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Compliance Corner – November 2019 Article

Why Comply?

LifeVantage Corporation has a Compliance Department comprised of a VP of Compliance, a Senior Manager, and four amazing Compliance Specialists. We are the guardians of the corporation, protecting the legacy of our company and each of your individual distributor businesses. We wanted to take a moment in this Compliance Article to explain why we as a corporation comply with laws and regulations and why we ask each and every one of you to comply with laws and regulations and our policies and procedures as well.

So, why comply? Well, first off, the integrity of our business and the independent contractor Distributor opportunity depends on our culture of compliance which means compliance (doing the lawful thing) and ethics (doing the right thing). We monitor and enforce compliance and ethics so that you can have successful businesses that promote innovation, creativity, and stellar customer service without violating the laws.

Who makes these laws and why must we be regulated? The Federal Trade Commission (FTC) and Federal Drug Administration (FDA) along with the Department of Justice (DOJ) and state Attorneys Generals monitor and enforce laws and guidelines to help us make sure we safely and ethically market our products and opportunity. We willingly follow the regulations as a multi-level-marketing company of dietary supplements and personal care products to preserve your opportunity to market the LifeVantage opportunity and products to our customers.

The regulations we follow include ensuring we and our distributors make compliant product claims and compliant income claims.

So, why comply? In the recent case of the FTC vs. Advocare, a network marketing company named Advocare was fined 150M and forced to abandon multi-level marketing as their chosen business model for making inappropriate income claims and allowing their distributors to make inappropriate income claims and for not having an accurate average income claim disclosure.

This case and other similar FTC and state enforcement actions erode trust in our industry and can put all Network Marketing companies (including LifeVantage) under the regulatory magnifying glass.

The LifeVantage Compliance Department provides training, compliance corner articles and videos to our distributors with a library of resources, so that each individual distributor will understand their personal responsibility to also be a guardian of our legacy as a company and our chosen way to do business.

Our company is pleased to lead the integrity revolution. Distributors are being trained to comply with appropriate claims for both product and income and building compliant businesses and downlines. With this continued revolution, we will be able to sustain a strong compliance and ethical culture within our company family and our industry

So, thank you for your compliance and for joining our Compliance team in becoming guardians of the LifeVantage legacy as well as your individual business legacy. Help us protect what you have worked so hard to build and sustain. Together we can keep regulators happy with our efforts, our company transparent, and set the example in our industry.

And if at any time you should have questions, please contact the Compliance Department directly at compliance@lifevantage.com. Remember to always check the back office for new training videos, articles, handouts, etc. by going to “backoffice/library/compliance.”

Our Purpose

We dare to imagine an abundant world where both physical and financial health is optimized. We believe your well-being matters. That’s why we’ve combined the cutting-edge research of nutrigenomics with a leveraged plan to build your own legacy.

Because You Matter
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