your accusation of the aforementioned Wal Mart and Sam's Club exposing me to the possibility of "dying young" be a subject of profitable litigation with these entities? Fortunately I thus far have escaped the effects of their vile, poisonous whatever it is to which you refer. . [4](and the most improtant issue of all) Had I afforded myself the alleged advantage of the supposed health benefits of your beloved melaleuca products, would I have been able to continue riding my Kawasaki KDX 220 through the woods like I used to? I just hate it when one of those 20 to 30 year old youngsters now come around me! . Keith Richards is only 7 years my junior, and after years of heroin and alcohol abuse and wild debauchery appears to be in just as good (or better) health and overall shape as I was 7 years ago. Hell, my first heart attack occurred 10 years ago. Oh well, I guess I'm doing OK without having partaken in Richard's alcohol and heroin...oh yeah! No purchase of melaleuca products either. How strange, eh?

This sounds to me like a REAL story-sort of like the three pigs. Can we say F.A.I.R.Y. T.A.L.E? . Quote:"You, in turn, get toxic, dangerous products from WalMart or BJ's or Sam's Club that you pay at retail............you spend time going shopping, and worst of all, will die young." . I find that interesting, and my thoughts are somewhat mixed. This is my dilemma at my current age of 70.: . [1] I have never had access (nor wanted) the first "M.E.L.A.L.E.U.C.A." product. I have always availed my self of the products to which you allude as to making the user "die young". Geez! Am I overdue for the big dirt nap? Did I get lucky? I sure as F am not young anymore. "Die young"? Too late for me now. . [2]Could I have expected to live to 100 had I been gorging my self on these miraculous elixirs of melaleuca?. [3] Would your accusation of the aforementioned Wal Mart and Sam's Club exposing me to the possibility of "dying young" be a subject of profitable litigation with these entities? Fortunately I thus far have escaped the effects of their vile, poisonous whatever it is to which you refer. . [4](and the most improtant issue of all) Had I afforded myself the alleged advantage of the supposed health benefits of your beloved melaleuca products, would I have been able to continue riding my Kawasaki KDX 220 through the woods like I used to? I just hate it when one of those 20 to 30 year old youngsters now come around me! . Keith Richards is only 7 years my junior, and after years of heroin and alcohol abuse and wild debauchery appears to be in just as good (or better) health and overall shape as I was 7 years ago. Hell, my first heart attack occurred 10 years ago. Oh well, I guess I'm doing OK without having partaken in Richard's alcohol and heroin...oh yeah! No purchase of melaleuca products either. How strange, eh?

This sounds to me like a REAL story-sort of like the three pigs. Can we say F.A.I.R.Y. T.A.L.E? . Quote:"You, in turn, get toxic, dangerous products from WalMart or BJ's or Sam's Club that you pay at retail............you spend time going shopping, and worst of all, will die young." . I find that interesting, and my thoughts are somewhat mixed. This is my dilemma at my current age of 70.: . [1] I have never had access (nor wanted) the first "M.E.L.A.L.E.U.C.A." product. I have always availed my self of the products to which you allude as to making the user "die young". Geez! Am I overdue for the big dirt nap? Did I get lucky? I sure as F am not young anymore. "Die young"? Too late for me now. . [2]Could I have expected to live to 100 had I been gorging my self on these miraculous elixirs of melaleuca?. [3] Would your accusation of the aforementioned Wal Mart and Sam's Club exposing me to the possibility of "dying young" be a subject of profitable litigation with these entities? Fortunately I thus far have escaped the effects of their vile, poisonous whatever it is to which you refer. . [4](and the most improtant issue of all) Had I afforded myself the alleged advantage of the supposed health benefits of your beloved melaleuca products, would I have been able to continue riding my Kawasaki KDX 220 through the woods like I used to? I just hate it when one of those 20 to 30 year old youngsters now come around me! . Keith Richards is only 7 years my junior, and after years of heroin and alcohol abuse and wild debauchery appears to be in just as good (or better) health and overall shape as I was 7 years ago. Hell, my first heart attack occurred 10 years ago. Oh well, I guess I'm doing OK without having partaken in Richard's alcohol and heroin...oh yeah! No purchase of melaleuca products either. How strange, eh?

This sounds to me like a REAL story-sort of like the three pigs. Can we say F.A.I.R.Y. T.A.L.E? . Quote:"You, in turn, get toxic, dangerous products from WalMart or BJ's or Sam's Club that you pay at retail............you spend time going shopping, and worst of all, will die young." . I find that interesting, and my thoughts are somewhat mixed. This is my dilemma at my current age of 70.: . [1] I have never had access (nor wanted) the first "M.E.L.A.L.E.U.C.A." product. I have always availed my self of the products to which you allude as to making the user "die young". Geez! Am I overdue for the big dirt nap? Did I get lucky? I sure as F am not young anymore. "Die young"? Too late for me now. . [2]Could I have expected to live to 100 had I been gorging my self on these miraculous elixirs of melaleuca?. [3] Would your accusation of the aforementioned Wal Mart and Sam's Club exposing me to the possibility of "dying young" be a subject of profitable litigation with these entities? Fortunately I thus far have escaped the effects of their vile, poisonous whatever it is to which you refer. . [4](and the most improtant issue of all) Had I afforded myself the alleged advantage of the supposed health benefits of your beloved melaleuca products, would I have been able to continue riding my Kawasaki KDX 220 through the woods like I used to? I just hate it when one of those 20 to 30 year old youngsters now come around me! . Keith Richards is only 7 years my junior, and after years of heroin and alcohol abuse and wild debauchery appears to be in just as good (or better) health and overall shape as I was 7 years ago. Hell, my first heart attack occurred 10 years ago. Oh well, I guess I'm doing OK without having partaken in Richard's alcohol and heroin...oh yeah! No purchase of melaleuca products either. How strange, eh?

