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AMWAY SETTLES LAWSUIT WITH MONAVIE
Nov 2010.....details coming
FORMER QUIXSTAR SETTLES LAWSUIT $56,000,000
Dead Quixtar accused of running pyramid scheme. Ambulance chasing lawyers get $20 million too!
A now defunct Amway subsidiary has settled a class action lawsuit alleging that it ran a pyramid scheme against distributors it recruited to sell its products. Most reporting this information showed their ignorance by calling Amway MLM’s largest company when actually Avon is. Also, Amway settled without admitting guilt.
The lawsuit, filed in 2007, attacked Quixtar (now dead), a former Amway subsidiary, saying it recruited business owners to become distributors for Quixtar, using false statements to suck people into buying Quixtar products. The case also said, “they were told to buy training material and warned that they needed these tools to succeed.”
Different anti-MLM sources on the Internet incorrectly have said that the three individuals named in the class action will get a settlement $34 million. This is false. All the persons eligible in the class (1,000’s) could get up to $34 million. Ur. Ed: Most people will not send in the paperwork (and proof) to collect their share in the class action suit so Amway will pay out far less than the $34 million. Amway has said it will also provide $22 million in products as part of the settlement. Class action lawyers got $20 million.
There is one thing you should warn your company about. In listing average incomes for Quixtar distributors, Quixtar messed up. In calculating the average incomes, they did not include those people who made nothing. Ed. Note: Not a good thing to do!!