GENERAL

Preface
 
This Code contains guidance on the interaction between:
  1. DSA member Companies and their existing and prospective sales representatives;
  2. DSA member Companies and their sales representatives and Consumers of the Company's Products;
  3. Member Companies as they compete in the marketplace; and
  4. Individual Complainants, the DSA Code Administrator, and DSA member Companies.
1.1 Scope

The Code contains sections entitled "Conduct For the Protection of Consumers", "Conduct Between Companies and Direct Sellers", and "Conduct Between Companies." These three sections address the varying interactions across the spectrum of direct sales. The Code is designed to assist in the satisfaction and protection of Consumers, promote fair competition within the framework of free enterprise and enhance the public image of Direct Selling.

1.2 Glossary of Terms
For the purposes of the Code, capitalized terms have the following meaning:
 
Code Administrator:
The independent person or body appointed by DSA to monitor a Company's compliance with the Code and to resolve complains under the Code.
 
Company:
A business entity that (i) utilizes a Direct Selling distribution system to Markey its Products, and (ii) is a member of DSA.
 
Consumer:
Any person who purchases and consumes Products from a Direct Seller or a Company.
 
Direct Seller:
A person or entity that is entitled to buy and/or sell the Products of a Company and that may be entitled to recruit other Direct Sellers. Direct Sellers generally market consumer products directly to Consumers away from a permanent, fixed retail location, usually through the explanation or demonstration of products and services. A Direct Seller may be an independent commercial agent, independent contractor, independent dealer or distributor, employed or self-employed representative, or any other similar sales representative of a Company.
 
Order Form:
A printed or written document confirming details of a Consumer order and providing a sales receipt to the Consumer. In the case of Internet purchases, a form containing all terms of the offer and purchase provided in a printable or downloadable format.
 
Product:
Tangible and intangible consumer goods and services.
 
Recruiting:
Any activity conducted for the purpose of assisting a person to become a Direct Seller.

1.3 Companies
Companies pledge to adopt and enforce a code of conduct that incorporates the substance of the provisions of this Code as a condition of admission and continuing membership in the DSA. Companies also pledge to publicize this Code, its general terms as they apply to Consumers and Direct Sellers, and information about where Consumers and Direct Sellers may obtain a copy of this Code.

1.4 Direct Sellers
Direct Sellers are not bound directly by this Code, but, as a condition of membership in the Company's distribution system, shall be required by the Company with whom they are affiliated to adhere to rules of conduct meeting the standards of this Code.

1.5 Self-Regulation
This Code is not law, but its obligations require a level of ethical behavior from Companies and Direct Sellers which conforms with or exceeds applicable legal requirements. Non-observance of this Code does not create any civil law responsibility or liability. With termination of its membership in DSA, a Company is no longer bound by this Code. However, the provisions of this Code remain applicable to events or transactions that occurred during the time a Company was a member of DSA.

1.6 Local Regulations
Companies and Direct Sellers must comply with all requirements of law in any country in which they do business. Therefore, this Code does not restate all legal obligations; compliance by Companies and Direct Sellers with laws that pertain to Direct Selling is a condition of acceptance by or continuing membership in DSA.

1.7 Extraterritorial Effect
Every national DSA pledges that it will require each member as a condition to admission and continuing membership in the DSA to comply with the WFDSA World Codes of Conduct for Direct Selling with regard to direct selling activities outside of its home country, unless those activities are under the jurisdiction of Codes of Conduct of another country's DSA to which the member also belongs.


[General] [Conduct Towards Consumers] [Conduct Towards Direct Sellers] [Conduct Between Companies] [Code Enforcement]