Russ Paley called me several weeks ago about Melaleuca and his sales manner was very heavy handed, abusive, and agressive. It was a total turnoff, my recommendation is to ignore the guy, tell him your not interested, and if he uses his abusive sales techniques, simply hang up on him. I told him I was not looking for an opportunity, that I was not interested, and he kept hammering why I should join Melaleuca. He is doing a dis-service to Melaleuca and the MLM industry. I am writing this report because today he called me again, and I made it perfectly clear on the last call from him that I was not interested. Possibly he is violating FTC rules for telemarketing. Maybe the correct action is a formal complaint to the FTC for telemarketing abuse by Russ Paley.

I've just been browsing info. about Melaleuca. I'm just a customer, but have been investigating the business side of it. Very interesting thread you have going. Interesting info. about this Russ Paley-I've seen his picture somewhere and interesting to know he makes money off books. Sounds kind of like the Rich Dad guy! I applaud Jamie for being honest about how you have to work at it. I think people like me are so skeptical because of those like Darlene, who claim they are suddenly making $6,000 a month while they sat around and did nothing! If it were that easy, everybody would be doing it!!! But it takes work, and lots of it, I am sure. I have worked hard before and been made to feel like I was doing something wrong b/c I didn't make tons of money right away. That kind of attitude makes me mad and I will no longer work with those people. Just wanted to point out the 2 different extremes we have here: all of these businesses seem to have a few bad apples who claim "great wealth with no work!" and I'm sure that hurts folks like Jamie who are trying to build an honest business. Hope nobody's offended, but that's just my observation.

As the Direct Selling Association Attempts to Legalize Product-Based Pyramid Schemes.' The MLM industy continues to be slaughtered by rogue sales people and demented thugs. Well past DSA members have included a number of MLMs, such as Omnitrition and Equinox International, and Trek Alliance, each of which was shut down due to regulatory action. Now the DSA has submitted a proposed piece of legislation which would effectively legalize any product-based pyramid scheme. Under its provisions, Omnitrition, Equinox International, Heritage International, and many other so called programs. This attempt will end up putting the entire MLM industry at risk and do more harm than good to todays consumers. The "Anti"-Pyramid Promotional Scheme Act is a wolf in sheep's clothing. Some poeple are calling it the "pro-pyramid" act. The proposal's sponsor is the Direct Selling Association (DSA), the official trade group of the multi-level marketing (MLM) industry. Now is it the same group set out to totally wreck the MLM industry? I don't know The DSA seeks to eliminate the requirement of a multi-level marketing company to sell products to consumers. All products can be sold only to its own "sales reps" in a closed system with fixed pricing. The bottom line is, the bill directly contradicts the definition of a pyramid scheme that the FTC uses to determine which multi-level marketing schemes engage in unfair and deceptive trade practices. The bill seeks to dilute and weaken the basis of FTC regulation by redefining what a pyramid scheme is. People are fed up with all the "smoke and mirrors" in the recruiting process. It is shameful that unethical people take advantage of those who are uneducated and uninformed. It also unfortunate that people who don't even understand the concept of this way marketing and seek ways to criticize it and destroy it. It is quite sad to see a few people on this forum use predatory selling tactics that are extremly unethical as advice. Involving oneself in one up plans, two up programs, the ones designed to rob Peter to pay Paul is a sure track to destroy ones credibility. The usaul prominant lines and lies comes up time and time again pertaining to make money fast and quick riches overnight. Better yet, it is still a ploy to get you invest in a shoddy scheme. You will end up hurting alot of people with this slick concept that adopts unethical marketing practices and principles. Neither of the people involved in such should be trustworthy nor befriended, The term "MLM" is frequently is misunderstood regardless of the ethics or legality of the program It is a good idea to read The Mirage of Multilevel Marketing by Stephen Barrett, M.D http://www.quackwatch.org/01Quacker...Topics/mlm.html Did you know In 1993, the company Nu Skin and three of its distributors agreed to pay a total of $1,225,000 to settle FTC charges that they made unsubstantiated claims. And In 1997, paid $1.5 million to settle charges that it had made unsubstantiated claims for five more of its products. Many illegal money-making ventures are modified and adapted to suit the victims. They may be disguised as games, chain letters, buying clubs, motivational companies, mail order operations, or investment organizations.Pyramid schemes are inherently injurious to consumers because as a mathematical certainty, they are doomed to collapse. As in the case of chain letters that require a payment, only the people at the very top make any money. Fear and scare tactics are commonly used in such money games like that. Why does the DSA allow companies like Melaleuca to misrepresent themselves on their website? Why did Joe Jones have to question Mr Vandersloot's ethics when Mr Vandersloot's claimed that his company was not MLM and all MLM's are scams? Why the number of negitive reports at the the Ripoff Report? Why the number of employee's and ex-employee's misrepresenting the company on the Ripoff report? Why in the hell are Melaleuca reps lying to people to get them to join? Why is the DSA protecting Rogue companies and their reps and keeping consumers from the truth? I am tired of hearing Melaleuca reps spewing nothing but sales pitch prooaganda and misrepresenting their company On how the products are safe and nontoxic when they are not safe to begin with. I am tired of hearing these reps make a big issue of spelling errors. It really shows that they have no morals, no integrity, no ethics, no education on selling a product or business honestly.

The integrity of the company is like none I've ever seen. NO ONE can lose with Melaleuca. YOU CAN get your money back. For the first time in 10 years - I actually made $6000.00 last year with no effort at all...and the greatest part...my mom made almost as much as I did. This is the greatest opportunity in the world. I'm so sorry you feel the need to criticize someone "Russ" who has done nothing but help thousands. I've met him, spent time with him & read his books. He has helped me more than I can say. But I guess that's what happens...the successful get blamed for individuals who are insecure and have a victim mentality. It's my opinion you should STOP these alegations. Thanks for your time.

