CORPORATE MISSION STATEMENT
We are committed to providing innovative cutting edge products to improve the quality of life for everyone in need of optimum health and believe in the standards and mission of our company. We will present a business opportunity where a person can experience the pursuit of happiness, self development and their dreams come true.
At Elite Marketing Alliance, Inc. we are passionate with a purpose about the success and empowerment of each Elite Business Owner. We will provide all of our Elite Business Owners and Loyal Customers with excellent customer service and support. Our members will learn the power of leveraging time and money while creating generational wealth for their family. Furthermore, we are dedicated to the improvement of the whole person, mentally, spiritually, physically, financially and socially.
POLICIES and PROCEDURES
1. 0 Policies and Compensation Plan Incorporated into Elite Business Owners Agreement
These Policies and Procedures, in their present form and as amended at the sole discretion of Elite Marketing Alliance, Inc. (hereafter “EMA, Inc. ” or the “Company”), are incorporated into, and form an integral part of, the EMA, Inc. Elite Business Owner Agreement (hereafter “EBO”). Throughout these Policies, when the term “Agreement” is used, it collectively refers to the EMA ,Inc. Elite Business Owner Application and Agreement (hereafter “EMA “EBO” Application and Agreement”), these Policies and Procedures, of the EMA, Inc. Compensation / Marketing Plan, and EMA, Inc. Business Entity Registration Form (if applicable). These documents are incorporated by reference into the EMA, Inc. EBO Agreement (all in their current form and as amended by EMA, Inc.). It is the responsibility of each Elite Business Owner (hereafter “EBO”) to read, understand, adhere to, and ensure that he or she is aware of and operating under the most current version of these Policies and Procedures. When enrolling a new EBO, it is the responsibility of the Enroller to ensure that the applicant is provided with, or has online access to, the most current version of these Policies and Procedures and the EMA, Inc. marketing and compensation Plan prior to his or her execution of the EBO Agreement.
1.1 Purpose of Policies
EMA, Inc. is a direct sales company that markets its products through Independent Representatives (EBO’s). It is important to understand that your success and the success of your fellow EBO’s depend on the integrity of the men and women who market our products. To clearly define the relationship that exists between EBO and EMA, Inc. to explicitly set a standard for acceptable business conduct, EMA, Inc. has established.
EMA, Inc. EBO’s are required to comply with all of the Terms and Conditions set forth in the Agreement which EMA, Inc. may amend at its sole discretion from time to time, as well as all federal, state, and local and Country laws governing their EMA, Inc. business and their conduct. Because you may be unfamiliar with many of these standards of practice, it is very important that you read and abide by the Agreement. Please review the information carefully. It explains and governs the relationship between you, as an independent contractor and the Company. If you have any questions regarding any policy or rule, do not hesitate to seek an answer from customer service at the corporate office.
1.2 Changes to the Agreement
Because federal, state, local, and country laws as well as the business environment, periodically change, EMA, Inc. reserves the right to amend the Agreement and its prices at its sole and absolute discretion. By signing and / or checking the EBO Agreement, an EBO agrees to abide by all amendments or modifications that EMA, Inc. may elect to make. Amendments shall be effective upon notice to all EBO’s that the Agreement has been modified. Notification of amendments shall be published in official EMA, Inc. materials. The Company shall provide or make available to all EBO’s a complete copy of the amended provisions by one or more of the following methods: (1) posting on the Company’s official web site; (2) The EBO back office (3) electronic mail (e-mail); (4) inclusion in Company periodicals; (5) inclusion in bonus and commission checks or Debit Cards. (5) Acceptance of bonuses or commissions constitutes acceptance of any and all amendments.
EMA, Inc. shall not be responsible for delays or failures in performance of its obligations when performance is made commercially impracticable due to circumstances beyond its reasonable control. This includes, without limitation, weather, postal service, strikes, labor difficulties, war, fire, death, curtailment of a party’s source of supply, government decrees or orders.
1.4 Policies and Provisions Severable
If any provision of the Agreement, in its current form or as may be amended, is found to be invalid, or unenforceable for any reason, only the invalid portion(s) of the provision shall be severed and the remaining terms and provisions shall remain in full force and effect and shall be construed as if such invalid, or unenforceable provision never comprised a part of the Agreement.
The Company never gives up its right to insist on compliance with the Agreement and with the applicable laws governing the conduct of a business. No failure of EMA, Inc to exercise any right or power under the Agreement or to insist upon strict compliance by an EBO with any obligation or provision of the Agreement, and no custom or practice of the parties at variance with the terms of the Agreement, shall constitute a waiver of EMA, Inc. right to demand exact compliance with the Agreement. A waiver by EMA, Inc. can be effectuated only in writing by an authorized officer o EMA, Inc f the Company. EMA, Inc. waiver of any particular breach by an EBO shall not affect or impair EMA, Inc. rights with respect to any subsequent breach, nor shall it affect in any way the rights or obligations of any other EBO. Nor shall any delay or omission by EMA, Inc. to exercise any right arising from a breach affect or impair EMA, Inc. rights as to that or any subsequent breach.
The existence of a claim, or cause of action by an EBO against EMA, Inc. shall not constitute a defense to EMA, Inc. enforcement of any term or provision of the Agreement.
BECOMING AN EBO
1.6 Requirements to Become an EBO
To become an EMA, Inc. Elite Business Owner, each applicant must:
Be of the age of legal majority in her or his state or country of residence;
Reside in the United States a U.S. Territory or any country that EMA, Inc. has officially announced is open for business in.
Have a valid Social Security, Federal Tax ID number; or Country ID number,
Submit a properly completed EBO application agreement to EMA, Inc.
Purchase one (1) Elite Business Owner Starter Kit
1.7 New EBO Registration by Telephone
As an alternative to registering online (at the Company’s website or at the replicated website of his or her Enroller), a potential new EBO may call the EMA, Inc. home office during regular business hours to receive an EBO Identification Number and authorization as a new EBO. You must know your enroller’s ID number. Your enroller will provide the contact telephone number and appropriate business hours based on your country of origin. If the applicant registers by telephone, he or she must be able to provide all necessary EBO Agreement information over the telephone and order a Product using a valid credit card.
1.8 EBO Benefits
Once an EBO application agreement is approved and accepted by EMA, Inc. The new EBO will benefit from the Compensation / Marketing Plan. The benefits include the right to:
Sell EMA, Inc. Products;
Participate in the EMA, Inc. Compensation / Marketing Plan (receive bonuses and commissions, when eligible);
Enroll other individuals as Elite Business Owners or Loyal Customers into the EMA, Inc. business and thereby, build a marketing organization and potentially progress through the EMA, Inc. Compensation/ Marketing Plan;
Receive periodic EMA, Inc. literature and other communications;
Participate in EMA, Inc. -sponsored support, service, training, motivational and recognition functions:
Participate in promotional and incentive contests and programs sponsored by EMA, Inc. for EBO s.
