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Status: Unreviewed

Disciplinary Sanctions

Per Policies & Procedures Section 6.1, violations of the Partner Agreement may result in disciplinary action.

Available Sanctions

SanctionDescription
Written warningFormal notice of violation requiring acknowledgment
Corrective action requiredMust fix the issue immediately and confirm compliance
Commission withholdOne or more commission checks held pending resolution
SuspensionAgreement suspended for one or more pay periods
Organization transferPartial or full Marketing Organization moved to another sponsor
TerminationInvoluntary cancellation of Partner Agreement
Monetary fineFinancial penalty assessed
Legal proceedingsFor serious violations involving fraud or illegal activity

Sanction Levels

Minor Violations

ExampleTypical Sanction
First-time disclosure omissionWritten warning
Unapproved material (correctable)Corrective action required
Minor policy misunderstandingWritten warning with education

Moderate Violations

ExampleTypical Sanction
Repeat disclosure violationsCommission withhold
Unauthorized websiteCorrective action + monitoring
Income claim without disclaimerCommission withhold + retraining

Serious Violations

ExampleTypical Sanction
Prohibited marketing methodsSuspension
Cross-recruitingOrganization transfer + suspension
Multiple repeat violationsSuspension or termination

Severe Violations

ExampleTypical Sanction
Fraud or misrepresentationTermination
Illegal activityTermination + legal action
Material harm to company/membersTermination + monetary penalty

Investigation Process

StepDescription
1Report received and documented
2Evidence gathered and reviewed
3Partner notified and given opportunity to respond
4Investigation completed
5Determination made
6Sanction applied if warranted
7Partner notified of outcome

Partner Rights

RightDescription
NoticeWritten notification of alleged violation
ResponseOpportunity to respond before sanctions
EvidenceAccess to evidence used in determination
AppealRight to appeal sanctions through proper channels

Appeal Process

StepAction
1Submit written appeal within 14 days
2Include supporting documentation
3Appeal reviewed by senior management
4Decision communicated in writing
5Decision is final

Commission Recovery

When commissions are recovered due to violations:

ScenarioRecovery Method
Future commissionsOffset against future earnings
No future earningsInvoice issued for repayment
Refusal to payLegal action may be pursued

Reinstatement

After serving a suspension:

RequirementDetail
Compliance confirmationWritten acknowledgment of policies
Corrective actionAll required corrections completed
Monitoring periodEnhanced monitoring for 6 months
Repeat offenseMore severe sanctions apply