I will make this short and sweet, since the person that wrote this can't understand a "whole lot all at once". First, the company DOES have a money back policy, and it is 120 day, which isn't 3 months, it is closer to four depending on which months. So right there your way off. Second, You get what you deserve, who signs papers with their account info on it without READING it? You pick which back-up order you want, HELLO!

My sister-in-law just had a "show" at her house and I decided to buy a pack of the products. I have worked in the pharmaceutical industry for the past 9 years and have concentrated on oncology research for the past 6 years. I was pretty excited about using these products because they are less harmful to the environment and my physical self. I don't doubt my siter-in-law when she tells me that not only is her house clean as it usually always is - but it's SAFER for her and her growing family. I honestly don't care about the $$. So, if I don't care about the $$, are there any warnings from anyone out there that the products that I'm buying are not safer the the regular cleaning agents I use to clean my house? I would LOVE if others were to use the product. Yet, I am not a salesman at all. So...Are there any complaints about the PRODUCTS and not becoming a salesman?

I became a customer of Melaleuca in 1996. I could go on and on about how impressed I was with the products and how they made my family healthier. My asthmatic son was able to stop his breathing treatments, I had more energy, my husband stopped having headaches. I can honestly say that the products changed our lives! A year ago I decided to give the business a try. I saw my enroller raking in $10,000 a month and thought I could do the same thing. I was already making about $200 a month just in people she put under me. What MLM can give you that? I admit that the first months I lost money. I don't know if a single BUSINESS where you don't lose money in the begining. Every successful business is an investment in time and money. If you think you'll make clear money in your first month of working from home, then what you are looking for is a JOB and not a BUSINESS. I have been building my business for 12 months now and last month my paycheck was $5631.12! I am on track to be picking out my brand new car next month, which Melaleuca will be paying $400 towards the monthly car payment. I honestly don't know where else I could have made this much money this fast! Was this easy money? HELL NO! I have worked my tail off and I've spent money too. I have advertised locally, online, and hosted home parties to get to where I am. I have attended various training seminars and have plugged myself into my enroller's training program. This has been a full time effort for me, but the money is more than I could have ever made at my old job as a financial analyst. As far as the re-order rate. Contact Melaleuca and they will provide you with documented 95% re-order rate. This is their average monthly re-order rate. I urge you to use commen sense here. Melaleuca has been in business for 18 years. They are a member of the BBB (which, if you are looking for a real definition of MLM...the BBB does not allow MLM's to be members), they have been listed as a top US company on the Inc 500 more times than Microsoft has been, their CEO sits on the board of directors, and I could go on and on. You don't get these credentials by ripping off your customers. This is what I like best about Melaleuca though - while so many companies out there are putting toxins in their products in the name of profits, trying to produce the cheapest product they can, Melaleuca takes enough pride and has high enough ethics to make a safe product that is superior. You may pay slightly more than you would at the dollar store, but you WILL notice the difference if you give it a chance. If you think I am brainwashed about toxins (and, btw I love the way you all use that as an excuse to rebutle a fact...that it's brainwash) go to pbs.org and search for the special they did on toxins in the homes. YOU are the ones that are brainwashed into thinking our government wouldn't possibly allow toxic products into our homes! As for the cancelation, it is true. You have 4 months to cancel your membership and get your $29 membership fee reimbursed. You have 2 months to try out ANY product and return the bottle empty and get your money back. You have 3 months to try the vitamins and return those empty bottles and get your money back. I have had a few people drop out of this and return products, and I have NEVER had a problem. They always received their refund by the 15th of the following month. BUT, I am a good enroller and I not only work hard to get customers and keep customers, but I work hard to help them cancel if they are not satisfied. Obviously, your brother's enroller is not that way. As with anything, there are people you have to beware of, and Melaleuca can't completly control everyone in their company. But, it's certainly not Melaleuca's fault. I've NEVER had anything but completly possitive experiences with them.

IF IT LOOKS LIKE A DUCK; WADDLES LIKE A DUCK AND QUACKS LIKE A DUCK- YOU HAVE EVERY RIGHT TO CALL IT A DUCK! I have had enough of all this obfuscation! Stop all the bullshitting! 1/Do you 'persuade' people that the products are good and that they should try them? - YES Good enough for me to call it selling. I've sold for about 12 years. 2/Do you 'introduce' others in order to 'make money' from their sales/purchases? - YES Good enough for me to call it recruiting. 3/ Is the amount of money you obtain dependent upon how many people are in your organisation and how much they purchase? - YES Good enough for me (and anyone with half a brain)to call it MLM. I know, my wife does Melaleuca. STOP ALL THIS REGURGITATED CRAP! MELALEUCA = MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM MLM good night!

Everyone has ignored the number one thing here, MLMs can not register with the Better Business Bureau, yet Melaleuca is, so therefore we are obviously not a MLM!!! Frank Vandersloot, the CEO sits on the US Champber of Commerce as a VP there are only 4 people total that have this distnction and he is one of them!!!!!!!! OVER 95% of customers reorder with Mela every month. Less than half actually want to build a business with them. I joined not only to bulid a business but to rid my home of toxic products . Did you know: The cancer rate in women is 54% higher if they do not work outside the home. The asthma rate has increased dramatically in the past 10 years. Cancer in Children used to be unheard of, no it is the number one disease that causes death amongst children. There is an ingredient in many products that is used as a preservative, including Johnson and Johnson Baby Wash, that releases Formeldahyde!!!Do you want embalming fluid on you?? How about on your baby? After hearing all of these things and many more (I have documnetation of all of these) how could one not want to at least try these products with the guarantee???? I save time every month because there are so many less things I need when I go to the store. I have so many products delivered right to my door. There was a survey that was done that said the average amount consumers spend on consumable goods is between $150-200. So you can see our committment iof 35 base points about, $50 is very reasonable. Mela has the only patented vitamins and excercise bars on the market, along with many other nutrional supplemetns, the Nicole Miller line of facial care and cosmetics, a body care line with hair care products and body care, many other the counter medicines, not to mention the cleaning items which not only cost less but work so much better than anything else I have ever tried!! Now can anyone honestly tell me they don't spend $50 a month on this kind of stuff anyway??

