allmlmfacts

all MLM busters

  • MLM
    •  
    • 1. Lost Money

    •  
    • 2. Lost reputation

    •  
    • 3. Lost time

    •  
    • 4. Lost selfesteem

Amway Sues Reseller, “Wins” Big Time

Amway sued an Amazon reseller: https://www.mlive.com/news/grand-rapids/2019/07/amway-sues-sellers-for-trademark-infringement-faulty-product-distribution.html and here’s the complaint: Amway-Park Lawsuit 7-4-2019 The defendants didn’t do anything in response to the lawsuit, so Amway obtained a default judgment: Amway Default Judgment 8-12-2019, which means the only evidence considered came from Amway. I believe Amway would have lost this lawsuit had the defendants defended their actions, as the Supreme Court has ruled that once a product is sold, the purchaser has full ownership and can do what they want with it, including reselling it: https://smallbiztrends.com/2013/03/resale-rights-you-bought-own.html Amway’s complaint that the money back guarantee is no longer in effect and therefore the product is less than what it was originally is ridiculous, as that is understood when anything is being resold. There are problems with the product not being what is described in the offering in online stores, but there are controls in place, such as the seller getting a bad rating, money back guarantees, etc. The default judgment includes a $320,000 penalty which Amway claims is the profit that was made by the defendants. There is no basis for this claim, but since it went unchallenged, the defendant now owes this money. Because their name is the Parks, probably of Korean ethnic origin, it could be they didn’t understand what was going on and will probably hire a lawyer who may be able to help them, maybe not. Time will tell.

Leave a Reply

Your email address will not be published. Required fields are marked *