1.9 Term and Renewal of Your EMA, Inc. Business
The term of the EBO Agreement is the period of time they are on auto-shipment of the minimum BV per month and qualifier of ranking from the date of acceptance by EMA, Inc. EBO’s must renew their EBO membership Agreement within 30 days after cancellation if compression has taken place for being inactive for more than 6 months. Renewal will avoid complete removal from the Marketing Organization. (See section 10.1, “Roll-up” Compression).
OPERATING AN EMA, Inc. BUSINESS
2.0 Adherence to the EMA, Inc. Marketing and Compensation Plan
EBO’s must adhere to the terms of the EMA, Inc. Compensation / Marketing Plan as set forth in official EMA, Inc. literature. EBO’s shall not offer the EMA, Inc. opportunity through, or in combination with, any other system, program, or method of marketing other than that specifically set forth in official EMA, Inc. literature. EBO’s shall not require or encourage other current or prospective Service Subscribers or EBO’s to participate in EMA, Inc. in any manner that varies from the program as set forth in official EMA, Inc. literature. EBO’s shall not require or encourage other current or prospective Customers or EBO’s to execute any agreement or contract other than official EMA, Inc. agreements and contracts in order to become an EMA, Inc. Loyal Customers or EBO Similarly, EBO’s shall not require or encourage other current or prospective Customers or EBO’s to make any purchase from, or payment to, any individual or other entity to subscribe to EMA, Inc. products or to participate in the EMA, Inc. Compensation / Marketing Plan other than those purchases or payments identified as recommended or required in official EMA, Inc. literature.
All EBO’s shall safeguard and promote the reputation, opportunity and services of EMA, Inc. the marketing plan and products shall be consistent with the public interest, and must avoid all discourteous, deceptive, misleading, unethical or immoral conduct or practices.
When promoting both the EMA, Inc. products and opportunity, EBO’s must use the sales aids and support materials produced or approved in writing by EMA, Inc. The rationale behind this requirement is simple. EMA, Inc. has carefully designed its Product offerings, Compensation / Marketing Plan, and promotional materials to ensure that each aspect of EMA, Inc. is fair, truthful, substantiated, and complies with the vast and complex legal requirements of federal, state and country laws. If an EBO were allowed to develop their own sales aids and promotional materials, including internet advertising, notwithstanding their integrity and good intentions, without the written permission and approval of EMA, Inc. May in some cases un-intentionally violate a number of statutes or regulations. These violations, although they may be relatively few in number, could jeopardize the EMA, Inc. opportunity for all EBO’s.
Accordingly, EBO’s must comply to these rules and procedures to avoid possible termination of their membership for any of these stated violations. EBO’s may not produce their own literature, advertisements, sales aids and promotional materials, or Internet web pages without the written permission of EMA, Inc. Any un-authorized websites using the logos and/or trade names, brands of EMA, Inc. Is strictly prohibited and if reported will be investigated and requested to be removed to avoid the loss of membership and future commissions.
eMA, Inc. will not permit EBO’s to create side-businesses selling sales aids to other EMA, Inc. EBO’s.
2.2 EBO Web Sites
If an EBO desires to utilize an internet web page to promote his or her business, he or she may do so through the Company’s replicated website program only. There will be many marketing tools available for EBO’s to advertise and to choose from. To help EBO’s market their home base business. The company replicated website will come with the EBO 's contact information. These websites seamlessly link directly to the official EMA, Inc. website giving the EBO a professional and Company-approved presence on the Internet. No EBO may independently design a website that uses EMA, Inc.’s names or logos, or descriptions of EMA, Inc. products, or otherwise promotes (directly or indirectly) EMA, Inc. products or the EMA, Inc. opportunity. Nor may an EBO use "blind" ads on the Internet that make income claims or claims about the EMA, Inc. products that are ultimately associated with EMA, Inc. products, the EMA, Inc. opportunity, or the EMA, Inc. Compensation / Marketing Plan. The use of any other internet website or web page (including without limitation auction sites such as eBay, Craig’s list, etc.) in any way to promote the sale of EMA, Inc. products, the EMA, Inc. opportunity, or the Compensation / Marketing Plan is a breach of the Agreement and may result in any of the disciplinary sanctions set forth in Section 8.8.
2.3 Blogs, Chat Rooms, Social Networks, Online Auctions, and other Online Forums
EBO’s may not use online blogs, chat rooms, social networks, online auctions sites, or any other online forums to market, sell, advertise, promote, or discuss EMA, Inc. services or the opportunity. Due to the simplicity and affordability of our products and opportunity there will be no need to “blast” emails, or manipulate search engines. We have taken the worry out of marketing for you. Follow the system and you can realize a great financial future.
and Email Addresses
EBO’s may not use or attempt to register any of EMA, Inc. trade names, trademarks, service names, service marks, product names, the Company’s name, or any derivative thereof, for any Internet domain name. Nor may EBO’s incorporate or attempt to incorporate any of the Company’s trade names, trademarks, service names, service marks, product names, the Company’s name, or any derivative thereof, into any electronic mail address.
2.5 Trademarks and Copyrights
EMA, Inc. will not allow the use of its trade names, trademarks, designs, or symbols by any person, including EBO, or Customers without its prior, written permission. EBO’s may not produce for sale or distribution any recorded Company events and speeches without written permission from EMA, Inc. nor may EBO’s reproduce for sale any recording of Company-produced audio or video tape presentations.
2.6 Media and Media Inquiries
EBO must not attempt to respond to media inquiries regarding EMA, Inc. its products, services, or their independent EMA, Inc. business. All inquiries by any type of media must be immediately referred to the EMA, Inc. Marketing department, this policy is designed to assure that accurate and consistent information is provided to the public as well as a proper public image.
2.7 Unsolicited Email “SPAM”
EMA, Inc. does not permit EBO’s to send unsolicited commercial emails unless such emails strictly comply with applicable laws and regulations including, without limitation, the federal CAN SPAM Act. Any email sent by an EBO that promotes EMA, Inc. products, the opportunity, or services must comply with the following:
There must be a functioning return email address to the sender.
There must be a notice in the email that advises the recipient that he or she may reply to the email, via the functioning return email address, to request that future email solicitations or correspondence not be sent to him or her (a functioning “opt-out” notice).
The email may include the EBO’s physical mailing address.
The email must clearly and conspicuously disclose that the message is an advertisement or solicitation.
The use of deceptive subject lines and/or false header information is prohibited.
All opt-out requests, whether received by email or regular mail, must be honored. If an EBO receives an opt-out request from a recipient of an email, the EBO must forward the opt-out request to the Company.
The EBO must inform the recipient that the email is not from EMA, Inc. and reveal the name of the third party email provider.