I've been with Mel now for almost 2 years - I would always suggest to read the T&C before you sign so you don't get surprises. Or spend a few hundred dollars and get it checked out by a lawyer. (market research) As far as Melaleuca I have to admit- I've not made a lot of money. I do get a check every month and it is more than what I spend in products. most of the time I have 200 - 350 more than what I spend. So really I get the products for free and get some money. I didn't get brainwashed from anybody. I'm not like 97 % of the people on this planet that are of the impression that just because they signed the doted line - they can now sit on their behind and wait for the check. When I started I did go out and spend about $ 1000 in Lead generation and marketing to build my business and I did work long hours for about 3 months and then life got in the way, like it does for everybody and I didn't put the time in that I should have. Now after 2 kids later I do spend a few hours a month and get a new customer here and there. So I just got a small pyramid. But nobody handed it to me. I built it myself. Do I have a problem knowing that 7 families benefit every time I place my order. No - Actually makes me feel better than buying a computer and knowing Bill just keeps on piling his money on one spot. I have a family to feed - so I build my little pyramid. my own. where I'm at the top. It's funny that when you work your buns off to build your pyramid,97 % of the people tell you it doesn't work. nobody cares -they're all busy watching Operah or Survivor or some other scam on TV. But then when you are actually starting to make some money after what seems an eternity of loosing or not making anything, then suddenly you were the one that got in early and you're in a pyramid. Anybody that is making money in Mlm or networking or Direct sale etc- had to work for it. If you understand Mela's comp plan.you would know that we don't get paid for slamming somebody into the business, but rather having them as a long term customer. There are a lot of scams out there. And there are a lot of so called heavy hitters that run from one scam to the next. None of those would consider Melaleuca because Mela is to clean for them. These are the people that give this industry a bad name. People always find someone to blame, but themselves. 90 % of my customers spend more money than they get from Melaleuca. I said Customers that's exactly what they are. They obviously see a value in the products they use. In a pyramid you would never be a customer alone. 100 % of people that walk into Wal mart walk out with less money in their pocket. nobody has a problem with that. they are customers, not Sales people for Wal Mart. I am getting out of my Melaleuca business what |I put in, and that applies to everybody. It doesn't happen on it's own. 97% of the people that get involved in this industry fail because they don't take it serious. Only 3% make it. I could almost bet I could get that % up to 30%. Instead of people getting started for a few hundred dollars increase it to 100.000.00. I bet you would have around 30% success rate. People would take it more serious. Why do I mention that. I spent 80,000.00 on a franchise. another 30,000.00 on legal fees, market research, advertising etc. I worked my butt off for a few years, never expected to make any money until my 4th or 5th year. For any business it is ok to be in the red the first 3-5 years. Did you know that 60% of franchises fail? The average investment is between 100k-500k Can you belief that franchising is still legal?!? It must be a scam and a rip off!?!?!? Don't take my word -- Statistics don't lie. Do your research With my Melaleuca business I have a phenominal return on investment that any franchise owner could only dream off. I intitilly spent $1000 Now I get 300-350 a month -that's a 420% ROI For the free product I get I spend a few hours a month to get 1 or 2 new customers. That's like having over 500,000.00 in the bank at current interest rates. So why the hell do people think because they spend a few hundred dollars on a business are willing to work a few hours a week want to be in profit the first month and then make 5-10k a month thereafter. but are not willing to pick up the phone or give up TV, read the comic section in the paper rather than read the material the company sent them. They keep on buying the same junk at Wal Mart instead of trying the products the company offers. And then they complain that they got ripped off and have to post it all over the internet?? All in all it just proves they are insecure and just don't have the discipline and determination to work at something til they succeed. We are all victims of our own actions. Pyramids -They are the stongest structure, someone figured that out a long time ago. Want one- Build your own - one customer at a time. Create your vision and play with who shows up!! Regards Ontairo Canada

OK, first off JJ, I think in your definition of "distributor" you picked and chose what words suited your case... my Webster's includes "one who markets a commodity," and this is the accepted definition in the business community. But, after noting that there are a great deal more people supporting Mel. on here then there are complaining about it, I have come to the conclusion that I may have been misinformed on how this company operates. I have seen solid research and statistics that do not bode well for Mel., but I also acknowledge that without allowing the reader to account for variables any statistic can be misused. This tactic of misusing statistics is a key element of bad MLMs, which I have not seen employed by Mel. supporters (except for when showing repeat business percentages, which may be inflated due to unwitting customers recieving back up orders which they were not aware of). In light of these facts, I can no longer stand behind my earlier arguments against this company, I don't feel as though I have been fully informed as to how it operates, and there are simply too many more supporters than detractors for me to not question my information. I still feel, however, that MLMs are inherently bad. There are far more losers than winners overall. I also feel that if MLM or CDM, whatever you want to call it, was a decent business strategy then it would have gained much more market ground than it has. And yes, JJ, my ire towards network marketing is largely due to a couple of bad experiences, but "what the hell is wrong with that?" Why is it a bad thing that a victim of something would then rally against that something? Is a mother who loses a child to a drunk driver and then forms a MADD chapter a "loser" because she failed to keep her child safe? Maybe your MLM isn't all that bad and maybe you can actually make money doing it, but if that is the case then Mel. is the exception, not the rule! Most MLMs are terrible prospects, and the ones I got involved in certainly fit the bill. And, FYI, those companies are indeed still in business (selling grossly overpriced vacuums they called "cleaning systems" and rip-off term life insurance), but neither of my former uplines are, nor are any of the people who were in my training groups! Both of my uplines, in fact, fell into financial ruin because they had invested so much valuable time and money into systems that benifitted the people high above them, but nobody else. As an odd twist of fate, one of my friends recently represented my old Primerica upline in his bankruptcy case. Maybe you guys can explain to me exaclty how Melaleuca is different from all the other MLMs, because they certainly seem to have a lot of satisfied reps.

