It’s no longer business as usual at Herbalife: An inside look at the $200 million FTC settlement

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Why Bill Ackman is Wrong About Herbalife
Herbs that may be harmful in chronic kidney disease. To those who can do it own their own, great. Revisiting acute liver injury associated with herbalife products. But if the commission finds that an MLM is a pyramid scheme—which is considered inherently deceptive—it must shut it down. Retrieved 26 Apr Then Einhorn never surfaced.

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Herbalife charged with deceptive practices, agrees to $200 million settlement, changes

We will assign an auditor to watch you every time you walk into a store to make sure you pay for what you buy. I have no interest in the stock or the hedge funders battling over this company. However I am disgusted that you allowed Herbalife to exist even though you found that they illegally ruined the lives of a lot of vulnerable people.

Sorry about the way you feel about Herbalife, it's clearly known that once Herbalife gives them money they will never be allowed back into Herbalife which is very fair.

Me as a distributor I love my job and the pay is wonderful specially when you work hard for it. Some people expect to make a big investment and do t have the customers, they have to attend training meeting which they don't and that the reason why they fail in this business. I have hetbalifes back and when We just keep growing everyday , too bad those people won't be able to come back , it's their loss.

How could I know if I'm getting a check in the mail I called the number for no one picks up. Am I eligible for a refund?

If you have questions, Alma, you can call the Refund Administrator at With all due respect, statics just don't back up any of your claims. And I find it hard to believe that all those people failed because they "just didn't work hard enough". And the rest of them can't even break even no matter how hard they work. Stop acting like the problem here is those people just not giving it their all. They were absolutely set up to fail from the very beginning.

You say you do well with herbalife, well good for you. But that doesn't make these people's terrible experiences and less valid. Herbalife has great products and a huge number of supporters Herbalife has also helped a lot of people with overall wellness People just want Amazing results and when you care enough about the people and help them reach their goals you become family and we have a family in herbalife Does think action start from the beginning of this company's existence?

What can I do to get my money back. No scam with my company! Customers and business builders pay the same!!! I certainly feel for all that got scammed into paying a lot of money up front. Hope you get some of your money back. It doesn't cost a but they get you to invest 1, up to dollars in product so you can become a supervisor and have 50percent off the products. So, don't come on here pretending to be legit. Distributors are not trained to sell packages they are trained to recruit becaus thats how the money was made.

My mother and I both received a check this week I haven't touched it, we almost thought it was to good to be true It's legit cash or deposit it! I still have unopened items I wonder if I can return them and get the rest back. I have Been an Herbalife member for four years now and just recently found that not one cent of the money I used to purchase products for myself and family has went toward my account I was told to spend a certain amount to build discounts as well as reputation so I can be looked at as an supervisor and distributor in the future and yet those people that I thought were in my corner were not.

Does the settlement include the people that was duped into trying to sell the products and lost money? While there are several major good aspects to the settlement to prevent Herbalife from scamming people, the FTC did not mention the abusive tool scam practices.

I believe the tool scam will return, as the upper level of Herbalife "leader" scum-bags will be making far less money under the new requirements and threaten to leave unless Herbalife allows them to scam their downline via the tool scam.

Examples are the lead generation and other methods of scamming their downline, such as various meetings, books, CDs, website access, voice mail, etc. Ignoring the tool scam issue was a major FTC error. Furthermore, even if somehow criminality was not in the cards for whatever reason, how can it be that those people have not been terminated or severely reprimanded?

The optics of the combination of all these aforementioned questions and seemed inactions create an feeling of helplessness to the public that says that fraudsters get away with murder figuratively, but may perhaps literally. Meaning, if there are no consequences to these people who clearly violated the public, what is to stop such activities not only from them, but also from the rest of like-minded people viewing the HLF results? While there is much celebrating, one has to be disappointed that in years of effort the findings where the same that were known and available years ago.

Findings and conclusions that could have taken a few months if not less. In the meantime, HLF got way with hurting millions of people, destroying lives, and stepping on anyone who dared to speak up via threats, smears, retribution, and legal maneuvers.