2.8 Unsolicited Faxes
Except as provided in this section, EBO’s may not use or transmit unsolicited faxes or use an automatic telephone dialing system relative to the operation of their EMA, Inc. businesses. The term “automatic telephone dialing system” means equipment which has the capacity to: (a) store or produce telephone numbers to be called, using a random or sequential number generator; and (b) to dial such numbers. The terms "unsolicited faxes" means the transmission via telephone facsimile or electronic mail, respectively, of any material or information advertising or promoting EMA, Inc. , product, services, its compensation plan or any other aspect of the company which is transmitted to any person, except that these terms do not include a fax or e-mail: (a) to any person with that person's prior express invitation or permission; or (b) to any person with whom the EBO has an established business or personal relationship. The term "established business or personal relationship" means a prior or existing relationship formed by a voluntary two way communication between an EBO and a person, on the basis of: (a) an inquiry, application, purchase or transaction by the person regarding products or services offered by such EBO; or (b) a personal or familial relationship, which relationship has not been previously terminated by either party.
2.9 Bonus Buying Prohibited
Bonus buying is strictly and absolutely prohibited. “Bonus Buying” includes: (a) the enrollment of individuals or entities without the knowledge of and/or execution of an Independent EBO Application and Agreement by such individuals or entities; (b) the fraudulent enrollment of an individual or entity as an EBO or Loyal Customer; (c) the enrollment or attempted enrollment of non-existent individuals or entities as EBO’s or Loyal Customer (“phantoms”); (d) Purchasing EMA, Inc. products or services on behalf of another EBO or Subscriber, or under another EBO’s or Loyal Customer’s I.D. number, to qualify for commissions or bonuses; (e) the
submission of an unauthorized request for products or service to an individual’s or entity’s credit card (or bank account) and/or (f) any other mechanism or artifice to qualify for rank advancement, incentives, prizes, commissions or bonuses that is not driven by a bona fide service subscriptions by an end user consumer.
3.0 Business Entities
A corporation, limited liability company (LLC), partnership or trust (collectively referred to in this section as a (“Business Entity”) may apply to be an EMA, Inc. EBO by submitting its Certificate of incorporation, Certificate of Organization, Partnership Agreement or trust documents (these documents are collectively referred to as the “Entity Documents”) to EMA, Inc. along with a properly completed Business Entity Registration Form. If an EBO enrolls online, the Entity Documents and Business Entity Registration Form must be submitted to EMA, Inc. within 30 days of the online enrollment. (If not received within the 30-day period, the EBO Agreement shall automatically terminate.) The Business Entity Registration Form must be signed by all of the shareholders, partners or trustees. Members of the entity are jointly and severally liable for any indebtedness or other obligation to EMA, Inc.
3.1 Regarding transfers and assignments of EMA , Inc. Business.
If an additional partner, shareholder, member, or other business entity affiliate is added to a business entity, the original applicant must remain as a party to the original EBO Application and Agreement. If the original EBO wants to terminate his or her relationship with the Company, he or she must transfer or assign his or her business. If this process is not followed, the business shall be canceled upon the withdrawal of the original EBO. All bonus and commission checks will be sent to the address of record of the original EBO. Please note that the modifications permitted within the scope of this paragraph do not include a change of sponsorship. There is a $25.00 fee for each change requested, which must be included with the written request and the completed EBO Application and Agreement. EMA, Inc. may, at its discretion, require notarized documents before implementing any changes to an EMA, Inc. business. Please allow thirty (30) days after the receipt of the request by EMA, Inc. for processing.
3.2 Changes to a Business Entity
An EMA, Inc. business may change its status under the same Placement Sponsor from an individual to a partnership, LLC, corporation or trust, or from one type of entity to another. There is a $25.00 fee for each change requested, which must be included with the written request and the completed EBO Application and Agreement. Such changes shall be processed only once per year and must be submitted by November 30 to become effective on January 1 of the following year. In addition, EBO’s operating their EMA, Inc. business utilizing a business entity must notify EMA, Inc. of the addition or removal of any officers, directors, shareholders, managers, members or business associates of the business entity.
3.3 Change of Placement Sponsor
To protect the integrity of all marketing organizations and safeguard the hard work of all EBO’s EMA, Inc. strongly discourages changes in sponsorship. Maintaining the integrity of sponsorship is critical for the success of every EBO and marketing organization. Accordingly, the transfer of an EMA, Inc. business from one Placement Sponsor to another is rarely permitted and must be approved in writing by EMA, Inc. Such approval may be granted or denied at EMA, Inc.’s sole and absolute discretion.
Requests for change of sponsorship must be submitted in writing to the EBO Support Department, and must include the reason for the transfer. Transfers will only be considered in the following three circumstances:
3.4 - Misplacement
In cases in whichthe new EBO is placed under a Placement Sponsor other than the individual he or she was led to believe would be his or her Placement Sponsor, an EBO may request that he or she be transferred to another organization with his or her entire marketing organization intact. Requests for transfer under this policy must be made within 60 days from the date of enrollment and the EBO requesting the change has the burden of proving that he or she was placed beneath the wrong Placement Sponsor. All requests for transfer alleging misplacement shall be evaluated on a case by case basis.
3.5 – Up-line Approval
The EBO seeking to transfer submits a properly completed and fully executed Letter of Sponsorship Transfer Request which includes the written approval of his or her immediate up-
line EBO’s and all parties whose income will be affected by the transfer. Photocopied or facsimile signatures are not acceptable. All EBO signatures must be notarized. The EBO who requests the transfer must submit a fee of $50.00 for administrative charges and data processing. If the transferring EBO also wants to move any of the EBO’s in his or her marketing organization, each down-line EBO must also obtain a properly completed Letter of Sponsorship Transfer Request and return it to EMA, Inc. with the $50.00 change fee (i.e., the transferring EBO and each EBO in his or her marketing organization multiplied by $50.00 is the cost to move an EMA, Inc. business.) Down-line EBO’s will not be moved with the transferring EBO unless all of the requirements of this paragraph are met. Transferring EBO’s must allow thirty (30) days after the receipt of the Letter of Sponsorship Transfer Request by EMA, Inc. for processing and verifying change requests.
In cases where in the appropriate sponsorship change procedures have not been followed, and a down-line organization has been developed by an EBO, EMA, Inc. reserves the sole and exclusive right to determine the final disposition of the down-line organization. Resolving conflicts over the proper placement of a down-line that has developed under an organization that has improperly switched Placement Sponsors is often extremely difficult. Therefore, EBO’S WAIVE ANY AND ALL CLAIMS AGAINST EMA, INC. THAT RELATE TO OR ARISE FROM EMA, INC. ’S DECISION REGARDING THE DISPOSITION OF ANY DOWNLINE ORGANIZATION THAT DEVELOPS BELOW AN ORGANIZATION THAT HAS IMPROPERLY CHANGED LINES OF SPONSORSHIP.
