Melaleuca has the right to withhold from a Marketing Executive all bonuses and commissions during the period that Melaleuca is investigating the alleged violative conduct of the Marketing Executive. If a Marketing Executive’s
regarding this Policy 43 shall be entitled to an award of attorneys’ fees and costs.
former Marketing Executive shall have no right, title, claim or interest to the Marketing Organization. The former Marketing Executive shall have no claim for compensation for the Marketing Organization or for bonuses or commissions stemming from sales generated within or by the Marketing Organization or for Financial Freedom Bonus amounts held in escrow by Melaleuca. Following voluntary or involuntary cancellation of his/her Independent Marketing Executive Agreement, the former Marketing Executive shall not hold himself/herself out as a Melaleuca Marketing Executive and shall not have the right to introduce Melaleuca products or services or the Melaleuca business opportunity. This obligation shall survive the cancellation of the Independent Marketing Executive Agreement. 43. Corrective Measures All of the policies in this Statement of Policies, the provisions of the Independent Marketing Executive Agreement, the Corporate Entity Application and Agreement, and any other agreements entered into by and between Melaleuca and Marketing Executives are material terms to the agreement between Melaleuca and Marketing Executives. A Marketing Executive’s violation of any of the terms and conditions of any of these agreements or the Statement of Policies or any illegal, fraudulent, deceptive or unethical conduct by a Marketing Executive may result, at Melaleuca’s discretion, in one or more of the following corrective measures: (a) cancellation of his/her Independent Marketing Executive Agreement; (b) cease to pay any further commissions or bonuses indefinitely; (c) issuance of a written notice of breach with demand for rectification; (d) imposition of a fine, which may be imposed immediately or withheld from future commissions and/or bonuses; (e) reassignment of all or part of his/her Marketing Organization; (f) suspension of his/her Independent Marketing Executive Agreement for one or more months; or (g) any other measure expressly stated within any of the policies set forth in the Statement of Policies or any provision of the Independent Marketing Executive Agreement, the Corporate Entity Application and Agreement, or other agreements entered in and between Melaleuca and the Marketing Executive.
(a) Abide by any and all national and local laws, rules and regulations applicable to operating his/her Independent Melaleuca Business; (b) At the Marketing Executive’s own expense, make, execute or file all such reports and obtain such licenses as are required by law or public authority with respect to his/her Independent Melaleuca Business; (c) Be solely responsible for declaration and payment of all national and local taxes and fees as may accrue because of the Marketing Executive’s activities in conjunction with his/her Independent Melaleuca Business; (d) Supply all of his/her own equipment and tools for operating his/her business, such as telephone, transportation, professional services, office equipment, and office supplies; and (e) Provide his/her own place of business and determine his/her own work hours. (f) Fulfill his/her obligations under the Independent Marketing Executive Agreement in accordance with the best-accepted industry standards using one’s expertise and experience, and he/ she shall exercise all reasonable skill, care, diligence, and prudence in the performance of his/her obligations; (g) Use any means and methods not contrary to law, regulations, and the provisions of the Independent Marketing Executive Agreement, which will best enable him/her to perform or fullfill his/ her obligations. Melaleuca shall have no control and supervision over the means and methods that the Marketing Executive will employ in the performance his/her obligations. 42. Forfeiture of Rights to Bonuses and Commissions So long as a Marketing Executive is complying with all policies and terms of the Independent Marketing Executive Agreement, as amended from time to time, Melaleuca is obligated to pay commissions and bonuses to such Marketing Executive in accordance with the Compensation Plan. A Marketing Executive’s commissions and bonuses constitute the entire consideration for all of the Marketing Executive’s efforts in generating sales, and the Marketing Executive’s right to receive commissions and bonuses from Melaleuca constitutes the entire value attributable to the Marketing Executive’s Marketing Organization. Following the voluntary or involuntary cancellation of his/her Independent Marketing Executive Agreement, such
stories from the Marketing Executive providing the content and/or from other Customers; (iii) provide information about Melaleuca corporate or Marketing Organization meeting dates and locations; (iv) contain business-and product- oriented bulletin boards, as long as the content complies with Melaleuca’s policies; (v) provide training and information (including pre-recorded training messages) about business-building strategies in a manner consistent with Melaleuca’s policies; (vi) recognize the achievements and advancements of Marketing Executives within the organization of the Marketing Executive providing the content; (vii) contain one or more links to an official Melaleuca website; (viii) contain a current official version of the Melaleuca Overview slides to be used only for training purposes or for facilitating a live presentation of the Melaleuca Overview slides; (ix) contain statements about income that comply with Policy 32. (c) To ensure that Melaleuca business principles are upheld, online training and information content may not: (i) be used for the purpose of soliciting new customers or Marketing Executives, except when used for a live presentation of the Melaleuca Overview slides; (ii) contain any promises or representations about placement within a Marketing Organization, that an organization will be built for a Marketing Executive, or that this is a business in which little effort is required; (iii) offer any materials or services for a fee, including but not limited to any website hosting services or other web- related services, internet usage training or services, lead-generation services, or training services or materials; and (iv) offer for sale any Melaleuca logo gear. (d) Marketing Executives may not discuss Melaleuca by name in any social media websites that are not password protected. But Marketing Executives may talk about Melaleuca products by brand name on non-protected social media sites, but may not issue a call to action. 41. Obligations of Independent Contractors As an independent contractor, it is a Marketing Executive’s responsibility to:
Business or a Marketing Executive’s acceptance of commissions and/or bonuses from Melaleuca after the 30-day notification period constitutes his/her acceptance of any such amendments. After 30 days’ notice, Marketing Executives will be bound by the most current versions of the Compensation Plan, the Statement of Policies, the Independent Marketing Executive Agreement and any other agreements entered into by and between Melaleuca and the Marketing Executives. Melaleuca’s interpretation of the Compensation Plan, Statement of Policies and/or the terms
44. Amendments to the Compensation Plan, Statement of Policies, and/or Independent Marketing Executive Agreement Upon 30 days’ notice to Marketing Executives, Melaleuca may, at its sole discretion, amend the Compensation Plan, Statement of Policies and/or the terms of the Independent Marketing Executive Agreement and any other agreements entered into by and between Melaleuca and the Marketing Executives. By signing the Independent Marketing Executive Agreement, Marketing Executives agree to abide by any such amendments. The continuation of an Independent Melaleuca
Independent Marketing Executive Agreement is cancelled due to a
violation preceding the investigation, the Marketing Executive will not be entitled to any commissions or bonuses withheld by Melaleuca during the investigation period. The parties agree that all claims or disputes regarding the enforcement of this Policy 43 shall not be submitted to binding arbitration, and may be the subject of legal action, which may include an award of damages and/or injunctive relief. To the extent permitted by law, the prevailing party in any proceeding
42 WELCOME TO MELALEUCA
SIMPLE STEPS TO SUCCESS 43
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