Will the public have access to the emails, records, documents, findings, from the investigations? The black-box environment allows HLF and such companies to do all the things that the FTC outlined in the findings and rulings. After expecting thousands of dollars to be paid, stopped. I have been a user of Herbalife products since I love the products. I think it's unfair to put limits to how much I can buy for myself and family. Herbalife never told me that this was a get rich over night kind of deal.

Herbalife has never told me to buy x amount of products, so I can move up the marketing plan. All these allegations are incorrect. Yes, I do retail products, and I have made extra income. However, I wouldn't say I am doing it to get rich. For those Distributors who feel like they have been taken advantage of, you are wrong Most businesses do not earn a profit right away and most businesses even outside of Herbalife fail within the first year.

Being an entrepreneur is a risk, and if you've taken a business course, you would know this. Soon everyone will know how much Herbalife is loved. I will continue to use the products regardless if there is a compensation plan to go along with it. The FTC did a long investigation, and while your experience may be true, there are many others that have been tricked with deceptive claims.

After this settlement many people will think it through before joining Herbalife. You may very well be a victim and just not realize it. In reality, you should have described yourself as a 'consumer' and a 'salesperson' for the company Herbalife.

And since you claim to have retail sales, this settlement shouldn't be a problem for you - unless of course, those customers are like you and sign up to get a discount on their own consumption which anyone can do. This can negate your mark up making it a lousy sales job and hardly an entrepreneurial business. Round and round we go. Read, inherently flawed business model.

Aren't I just buying someone else's idea and building it to my own purpose. So, if I go to work at a car sales company where my sales manager gets a cut of his sales team's commissions, is the car company a pyramid scheme? People just need to do their research before jumping in, and realize that success takes ALOT of hard work, time, and yes, money. Sometimes, the more money you have to build your business the faster you'll make that money back.

This is true in ANY corporate sales environment. Maybe the FTC should look deeper into people who are getting rich in a government beauracracy? How do you get Rich as a public servant? The difference between Herbalife and a fast food joint is simple You can do the math and know. I sell a 1, of cheeseburgers so I can break even to run my a business.

For a pyramid scheme, you would do the math and say, To break even I must sell 1, of cheeseburgers, plus get 6 other people to open a Mcdonald's restaurant themselves to make my McDonald store to make money.

To make my store succesful I will not make money at my building but get others to give me money for running their own store. Instead of a fair retail margin they could stack the deck by purchasing any amount under their own account and would often do so at the end of the month for that 'next bonus'.

The compensation structure made it a lose lose situation and placed the consumer in a position to not win.. Yes most businesses don't make money right away You should keep using Herbalife if you love the products!! Just know the compensation part will change, there will now be safe guards to protect those that do want to try to build a business.

The FTC had to go after Herbalife Some claimed to make tens of thousands of dollars a month. Nutrition clubs could be found all around the Borderland, at one time. A report found more than 60 clubs opened in Las Cruces. The FTC also determined members were not paid for actual products sold but were compensated based on how many people they could recruit to join the business. As part of the settlement agreement, members must now earn a majority of their income through the sale of actual products and not through the recruitment of other members.

Reporters questioned the commissioner on Herbalife's claims that its company had been determined to not be a pyramid scheme. The core facts that we have alleged and considered to be problematic with the compensation structure are set forth in detail in our complaint.

I will leave to readers to draw their own conclusions. The order specifically prohibits Herbalife from claiming that members can 'quit their job' or otherwise enjoy a lavish lifestyle," the FTC said in a release.

In addition, Defendants have been unjustly enriched as a result of their unlawful acts and practices. Absent injunctive relief by this Court, Defendants are likely to continue to injure consumers, reap unjust enrichment, and harm the public interest. Herbalife agreed Friday to a settlement with the FTC. KFOX14 interviewed Herbalife enthusiasts at an outdoor fitness event.

As of now, the FTC has not determined how that process will work or how long it will take. If you are in the Borderland and have had an issue with Herbalife, we want to hear from you. This story was published in Pedophile arrested following indecent exposure.