3.6 - Cancellation and Re-application
An EBO may legitimately change organizations by voluntarily canceling his or her EMA, Inc. business and remaining inactive (i.e., no sales of EMA, Inc. products, no enrolling or sponsoring of EBO’s, no customers, no attendance at any EMA, Inc. functions, participation in any other form of EBO activity, or operation of any other EMA, Inc. business) for six (6) full calendar months. Following the six month period of inactivity, the former EBO may reapply under a new Enroller and/or Placement Sponsor.
3.7 Unauthorized Claims and Actions Indemnification
An EBO is fully responsible for all of his or her verbal and written statements made regarding EMA, Inc. products, services and the Compensation / Marketing Plan which are not expressly contained in official EMA, Inc. materials. EBO’s agree to indemnify EMA, Inc. and EMA, Inc.’s directors, officers, employees, and agents, and hold them harmless from any and all liability including judgments, civil penalties, refunds, attorney fees, court costs, or lost business incurred by EMA, Inc. as a result of the EBO’s unauthorized representations or actions. This provision shall survive the termination of the IM Agreement.
3.8 -Product Claims
No claims (which include personal testimonials) regarding the results, features or benefits of EMA, Inc.’s products or services may be made except those that are consistent with the claims contained in official EMA, Inc. literature. Not only do such claims violate EMA, Inc. policies, but they potentially violate federal and state, country laws and regulations, including in the U.S.A. the Federal Trade Commission Act.
In their enthusiasm to enroll prospective EBO’s, some EBO’s are occasionally tempted to make income claims or earnings representations to demonstrate the inherent power of network marketing. This is counterproductive because new EBO’s may become disappointed very quickly if their results are not as extensive or as rapid as the results others have achieved. At EMA, Inc. we firmly believe that the EMA, Inc. income potential is great enough to be highly attractive, without reporting the earnings of others.
Moreover, the Federal Trade Commission, several states and many country’s have laws or regulations that regulate or even prohibit certain types of income claims and testimonials made by persons engaged in network marketing. While EBO’s may believe it beneficial to provide copies of checks, or to disclose the earnings of themselves or others, such approaches have legal consequences that can negatively impact EMA, Inc. , as well as the EBO making the claim unless appropriate disclosures required by law are also made contemporaneously with the
income claim or earnings representation. Because EMA, Inc. EBO’s do not have the data necessary to comply with the legal requirements for making income claims, an EBO, when presenting or discussing the EMA, Inc. opportunity or Compensation / Marketing Plan to a prospective EBO, may not make income projections, income claims, or disclose his or her EMA, Inc. income (including the showing of checks, copies of checks, bank statements, or tax records).
4.0 Commercial Outlets
EBO’s may sell EMA, Inc. products from a commercial outlet that is owned and operated by the EBO. Do not sell or display EMA, Inc. products, services or literature in any retail or service establishment that is Not owned and operated by the EBO.
4.1 Trade Shows, Expositions and Other Sales Forums
EBO’s may display and/or sell EMA, Inc. products or services at trade shows and professional expositions. Before submitting a deposit to the event promoter, EBO’s must contact the EBO Support Department in writing for conditional approval, as EMA, Inc.’s policy is to authorize only one EMA, Inc. business per event. Final approval will be granted to the first EBO who submits an official advertisement of the event, a copy of the contract signed by both the EBO and the event official, and a receipt indicating that a deposit for the booth has been paid. Approval is given only for the event specified. Any requests to participate in future events must again be submitted to the EBO Support Department. EMA, Inc. further reserves the right to refuse authorization to participate at any function which it does not deem a suitable forum for the promotion of its products or services or the EMA, Inc. opportunity. Approval will not be given for swap meets, garage sales, flea markets or farmer’s markets as these events are not conducive to the professional image EMA, Inc. wishes to portray.
4.2 Conflicts of InterestNon-solicitation
EMA, Inc. EBO’s are free to participate in other multilevel or network marketing business ventures or marketing opportunities (collectively “network marketing”). However, during the term of this Agreement, EBO’s may not Recruit other EMA, Inc. EBO’s or Customers for any other network marketing business. Following the cancellation of this Agreement, and for a period of six months thereafter, with the exception of an EBO who is (a) personally enrolled by the former EBO; and (b) who is on the former EBO’s first down-line level (“frontline”) [criteria (a) and (b) must both be met], a former EBO may not Recruit any EMA, Inc. EBO or Customer for another network marketing business. EBO’s and the Company recognize that because network marketing is conducted through networks of independent contractors dispersed across the entire United States and internationally, and business is commonly conducted via the internet and telephone, an effort to narrowly limit the geographic scope of this non-solicitation provision would render it wholly ineffective. Therefore, EBO’s and EMA, Inc. agree that this non-solicitation provision shall apply to all markets in which EMA, Inc. conducts business.
EBO’s must not sell, or attempt to sell, any competing non- EMA, Inc. programs, products or services to EMA, Inc. Customers or EBO’s. Any program or service in the same generic category as EMA, Inc. services is deemed to be competing, regardless of differences in cost, functionality or features.
EBO’s may not display EMA, Inc. services or promotional material with any other promotional material, products or services in a fashion that might in any way confuse or mislead a prospective Customer or EBO into believing there is a relationship between the EMA, Inc. and the non- EMA, Inc. products or services. EBO’s may not offer the EMA, Inc. opportunity or services to prospective or existing Loyal Customers or EBO’s in conjunction with any non- EMA, Inc. program, opportunity, product or service. EBO’s may not offer any non- EMA, Inc. opportunity, products or services at any EMA, Inc. -related meeting, seminar or convention, or immediately following such event.
4.3 Down-line Activity (Genealogy) Reports
Down-line Activity Reports are available for EBO access and viewing at EMA, Inc.’s official web site. EBO access to their Down-line Activity Reports is password protected. All Down-line Activity Reports and the information contained therein are confidential and constitute proprietary information and business trade secrets belonging to EMA, Inc. . Down-line Activity Reports are provided to EBO’s in strictest confidence and are made available to EBO’s for the sole purpose of assisting EBO’s in working with their respective Down-line Organizations in the development of their EMA, Inc. business. EBO’s should use their Down-line Activity Reports to assist, motivate, and train their down-line EBO’s. The EBO and EMA, Inc. agree that, but for this agreement of confidentiality and nondisclosure, EMA, Inc. will not provide Down-line Activity Reports to the EBO. An EBO shall not, on his or her own behalf, or on behalf of any other person, partnership, association, corporation or other entity:
Directly or indirectly disclose any information contained in any Down-line Activity Report to any third party;
Directly or indirectly disclose the password or other access code to his or her Down-line Activity Report;
Use the information contained in any Down-line Activity Report to compete with EMA, Inc. or for any purpose other than promoting or supporting his or her EMA, Inc. business; or Recruit or solicit any EBO or Loyal Customer listed on any Down-line Activity Report, or in any manner attempt to influence or induce any EBO or Loyal Customer , to alter their business relationship with EMA, Inc. .
