Government Guidelines for Direct Selling in Indi | Govt Guidelines for (MLM ) Network Marketing Company in India - NETWORK MARKETING

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Monday, August 19, 2019

Government Guidelines for Direct Selling in Indi | Govt Guidelines for (MLM ) Network Marketing Company in India

Indian Government Guidelines for Direct Selling Association

Industries (Gr.I) Department



Jaipur, October 5, 2012
No.F5 (2) Ind/1/2012:- To regulate the sale of goods and services outside of retail establishments
Otherwise known as "Direct Selling (Multi Level Marketing)" and to provide for protection Of consumers
who purchase goods and services from direct sellers, following guidelines are issued with the approval of
the Competent Authority. These guidelines will come into force from the date of publication in official
Gazette and Will remain in force till an appropriate legislation is enacted for the said purpose:-
1     1              Definitions
(i)                 Direct Selling
Means marketing or sales of goods directly to the end user consumer using word of mouth
publicity, display and/or demonstrations of the goods/products, and/or distribution of pamphlets.
Explanation: Companies can open pick up points and delivery points for maintaining effective
delivery system.
(ii)               Direct Selling Entity
Means a business entity as recognized by law for the time being in force including but not limited
to a Company duly incorporated under the Indian Companies Act, a registered Partnership Firm
constituted under the Indian Partnership Act.
(iii)             Direct Seller
Means a person who is authorized by the Direct Selling Entity to engage into the business of Direct Selling.
(iv)              Consumer
An individual who buys goods or services for personal use and not for manufacture or resale and
shall have the same meaning as provided under the Consumer Protection Act, 1986.
(v)                Goods/ products
Goods/Products shall have the same meaning as defined in the Sale of Goods Act and section
3(26) of the General Clauses Act* 1897, that is, it shall include every kind of movable property
other than actionable claims and money.


Fore More Info Read Attachment.


 

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