More Research Required :::::My point is that even if all you do is give people the catalogs which they buy their products from, and then you make your money based on what those people purchase, you are a distributor! ::::: This very comment is indicative that you have no concept of the way that Melaleuca Inc conducts its business. May I suggest that you conduct further due diligence? Melaleuca Inc. pays me a commission for telling people how good the product is, providing they then buy something. Its a bit like telling your neighbour to buy a product from your friends shop with the comment of 'tell em I sent you'. As you say 'What the Hell is wrong with that'? Rob - Darwin, Australia Australia More Research Required :::::My point is that even if all you do is give people the catalogs which they buy their products from, and then you make your money based on what those people purchase, you are a distributor! ::::: This very comment is indicative that you have no concept of the way that Melaleuca Inc conducts its business. May I suggest that you conduct further due diligence? Melaleuca Inc. pays me a commission for telling people how good the product is, providing they then buy something. Its a bit like telling your neighbour to buy a product from your friends shop with the comment of 'tell em I sent you'. As you say 'What the Hell is wrong with that'? Rob - Darwin, Australia Australia -------------- Say Mate: Who do you understand made the above statement? Me or Tim? LOL! Pay attention when you read something so that you don't put your foot in your mouth when you reply.

:::::My point is that even if all you do is give people the catalogs which they buy their products from, and then you make your money based on what those people purchase, you are a distributor! ::::: This very comment is indicative that you have no concept of the way that Melaleuca Inc conducts its business. May I suggest that you conduct further due diligence? Melaleuca Inc. pays me a commission for telling people how good the product is, providing they then buy something. Its a bit like telling your neighbour to buy a product from your friends shop with the comment of 'tell em I sent you'. As you say 'What the Hell is wrong with that'?

Tim: You wrote: ..."a distributor is someone who sells or convinces people to buy a product." According to Webster's Dictionary, 1998 edition, Distribute - To divide among many, to deliver or give out. Distributor - A person that distributes, such as a wholesaler, a device which directs electrical current to the spark plugs of a gasoline engine. Therefore Tim, it seems to me that with the above statement you are either: (1) trying to re-write the english language or (2) attempting a pathetic desperation maneuver to make your point that a Merketing Executive is the same as a "distributor," and that MLM is the same as CDM. You look bad either way, my friend. **************** :::::::JJ, I commend you on actually dialoguing with me this time instead of finding something in my post that offended you too much for words to tell. ::::::::: I am not a bitter MLM head like a whole lot of folks are. I love what I do. Mela is a Beautiful Thing.... --------------------- ::::::::::::I believe that you are lying about your experience with this company. There are two possible realities here.:::::::::::: He, he he, he, he..... You have the right to believe whatever. You know very well what you are involved with. I know very well what I am involved with. --------------------- ::::::::1) you have not been with the company long enough to realize that you are actually losing money. In some instances you claim to have been with them for 22 months, yet you also claim to be a very part time youngster in the organization. People who are low on the pyramid often inflate their personal success to decieve themselves and potential recruits, in fact more people do this than actually make money.::::::::: According to my Nov/02 Business Report, I've been involved with this awesome CO. for 20 months. Next week whan I get my Dec/02 Report & check, it'll be 21 months. I do no have to inflate anything. It wouldn't serve me any purpose. I have received a check every month I've been doing this part-time business that I started with $29.US, yet, I have not sold, delivered, distributed, merchandised, retailed or peddled one bottle of anything to anyone. My company handles all orders for me, month after month, year after year. I don't have the time to peddle products to others. Besides, I love to park my car inside my garage! LOL! ----------------------- ::::::::2) You are higher up on the pyramid than you claim to be, in which case you are a company shill dispensing half truths. On to pyramids: MLMs are pyramid SCHEMES.::::::::: The more you spew your hate for Network Marketing, the more you show the world that you've tried one or more MLMs and failed miserably. But I guarantee you one thing, those deals that you were involved with are still in business... You are not. ---------------------- ::::::The U.S. government and most businesses are pyramidal ORGANIZATIONS. The two are not the same. One significant diffence is that legitimate businesses and organizations have only as many levels on their pyramid as is necessary to conduct their business, and the different levels are part of an administrative structure.:::::::: Graphically speaking, structurally speaking, ALL organizations made up of two or more persons are "pyramids." Again, the question should be: Is this "pyramid" legal or illegal? ---------------- :::::::In a pyramid scheme there are theoretically an unlimited number of levels, each representing a group of people who are exploiting the labor of the levels below them.::::::: If you are talking about a "scheme," it's illegal. It's not a legitimate "business." ------------------- :::::::Also, just because something isn't illegal doesn't mean it isn't immoral. Per the term distributor, a distributor is someone who sells or convinces people to buy a product.::::::::: Is "Enhancing The Lives of Those We Touch, by Helping People Reach Their Goals" inmoral? --------------------- :::::::If you're not doing that and you're not manufacturing the product, what the hell are these people paying you so much money for?::::: My agreement with Mela was to be an independent contractor for them, an Independent Marketing Executive. Simple. The manufacturing of product, the taking of the order, the delivery of the product, etc., all of that is handled by Mela. All I do is "refer" the customer to the Co. From that point forward, the Co. takes ove in servicing that new customer 100%, month after month. I get a residual month after month. As you would say, "what the hell" is wrong with that? --------------------- :::::::My point is that even if all you do is give people the catalogs which they buy their products from, and then you make your money based on what those people purchase, you are a distributor!::::::: I don't "give" anything to anyone. I enroll people and help them to set up their accounts. Period. ------------------ ::::::If you give people product samples, you are a distributor! This is all pure semantics, though.::::::::: I don't "give people product samples," that's the MLM mentality. My customers BUY their own products because they understood that they have NO risk here. -------------------- :::::::The bottom line for me is that between a PhD acting on behalf of a respected consumer protection agency and an MLM supporter, I'm gonna believe the PhD!:::::::: The bottom line here is that you are a very bitter individual who needs to do a lot of research before you put your foot in your mouth. I could care less who you choose to "believe." My December check will be in my bank account next week, signed not by your PhD friend, but by the Founder and CEO of Mela Inc. Maybe you should try having your PhD buddy sign your December check. He, he, he, he, he, he.... Telling the Story,