Upon demand by the Company, any current or former EBO will return the original and all copies of Down-line Activity Reports to the Company
4.4 Targeting Other Direct Sellers
EMA, Inc. neither condones EBO’s specifically or consciously targeting the sales force of another direct sales company to sell EMA, Inc. products or to become EBO’s or Customers for EMA, Inc. ,nor does EMA, Inc. condone EBO’s solicitation or enticement of members of the sales force of another direct sales company to violate the terms of their contract with such other company. Should EBO’s engage in such activity, they bear the risk of being sued by the other direct sales company. If any lawsuit, arbitration or mediation is brought against an EBO alleging that he or she engaged in inappropriate recruiting activity of its sales force or customers, EMA, Inc. will not pay any of EBO’s defense costs or legal fees. EMA, Inc. will not indemnify the EBO for any judgment, award, or settlement.
Actual or attempted cross sponsoring is strictly prohibited. “Cross Enrolling” is defined as the enrollment of an individual who or entity that already has a current EMA, Inc. EBO or Customer Agreement on file with EMA, Inc. , or who has had such an agreement within the preceding six calendar months, within a different line of sponsorship. The use of a spouse’s or relative’s name, trade names, DBA's, assumed names, corporations, partnerships, trusts, federal ID numbers, or fictitious ID numbers to circumvent this policy is prohibited. EBO’s shall not demean, discredit or defame other EMA, Inc. EBO’s in an attempt to entice another EBO to become part of the first EBO’s marketing organization.
If Cross Enrolling is discovered, it must be brought to the Company’s attention immediately. EMA, Inc. may take disciplinary action against the EBO that changed organizations and/or those EBO’s who encouraged or participated in the Cross Enrolling. EMA, Inc. may also move all or part of the offending EBO’s down-line to his or her original down-line organization if the Company deems it equitable and feasible to do so. However, EMA, Inc. is under no obligation to move the Cross Enrolled EBO’s down-line organization, and the ultimate disposition of the organization remains within the sole discretion of EMA, Inc. . EBO’s waive all claims and causes of action against EMA, INC. arising from or relating to the disposition of the Cross Enrolled EBO’s down-line organization.
4.6 Errors or Questions
If an EBO has questions about or believes any errors have been made regarding commissions, bonuses, Down-line Activity Reports, or charges, the EBO must notify EMA, Inc in writing within 45 days of the date of the purported error or incident in question. EMA, Inc. will not be responsible for any errors, omissions or problems not reported to the Company within 45 days.
4.7 Governmental Approval or Endorsement
No federal or state regulatory agencies and/or its officials approve or endorse any direct selling or network marketing companies or programs. Therefore, EBO’s shall not represent or imply that EMA, Inc. or its Compensation / Marketing Plan have been "approved," "endorsed" or otherwise sanctioned by any government or country agency.
4.8 Holding Applications or Orders
EBO’s must not manipulate enrollments of new applicants or purchases of EMA, Inc. products or services. All EBO Applications and Agreements must be submitted to EMA, Inc. within 24 hours from the time they are signed by an EBO or placed by a Loyal Customer, respectively.
All EBO’s are required to provide their Social Security Number, a Federal Employer Identification Number or Country Card number to EMA, Inc. on the EBO Application and Agreement. Upon enrollment, the Company will provide a unique EBO Identification Number to the EBO by which he or she will be identified. This number will be used to place orders, and track commissions and bonuses.
5.0 Income Taxes
Each EBO is responsible for paying local, state and federal taxes on any income generated as an Independent EBO. If an EMA, Inc. business is tax exempt, the Federal tax identification number or other such exempt documentation must be provided to EMA, Inc. .Every year, EMA, Inc. will provide an IRS Form 1099 MISC (Non-employee Compensation) earnings statement to each U.S. resident who: 1) Had earnings of over $600 in the previous calendar year; or 2) Made purchases during the previous calendar year in excess of $5,000.
During enrollment, we do not collect your Social Security number, or EIN. When you have reached an income level of $600 we are required by federal law to collect this information. When you have received payments that are equal to or more than $600 we will request that you provide us with this data. You will not receive any bonuses or commissions until we receive this information. After 30 days of non-compliance your EBO membership will be terminated.
5.1 Independent Contractor Status
EBO’s are independent contractors, and are not purchasers of a franchise or a business opportunity. The agreement between EMA, Inc. and its EBO’s does not create an employer/employee relationship, agency, partnership, or joint venture between the Company and the EBO. EBO’s shall not be treated as an employee for his or her services or for Federal or State Country tax purposes. All EBO’s are responsible for paying local, state, federal and country taxes due from all compensation earned as an EBO of the Company. The EBO has no authority (expressed or implied), to bind the Company to any obligation. Each EBO shall establish his or her own goals, hours, and methods of sale, so long as he or she complies with the terms of the EBO Agreement, these Policies and Procedures, and applicable laws.
The name of EMA, Inc. and other names as may be adopted by EMA, Inc. are proprietary trade names, trademarks and service marks of EMA, Inc. As such, these marks are of great value to EMA, Inc. and are supplied to EBO’s for their use only in an expressly authorized manner. Use of EMA, Inc. name on any item not produced by the Company is prohibited except as follows:
EBO 's Name
EMA, Inc. Elite Business Owner
All EBO’s may list themselves as an “EMA, Inc. Elite Business Owner” in the white or yellow pages of the telephone directory under their own name. No EBO may place telephone directory display ads using EMA, Inc.’s name or logo. EBO’s may not answer the telephone by saying “EMA, Inc. ”, “Elite Marketing Alliance, Incorporated”, or in any other manner that would lead the caller to believe that he or she has reached corporate offices of EMA, Inc. .
You may wish to arrange insurance coverage for your business. Your homeowner’s insurance policy probably does not cover business-related injuries, or the theft of or damage to inventory or business equipment. Contact your insurance agent to make certain that your business property is protected. This can often be accomplished with a simple “Business Pursuit” endorsement attached to your present home owner’s policy.
5.3 International Marketing
Because of critical technological, legal, and tax considerations, EMA, Inc. must limit the sale of EMA, Inc. products, services and the presentation of the EMA, Inc. business to prospective Customers and EBO’s located within the United States ,U.S. Territories and those other countries that the Company has announced are officially opened for business. Moreover, allowing a few EBO’s to conduct business in markets not yet opened by EMA, Inc. would violate the concept of affording every EBO the equal opportunity to expand internationally.
