Grand Rapids News – Published August 23, 2007
Rulings are expected late today or Friday morning in cases pitting Ada-based direct sales giant Quixtar against several current and former distributors.
The three cases before Kent County Circuit Judge Paul Sullivan have potentially wide ramifications for Quixtar, the name Alticor Inc. gives its Amway direct sales business in the United States, and its network of thousands of distributors.
In one case, Quixtar is seeking to stop the distribution of sales and motivational materials created and sold by former distributors Orrin Woodward and Chris Brady, among others, affiliated with the TEAM (Together Everyone Achieves More) sales organization.
Woodward and Brady are among those who have sued Quixtar in California, alleging it is an illegal pyramid scheme, selling overpriced products only within its network of so-called Independent Business Owners. With that set-up, the only way IBOs are capable of making money is from the commission-like bonuses that are possible by continually recruiting more IBOs who self-consume Quixtar products,
Even though they have filed that suit, members of TEAM have continued to recruit another 1,000 new Quixtar IBOs, attorneys for Woodward and Brady said.
Read the entire article at Grand Rapids News
Also, read our company overview: Amway Facts, News and Review
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