JJ, I commend you on actually dialoguing with me this time instead of finding something in my post that offended you too much for words to tell. I believe that you are lying about your experience with this company. There are two possible realities here. 1) you have not been with the company long enough to realize that you are actually losing money. In some instances you claim to have been with them for 22 months, yet you also claim to be a very part time youngster in the organization. People who are low on the pyramid often inflate their personal success to decieve themselves and potential recruits, in fact more people do this than actually make money. 2) You are higher up on the pyramid than you claim to be, in which case you are a company shill dispensing half truths. On to pyramids: MLMs are pyramid SCHEMES. The U.S. government and most businesses are pyramidal ORGANIZATIONS. The two are not the same. One significant diffence is that legitimate businesses and organizations have only as many levels on their pyramid as is necessary to conduct their business, and the different levels are part of an administrative structure. In a pyramid scheme there are theoretically an unlimited number of levels, each representing a group of people who are exploiting the labor of the levels below them. Also, just because something isn't illegal doesn't mean it isn't immoral. Per the term distributor, a distributor is someone who sells or convinces people to buy a product. If you're not doing that and you're not manufacturing the product, what the hell are these people paying you so much money for? My point is that even if all you do is give people the catalogs which they buy their products from, and then you make your money based on what those people purchase, you are a distributor! If you give people product samples, you are a distributor! This is all pure semantics, though. The bottom line for me is that between a PhD acting on behalf of a respected consumer protection agency and an MLM supporter, I'm gonna believe the PhD!

JJ, I commend you on actually dialoguing with me this time instead of finding something in my post that offended you too much for words to tell. I believe that you are lying about your experience with this company. There are two possible realities here. 1) you have not been with the company long enough to realize that you are actually losing money. In some instances you claim to have been with them for 22 months, yet you also claim to be a very part time youngster in the organization. People who are low on the pyramid often inflate their personal success to decieve themselves and potential recruits, in fact more people do this than actually make money. 2) You are higher up on the pyramid than you claim to be, in which case you are a company shill dispensing half truths. On to pyramids: MLMs are pyramid SCHEMES. The U.S. government and most businesses are pyramidal ORGANIZATIONS. The two are not the same. One significant diffence is that legitimate businesses and organizations have only as many levels on their pyramid as is necessary to conduct their business, and the different levels are part of an administrative structure. In a pyramid scheme there are theoretically an unlimited number of levels, each representing a group of people who are exploiting the labor of the levels below them. Also, just because something isn't illegal doesn't mean it isn't immoral. Per the term distributor, a distributor is someone who sells or convinces people to buy a product. If you're not doing that and you're not manufacturing the product, what the hell are these people paying you so much money for? My point is that even if all you do is give people the catalogs which they buy their products from, and then you make your money based on what those people purchase, you are a distributor! If you give people product samples, you are a distributor! This is all pure semantics, though. The bottom line for me is that between a PhD acting on behalf of a respected consumer protection agency and an MLM supporter, I'm gonna believe the PhD!

JJ, I commend you on actually dialoguing with me this time instead of finding something in my post that offended you too much for words to tell. I believe that you are lying about your experience with this company. There are two possible realities here. 1) you have not been with the company long enough to realize that you are actually losing money. In some instances you claim to have been with them for 22 months, yet you also claim to be a very part time youngster in the organization. People who are low on the pyramid often inflate their personal success to decieve themselves and potential recruits, in fact more people do this than actually make money. 2) You are higher up on the pyramid than you claim to be, in which case you are a company shill dispensing half truths. On to pyramids: MLMs are pyramid SCHEMES. The U.S. government and most businesses are pyramidal ORGANIZATIONS. The two are not the same. One significant diffence is that legitimate businesses and organizations have only as many levels on their pyramid as is necessary to conduct their business, and the different levels are part of an administrative structure. In a pyramid scheme there are theoretically an unlimited number of levels, each representing a group of people who are exploiting the labor of the levels below them. Also, just because something isn't illegal doesn't mean it isn't immoral. Per the term distributor, a distributor is someone who sells or convinces people to buy a product. If you're not doing that and you're not manufacturing the product, what the hell are these people paying you so much money for? My point is that even if all you do is give people the catalogs which they buy their products from, and then you make your money based on what those people purchase, you are a distributor! If you give people product samples, you are a distributor! This is all pure semantics, though. The bottom line for me is that between a PhD acting on behalf of a respected consumer protection agency and an MLM supporter, I'm gonna believe the PhD!

JJ, I commend you on actually dialoguing with me this time instead of finding something in my post that offended you too much for words to tell. I believe that you are lying about your experience with this company. There are two possible realities here. 1) you have not been with the company long enough to realize that you are actually losing money. In some instances you claim to have been with them for 22 months, yet you also claim to be a very part time youngster in the organization. People who are low on the pyramid often inflate their personal success to decieve themselves and potential recruits, in fact more people do this than actually make money. 2) You are higher up on the pyramid than you claim to be, in which case you are a company shill dispensing half truths. On to pyramids: MLMs are pyramid SCHEMES. The U.S. government and most businesses are pyramidal ORGANIZATIONS. The two are not the same. One significant diffence is that legitimate businesses and organizations have only as many levels on their pyramid as is necessary to conduct their business, and the different levels are part of an administrative structure. In a pyramid scheme there are theoretically an unlimited number of levels, each representing a group of people who are exploiting the labor of the levels below them. Also, just because something isn't illegal doesn't mean it isn't immoral. Per the term distributor, a distributor is someone who sells or convinces people to buy a product. If you're not doing that and you're not manufacturing the product, what the hell are these people paying you so much money for? My point is that even if all you do is give people the catalogs which they buy their products from, and then you make your money based on what those people purchase, you are a distributor! If you give people product samples, you are a distributor! This is all pure semantics, though. The bottom line for me is that between a PhD acting on behalf of a respected consumer protection agency and an MLM supporter, I'm gonna believe the PhD!