Accordingly, EBO’s are authorized to sell EMA, Inc. products and services and enroll other EBO’s only in the countries in which EMA, Inc is authorized to conduct business, as announced in official Company literature. EBO’s may sell, give, transfer, or distribute EMA, Inc. sales aids only in their home country. In addition, no EBO may, in any unauthorized country: (a) conduct sales, enrollment or training meetings; (b) enroll or attempt to enroll potential Customers or EBO’s; or (c) conduct any other activity for the purpose of selling EMA, Inc. products, establishing a marketing organization, or promoting the EMA, Inc. opportunity.
5.4 Adherence to Laws and Ordinances
EBO’s shall comply with all federal, state, local and international laws and regulations in the conduct of their businesses. Many cities, counties and country’s have laws regulating certain home-based businesses. In most cases these ordinances are not applicable to EBO’s because of the nature of their business. However, EBO’s must obey those laws that do apply to them. If a city, county or country official tells an EBO that an ordinance applies to him or her, the EBO shall be polite and cooperative, and immediately send a copy of the ordinance to the Compliance Department of EMA, Inc. . In most cases there are exceptions to the ordinance that may apply to EMA, Inc. Customers or EBO’s.
A minor is a person who is recognized as a minor in his/her state or country of residence may not be an EMA, Inc. Elite Business Owner. EBO’s shall not enroll or recruit minors into the EMA, Inc. program.
5.6 EMA, Inc. Business(s) Per Household
An EBO may operate or have an ownership interest, legal or equitable, as a sole proprietorship, partner, shareholder, trustee, or beneficiary, in an EMA, Inc. business. An EBO may have, operate or receive compensation from only one EMA, Inc. business. Individuals of the same family unit may not enter into an EMA, Inc. business or become a loyal customer. A “family unit” is defined as spouses and dependent children living at or doing business at the same address. The dependent child of legal age of 18 (i,e. college student) may however become an EBO or Loyal Customer if residing at school and not in the same household.
In order to maintain the integrity of the EMA, Inc. Compensation / Marketing Plan, husbands and wives or common-law couples (collectively “spouses”) who wish to become EMA, Inc. EBO’s must be jointly enrolled as one EMA, Inc. business. Spouses, regardless of whether one or both are signatories to the EBO Application and Agreement, may not own or operate any other EMA, Inc. business, either individually or jointly, nor may they participate directly or indirectly (as a shareholder, partner, trustee, trust beneficiary, or any other legal or equitable ownership) in the ownership or management of another EMA, Inc. business in any form.
An exception to the one business per EBO rule will be considered on a case by case basis if two EBO’s marry or in cases of an EBO receiving an interest in another business through inheritance or divorce. Requests for exceptions to policy must be submitted in writing.
5.7 Actions of Household Members or Affiliated Individuals
If any member of an EBO’s immediate household engages in any activity which, if performed by the EBO, would violate any provision of the Agreement, such activity will be deemed a violation by the EBO and EMA, Inc. may take disciplinary action pursuant to the Statement of Policies against the EBO. Similarly, if any individual associated in any way with a corporation, partnership, trust or other entity (collectively “affiliated individual”) violates the Agreement, such action(s) will be deemed a violation by the entity, and EMA, Inc. may take disciplinary action against the entity.
5.8 Requests for Records
Any request from an EBO for copies of invoices, applications, down-line activity reports, or other records will require a fee of $2.00 per page per copy. This fee covers the expense of mailing and time required to research files and make copies of the records.
5.9 Roll-up” Compression” of Marketing Organization
When a vacancy occurs in the Marketing Organization due to the termination of an EMA, Inc. business, each EBO in the first level immediately below the terminated EBO will compress up and over to the first level (“front line”) of the terminated EBO’s Placement Sponsor. For example, if X is the Placement Sponsor of Y, and Y is the Placement Sponsor of Z1, Z2, and Z3, if Y terminates his business, Z1, Z2, and Z3 will “roll-up” to X and become part of X’s first level.
6.0 Sale, Transfer or Assignment of EMA, Inc. Business
Although an EMA, Inc. business is a privately owned, independently operated business, the sale, transfer or assignment of an EMA, Inc. business is subject to certain limitations.
If an EBO wishes to sell his or her EMA, Inc. business, the following criteria must be met:
Protection of the existing line of sponsorship must always be maintained so that the EMA, Inc. business continues to be operated in that line of sponsorship.
The buyer or transferee must become a qualified EMA, Inc. EBO. If the buyer is an active EMA, Inc. EBO, he or she must first terminate his or her EMA, Inc. business and wait six calendar months before acquiring any interest in the new EMA, Inc. business.
Before the sale, transfer or assignment can be finalized and approved by EMA, Inc. any debt obligations the selling EBO has with EMA, Inc. must be satisfied.
The selling EBO must be in good standing and not in violation of any of the terms of the Agreement in order to be eligible to sell, transfer or assign an EMA, Inc. business.
Prior to selling an EMA, Inc. business, the selling EBO must submit a letter of request to EMA, Inc. for permission to sell the EMA, Inc. business.
Upon a complete execution of the purchase and sale agreement, the parties must submit copies of the same to the EMA, Inc. for review. EMA, Inc. reserves the right to request additional documentation that may be necessary to analyze the transaction between the buyer and seller. EMA, Inc. will, in its sole and absolute discretion, approve or deny the sale, transfer or assignment within 30 days after its receipt of all necessary documents from the parties.
If the parties fail to obtain EMA, Inc.’s approval for the transaction, the transfer shall be void at EMA, Inc.’s option. The purchaser of the existing EMA, Inc. business will assume the obligations and position of the selling EBO. An EBO who sells his or her EMA, Inc. business shall not be eligible to re-apply as an EMA, Inc. EBO for a period of at least six full calendar months after the date of the sale.
No changes in line of sponsorship can result from the sale or transfer of an EMA, Inc. business.
6.1 Separation of an EMA, Inc. Business
EMA, Inc. EBO’s sometime operate their EMA, Inc. businesses as husband-wife partnerships, regular partnerships, corporations, or trusts. At such time as a marriage may end in divorce or a corporation, partnership or trust (the latter three entities are collectively referred to herein as “entities”) may dissolve, arrangements must be made to assure that any separation or division of the business is accomplished so as not to adversely affect the interests and income of other businesses up or down the line of sponsorship. If the separating parties fail to provide for the best interests of other EBO’s and the Company in a timely fashion, EMA, Inc. will involuntarily terminate the EBO Agreement and roll-up their entire organization.
During the divorce or entity dissolution process, the parties must adopt one of the following methods of operation:
One of the parties may, with consent of the other(s), operate the EMA, Inc. business pursuant to an assignment in writing whereby the relinquishing spouse, shareholders, partners or trustees authorize EMA, Inc. to deal directly and solely with the other spouse or non-relinquishing shareholder, partner or trustee.
