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February 26, 2007

Is Amway or Quixtar an Illegal Pyramid?

Pyramid Scheme Alert, "In a crucial development that could rock the entire multi-level marketing business, a class action lawsuit has been filed this month against Quixtar (Amway) charging that the company is running an illegal pyramid scheme. (filed in US District court in the northern district of California on January 10, 2007, case number 3:07-cv-00201-EMC.)

The charges against Amway/Quixtar go to the very heart of the company's business practices and most other multi-level marketing (MLM) schemes', that there is no retail "direct selling" opportunity, only an endless chain recruitment program."

The claim that Quixtar, the successor to Amway, is an illegal pyramid can be read here.

A great overview is on YouTube:



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