Rebuttal Consumer Comment Submitted: 1/9/2003 2:39:11 PM Modified: 1/10/2003 1:42:47 AM Facts surrounding Melaleuca :::A couple of years back Dr. Jon Taylor of the Consumer Awareness Institute did an extensive study into MLM's (and yes, Melaleuca is an MLM, the terms "consumer direct marketing" and "multi level marketing" are synonymous).::::::::: Time Out! You did use the term Facts. If both you and "Dr. Taylor" believe this, then the entire "study" does not apply to Mela. --------------------------------- ::::::Melaleuca was one of the companies researched, and information on sales agent/account manager incomes, revenue sources, and agent retention rate was gleened from tax records. Here is what he found. 99.9% of Melaleuca agents LOSE money each year. That is to say the amount of money they invest in the company is more than what they earn.:::::::: If this was to be true, then I must be that other .01% because I have not lost a penny in my 22 months of very part time activity with Mela. Also, the tax writeoffs have been pretty cool so far... ----------------------------- :::Only about .13% of the Meleceula sales force earns money in an average year, and these are generally the people at the top of the pyramid.::: I am nowhere near the top of this legal "pyramid" (I emphasize the term legal because the U.S. Gov't is a "pyramid" but it's legal, just like Coca Cola, and PBS, Playboy, and the NFL, etc. There's always going to be someone at the top, in the middle, and someone at the bottom of the "pyramid." Thus, the question should be if the "pyramid" is legal or illegal.), yet, I have been in the black since my first month with Mela. -------------------------- ::::85% of revenue for the company comes from sales of product samples to distributors,:::: Both you and "Dr. Taylor" must have "studied" Amway or Herbalife or Nature's Sunshine, great MLM companies. Even our "Value Pack" and Career Pack" megaspecials do not contain "samples." The products are regular size products. Besides, as shown above, we are not "distributors." ---------------------------- :::and only 15% comes from sales to people who are not affiliated with the company.::: What????????? Do you also believe that Osama bin Laden was the first President of the U.S.???????? Duhhhhhhhh... ----------------------------- :::Melaceula has less than a 20% yearly retention rate for its salesforce, meaning that 80% of salespeople give up before the first year is done, usually because they realize that they are not making money, in fact they are losing it.::: Last 11/02 I had 78 customers in my part time Mela business. According to MY business report and the commissions check that I received, 58 of the 78 ordered products directly from the company. 58 of 78 = 74% Now, I'm just getting started with Mela. I do the business part time, I have a full time job for 13 years now, and I am also a painter that shows his paintings all over the world on a regular basis. I am a very busy individual. I have never sold a product to anyone because I am not a 'distributor,' being that our system of marketing is Consumer Direct (each customer has a catalog and orders directly from the factory at 30-40% factory discount). Therefore, your ridiculous statement above about "Melaceula" having a 20% retention rate is unfounded, at least in own personal experience. Are you sure we are talking about the same awesome company? I am talking about M.e.l.a.l.e.u.c.a. Inc. from Idaho Falls, Idaho. As far as not making money" is concerned, I can also attest that every month, for the last 20 months, I have received enough money from Melaleuca as a result of my part time effort of simply "Telling the Story", in order for me to pay for my own products and help put my 19-year old daughter through college. (By the way, she is my first Mela Director, she also gets a monthly check that pays for her products. Hello?????) What's wrong with that? I get awesome, safe products that pay for themselves every month, and will pay for themselves for the rest of my natural life, SEVEN families receive at least a 7% revenue share from my purchase, I save time because Mela delivers to my doorstep, and I will die old. You, in turn, get toxic, dangerous products from WalMart or BJ's or Sam's Club that you pay at retail (pay for advertising, etc.), you or anyone never receive a check from those companies, you spend time going shopping, and worst of all, will die young. What's wrong with that? Also, my own 'little' business that I "invested" $29.US to start, grows every month, is not one of the fastes-growing businesses in Mela. Yet, 78% of the people who had ordered in October, came back in November and ordered again, and of course, I got paid again. Again, what's wrong with that? ----------------------------- ::::::For those of you who have not yet hooked up with this company, avoid it like the plague.::::: Luckily for the people of the U.S., Canada, Puerto Rico, U.S Virgin Islands, Guam, Australia, Hong Kong, Taiwan, Japan and South Korea, we don't take bitter liers like you seriously. --------------------- :::::Their customer service is notoriously bad and they use sneaky billing practices.::::::: If this was true, the U.S. Chamber of Commerce would have never awarded Mela Inc. the Blue Chip Enterprise Award. Again, are you sure we are talking about the same enterprise here? --------------------------- :::And don't let yourself get suckered in by tales of unimaginable (and unattainable) wealth to become a distributor.::: Personally, I have yet to meet ONE Mela Independent Marketing Executive who suggested such nonsense about wealth to me. Personally, I don't want to become "rich." I simply want to become debt-free and have the time freedom I need to paint all I want. And because we all signed an Independent Marketing Executive agreement when we opened our Mela businesses instead of a "Distributor" agreement, we are not "Distributors." We also are able to park our cars inside our garages, unlike the MLM distributor who has his/her garage filled with overpriced water filters and bottles of vitamins that don't work and is forced topark his/her car outside in the rain, snow and sun. ----------------------- :::For those of you who are already with the company, I wish you the best, but statistically almost 100% of you will fail. U.S.A.::::: Just because you or someone you know "failed" at Mela, does not mean that I am going to "fail" also. You or your friend probably enrolled and tried to "re-invent the wheel" by retailing the Mela products to the public. That's not quite Consumer Direct Marketing. That's closer to Multi Level Marketing which Mela is not. To conclude, in my own experience with Melaleuca, the only people who I have witnessed that "failed" with Mela were those who enrolled and quit. God Bless them all. Telling the Story, JJ R. NYC

