The Direct Selling Self-Regulatory Council (DSSRC) has referred ByDzyne, a direct selling company that sells products in the health and wellness, technology, beauty and travel categories, to the Federal Trade Commission (FTC) for possible enforcement action. The referral to the FTC comes after ByDzyne failed to respond to the DSSRC’s inquiry.
The DSSRC expressed concern about earnings claims that communicated ByDzyne salesforce members could earn significant income through the business opportunity. The DSSRC brought these concerns to the attention of ByDzyne as part of its ongoing independent monitoring of the direct selling marketplace.
A sampling of the earning claims in question include:
- “No limit to how high you can climb”
- “The money is coming. The new home is coming. The breakthrough is coming. The new car is coming. The good health is coming. The financial freedom is coming. And I can see it all happen here in ByDzyne.”
- A promotional video with multiple references to earnings between $500,000 and $1,000,000 per month.
- A Compensation plan video with unqualified claims about a $50,000 car bonus and a $250,000 house bonus.
The DSSRC’s Policies and Procedures call for a referral to the appropriate government agency, in this case the FTC, if a company in question is unresponsive or declines to participate.