The parties may continue to operate the EMA, Inc. business jointly on a “business-as-usual” basis, whereupon all compensation paid by EMA, Inc. will be paid according to the status quo as it existed prior to the divorce filing or dissolution proceedings. This is the default procedure if the parties do not agree to the format set forth above.
Under no circumstances will the Down-line Organization of divorcing spouses or a dissolving business entity be divided. Similarly, under no circumstances will EMA, Inc. split commission and bonus checks, contest winnings, or awards between divorcing spouses or members of dissolving entities. EMA, Inc. will recognize only one Down-line Organization and will issue only one commission check per EMA, Inc. business per commission cycle. Commission checks shall always be issued to the same individual or entity. In the event that parties to a divorce or dissolution proceeding are unable to resolve a dispute over the disposition of commissions and ownership of the business in a timely fashion as determined by the Company, the EBO Agreement shall be involuntarily canceled.
If a former spouse has completely relinquished all rights in the original EMA, Inc. business pursuant to a divorce, he or she is thereafter free to enroll under any Enroller and Placement Sponsor of his or her choosing without waiting six calendar months. In the case of business entity dissolutions, the former partner, shareholder, member, or other entity affiliate who retains no interest in the business must wait six calendar months from the date of the final dissolution before re-enrolling as an EBO. In either case, however, the former spouse or business affiliate shall have no rights to any EBO’s in their former organization or to any former Subscriber. They must develop the new business in the same manner as would any other new EBO.
All active EBO’s in good standing have the right to enroll others into EMA, Inc. Each prospective Customer or EBO has the ultimate right to choose his or her own Enroller and or Placement Sponsor. If there are two EBO’s who claims to be the Enroller or Placement Sponsor of the same new EBO or Customer, the Company shall regard the first application received by the Company as controlling. As well as, the first person who introduced EMA, Inc. products or services to the new EBO or customer. This will keep the integrity of both EBO’s in respectable manner.
Upon the death or incapacitation of an EBO, his or her business may be passed to his or her heirs. Appropriate legal documentation must be submitted to the Company to ensure the transfer is proper. Accordingly, an EBO should consult an attorney to assist him or her in the preparation of a will or other testamentary instrument. Whenever an EMA, Inc. business is transferred by a will or other testamentary process, the beneficiary acquires the right to collect all bonuses and commissions of the deceased EBO’s marketing organization provided the following qualifications are met. The successor(s) must:
a) Complete and execute an EBO Agreement;
b) Comply with terms and provisions of the Agreement; and
c) Meet all of the qualifications for the deceased EBO’s status.
Bonus and commission checks of an EMA, Inc. business transferred pursuant to this section will be paid in a single check jointly to the devisees. The devisees must provide EMA, Inc. with an “address of record” to which all bonus and commission checks will be sent. If the business is bequeathed to joint devisees, they must form a business entity and acquire a federal taxpayer Identification number. EMA, Inc. will issue all bonus and commission checks and one 1099 to the business entity.
6.4 Transfer Upon Death of an EBO
To effect a testamentary transfer of an EMA, Inc. business, the successor must provide the following to EMA, Inc. : (1) an original death certificate; (2) a notarized copy of the will or other instrument establishing the successor’s right to the EMA, Inc. business and (3) a completed and executed EBO Agreement.
6.5 Transfer Upon Incapacitation of an EBO
To effectuate a transfer of an EMA, Inc. Business because of incapacity, the successor must provide the following to EMA, Inc.: (1) a notarized copy of an appointment as trustee; (2) a notarized copy of the trust document or other documentation establishing the trustee’s right to administer the EMA, Inc. business; and (3) a completed EBO Agreement executed by the trustee.
6.6 Telemarketing Techniques
The Federal Trade Commission and the Federal Communications Commission each have laws that restrict telemarketing practices. Both federal agencies (as well as a number of states) have “do not call” regulations as part of their telemarketing laws. Although EMA, Inc. does not consider EBO’s to be “telemarketers” in the traditional sense of the word, these government regulations broadly define the term “telemarketer” and “telemarketing” so that your inadvertent action of calling someone whose telephone number is listed on the federal “do not call” registry could cause you to violate the law. Moreover, these regulations must not be taken lightly, as they carry significant penalties (up to $11,000.00 per violation).
Therefore, EBO’s must not engage in telemarketing in the operation of their EMA, Inc. businesses. The term “telemarketing” means the placing of one or more telephone calls to an individual or entity to induce the purchase of an EMA, Inc. service, or to recruit them for the EMA, Inc. opportunity. “Cold calls" made to prospective Subscribers or EBO’s that promote either EMA, Inc.’s services or the EMA, Inc. opportunity constitutes telemarketing and is prohibited. However, a telephone call(s) placed to a prospective Subscriber or EBO (a "prospect") is permissible under the following situations:
a) If the EBO has an established business relationship with the prospect. An “established business relationship” is a relationship between an EBO and a prospect based on the prospect’s purchase, rental, or lease of goods or services from the EBO, or a financial transaction between the prospect and the EBO, within the twenty-two (22) months immediately preceding the date of a telephone call to induce the prospect's purchase of a product or service.
b) The prospect’s personal inquiry or application regarding a product or service offered by the EBO, within the three (3) months immediately preceding the date of such a call.
c) If the EBO receives written and signed permission from the prospect authorizing the EBO to call. The authorization must specify the telephone number(s) which the EBO is authorized to call.
d) You may call family members, personal friends, and acquaintances. An “acquaintance” is someone with whom you have at least a recent first-hand relationship within the preceding three months. Bear in mind, however, that if you make a habit of “card collecting” with everyone you meet and subsequently calling them, the FTC may consider this a form of telemarketing that is not subject to this exemption. Thus, if you engage in calling “acquaintances,” you must make such calls on an occasional basis only and not make this a routine practice.
e) In addition, EBO’s shall not use automatic telephone dialing systems relative to the operation of their EMA, Inc. business. The term “automatic telephone dialing system” means equipment which has the capacity to: (a) store or produce telephone numbers to be called, using a random or sequential number generator; and (b) to dial such numbers.
RESPONSIBILITIES OF EBO’S
6.7 Change of Address or Telephone
To ensure timely delivery of support materials and bonus and commission checks, it is critically important that the EMA, Inc.’s files are current. Street addresses are required for shipping. EBO’s planning to move should [update their personal information via the Back Office function of the EBO’s replicated EMA, Inc. website] ~or~ [send their new address and telephone numbers to EMA, Inc.’s Corporate Offices to the attention of the EBO Support Department]. To guarantee proper delivery, two weeks advance notice must be provided to EMA, Inc. on all changes.