A couple of years back Dr. Jon Taylor of the Consumer Awareness Institute did an extensive study into MLM's (and yes, Melaleuca is an MLM, the terms "consumer direct marketing" and "multi level marketing" are synonymous). Melaleuca was one of the companies researched, and information on sales agent/account manager incomes, revenue sources, and agent retention rate was gleened from tax records. Here is what he found. 99.9% of Melaleuca agents LOSE money each year. That is to say the amount of money they invest in the company is more than what they earn. Only about .13% of the Meleceula sales force earns money in an average year, and these are generally the people at the top of the pyramid. 85% of revenue for the company comes from sales of product samples to distributors, and only 15% comes from sales to people who are not affiliated with the company. Melaceula has less than a 20% yearly retention rate for its salesforce, meaning that 80% of salespeople give up before the first year is done, usually because they realize that they are not making money, in fact they are losing it. For those of you who have not yet hooked up with this company, avoid it like the plague. Their customer service is notoriously bad and they use sneaky billing practices. And don't let yourself get suckered in by tales of unimaginable (and unattainable) wealth to become a distributor. For those of you who are already with the company, I wish you the best, but statistically almost 100% of you will fail.

20 months ago I signed the very same "Preferred Customer" and "Independent Marketing Executive" Agreements by Melaleuca Inc. that you and your friends and relatives signed. Had you and your friends and relatives read like I read those agreements before signing them, you would have discovered that yes, there is an emergency "back up order" in Melaleuca's "Preferred Customer Program," which by the way, is part of "Consumer Direct Marketing" (not Multi Level Marketing), and that this emergency "back up order": 1. is never sent to the Preferred Customer (a customer that "prefers" to use his/her dollars more intelligently by shopping direct from the Melaleuca factory, therefore, obtaining Quality, Value & Convenience) every month; 2. protects a Preferred Customer's benefits under Consumer Direct Marketing, benefits that include but are not limited to an automatic 10% rebate on all purchases, long distance phone service savings, internet service savings, travel savings, prescription drug savings, monthly residual revenue share of other Preferred Customers' purchases. In my 20 months so far, I have never received an emergency "back up order" because I have always ordered my personal use products at the 30-40% factory-direct discount price. Instead, I have received 20 checks for sharing my own Melaleuca experience with others. I'm a diabetic type II who hates prescribed chemical drugs, and who has been helped tremendously by Melaleuca's awesome natural and organic nutraceutical supplements. As a matter of fact, some of the people in my Melaleuca organization who have cancelled their memberships, and that had received back up orders, returned the back up orders and got their money refunded from Melaleuca Inc. with no questions asked. Finally, and at the risk of sounding ridiculous, I bet any amount of money that even this late in the game, if you and your friends and relatives are to call Melaleuca Inc. and explain your situation to them, they will bend backwards to satisfy your needs. Don't forget, the company-wide guarantee is 100% of your and my satisfaction, otherwise, we get our money back. As far as Russ Paley is concerned, I know Russ personally, and although I'm not part of his organization (I'm out of his payout), several times he has taken his valuable time to train those in my organization who want to make money instead of excuses.

I'm tired of reading about Melaleuca as a bad company or peiople being ripped off. If you think that Melaleuca is a rip-off, then you haven't been around much. With all of the MLM companies that are out there Melaleuca is one of the best. If you enroll and believe everything that your sponsor tells you, then you are very nieve. You must be able to digest all of the material and make your own decisions. Don't think for a minute that you can enroll relatives and a few friends and get to the big money, because it won't happen. The average person will enroll only 2 or 3 people and only 1 out of every 10 people enrolled will become a busness builder enrolling 8 or more people. Remember this is a business and there by all expenses, including the cost of products, is deductible on your income tax. If you compare the cost of these products with Wal-Mart or any other store then you are in the wrong game. If you feel that these products are expensive then find out how Mary Kay products compare to Wal-Mart or any other store. Also ask yourself when was the last time you got a check from Wal-Mart? I have been in Melaleuca for over 10 years and have only recently dropped out because I did not like the changes that they have made to some of the products. But I will continue to purchase the products that I do like from my upline.I only have one question, What ever happened to Russ Paley? He was the first Executive Director and once he got that $100,000 check I never heard about him again.

sorry that you feel that you were deceived however what you failed to mention in your complaint about the monthly order increasing (as you move up the ladder) is that your commissions also increase accordingly so you basically come out with twice the product for free! nobody gets hurt with this deal! And the fact of the matter is that there is no time to mention every aspect of this business on the initial presentation... however if you want to proceed with the business, then all details need to be disclosed- none of those details, however will hurt your business.

I'm sorry this person ripped you off, he certainly wasn't representing the company accurately or LEGALLY. He is not allowed to make unsubstantiated claims and is required to give you complete information about back up orders and all aspects of the company before you sign. I'd very highly suggest writing to the company and complaining to them directly about this person because obviously the company does not want anybody in their business that would scam anyone. As far as the money back guarantee, that IS a fact of the company. You can send back your EMPTY bottels and get your money refunded minus shipping, and shipping with this company is very low. Again, contact the company, even if it is past the time period and explain the situation to them. Even though they are not required to refund your money after the time has expired I know of several instances where they have gone beyond just what is required to insure customer satisfaction. They don't want a bad name anymore than you want to be ripped off. I hope you'll consider getting to the bottom of this to make sure people like this don't hurt others. I'll do some digging myself. Aubri