6.8 Continuing Development Obligations
Any EBO who is the Placement Sponsor of another EBO must perform a bona fide assistance and training function to ensure that his or her down-line is properly operating his or her EMA, Inc. business. EBO’s must have ongoing contact and communication with the EBO’s in their Down-line Organizations. Examples of such contact and communication may include, but are not limited to: newsletters, written correspondence, personal meetings, telephone contact, voice mail, electronic mail, and the accompaniment of down-line EBO’s to EMA, Inc. meetings, training sessions, webinars and other functions. Up-line EBO’s are also responsible to inspire, motivate and train new EBO’s in EMA, Inc. product knowledge, effective sales techniques, the EMA, Inc. Compensation / Marketing Plan, and compliance with Company Policies and Procedures.
EBO’s must monitor the EBO’s in their Down-line Organizations to ensure that down-line EBO’s do not make improper service or business claims, or engage in any illegal or inappropriate conduct. Upon request, every EBO should be able to provide documented evidence to EMA, Inc. of his or her ongoing fulfillment of the responsibilities of a Sponsor.
6.9 Increased Training Responsibilities
As EBO’s progress through the various levels of leadership, they will become more experienced in sales techniques, service knowledge, and understanding of the EMA, Inc. program. They will be called upon to share this knowledge with lesser experienced EBO’s within their organization.
7.0 Ongoing Sales Responsibilities
Regardless of their level of achievement, EBO’s have an ongoing obligation to continue to personally promote sales through the generation of new Customers and through servicing their existing Customers.
EMA, Inc. wants to provide its independent EBO’s with the best Products, Compensation Plan, and Service in the industry. Accordingly, we value your constructive criticisms and comments. All such comments should be submitted in writing to the Customer Service Department. Remember, to best serve you, we must hear from you! While EMA, Inc. welcomes constructive input, negative comments and remarks made in the field by EBO’s about the Company, its services, or compensation plan serve no purpose other than to destroy the enthusiasm of other EMA, Inc. EBO’s. For this reason, and to set the proper example for their down-line, EBO’s must not disparage, demean, slander or make negative remarks about EMA, Inc., other EMA, Inc. EBO’s, EMA, Inc.’s services, the Compensation / Marketing Plan, or EMA, Inc.’s directors, officers, or employees to anyone.
7.2 Providing Documentation to Applicants
EBO’s must provide the most current version of the Policies and Procedures and the Compensation Plan to individuals whom they are enrolling to become EBO’s before the applicant signs or checks the agreement box on the website. A new EBO must read, understand and agree with the Policies and Procedures and Compensation Plan before enrolling as an EBO of EMA, Inc.’s. This document can also down-loaded and printed from the website of the EBO web site back office.
7.3 Reporting Policy Violations
EBO’s observing a Policy violation by another EBO should submit a written report of the violation directly to the attention of the EMA, Inc. Compliance Department. Details of the incidents such as dates, number of occurrences, persons involved, and any supporting documentation should be included in the report.
7.4 Product Sales
The EMA, Inc. Compensation / Marketing Plan is based on the sale of EMA, Inc. Products to the end consumers. EBO’s must fulfill personal and Down-line Organization retail sales requirements (as well as meet other responsibilities set forth in the Agreement) to be eligible for bonuses, commissions and advancement to higher levels of achievement. The following sales requirements must be satisfied for EBO’s to be eligible for commissions:
EBO’s must satisfy the Personal BV “Business Volume” and Group BV requirements associated with their rank as specified in the EMA, Inc. Compensation / Marketing Plan, Personal BV and Group BV includes purchases made by the EBO’s personal customers. Group BV shall include the total BV of Personal Customers purchases of all EBO’s in her or his marketing organization, but shall not include the EBO’s Personal Customers BV.
7.5 No Territory Restrictions
There are no exclusive territories granted to anyone. No franchise fees are required.
7.6 Offline Product Customers
All EBO’s who make offline sales must provide their product customers with two copies of a Sales Receipt at the time of the sale. The sales receipt contains the EMA, Inc. Product Guarantee as well as any consumer protection rights afforded by federal or state or country law. EBO’s must maintain their copies of all sales receipts for a period of two years and furnish them to EMA, Inc. at the Company’s request.
Remember that Retail Customers must receive a copy of the sale receipt. In addition, EBO’s must orally inform the Retail Customer of his or her cancellation rights.
7.7 Fundraising Programs
An EMA, Inc. business may be operated for fundraising purposes. However, if you are using your EMA, Inc. business in a fundraising program for any entity or individual, you must not represent or imply to anyone that any purchase they make from you will be for the benefit of any charitable purpose or program.
BONUSES AND COMMISSIONS
7.8 Bonus and Commission Qualifications
An EBO must be active and in compliance with the Agreement to qualify for bonuses and commissions. So long as an EBO complies with the terms of the Agreement, EMA, Inc. shall pay commissions to such EBO in accordance with the Compensation / Marketing Plan. The minimum amount for which EMA, Inc. will issue a check is $22.00. If an EBO’s bonuses and commissions do not equal or exceed $22.00, the Company will accrue the commissions and bonuses until they total $22.00. A check will be issued once $22.00 has been accrued.
EMA, Inc. provides genealogy and commission reports at the EBO’s web site back office. EMA, Inc. will not provide a printed genealogy report. However upon written request we will provide printed commission reports. EMA, Inc. will deduct from all bonus and commission checks a data processing fee of $.02 per line for commission reports sent to EBO’s. The maximum fee is $5.00.
All information provided by EMA, Inc. in online or electronic down-line activity reports, including but not limited to personal and group sales volume (or any part thereof), and down-line enrollment and sponsoring activity is believed to be accurate and reliable. Nevertheless, due to various factors including the inherent possibility of human and mechanical error; the accuracy, completeness, and timeliness of orders; denial of credit card and electronic check payments; cancelled services; credit card and electronic check charge-backs; the information is not guaranteed by EMA, Inc. or any persons creating or transmitting the information.
ALL PERSONAL AND GROUP SALES VOLUME INFORMATION IS PROVIDED "AS IS" WITHOUT WARRANTIES, EXPRESS OR IMPLIED, OR REPRESENTATIONS OF ANY KIND WHATSOEVER. IN PARTICULAR BUT WITHOUT LIMITATION THERE SHALL BE NO WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR USE, OR NON‑INFRINGEMENT.
TO THE FULLEST EXTENT PERMISSIBLE UNDER APPLICABLE LAW, EMA, INC. AND/OR OTHER PERSONS CREATING OR TRANSMITTING THE INFORMATION WILL IN NO EVENT BE LIABLE TO ANY EBO OR ANYONE ELSE FOR ANY, INDIRECT, CONSEQUENTIAL, INCIDENTAL, SPECIAL OR PUNITIVE DAMAGES THAT ARISE OUT OF THE USE OF OR ACCESS TO PERSONAL AND GROUP SALES VOLUME INFORMATION (INCLUDING BUT NOT LIMITED TO LOST PROFITS, BONUSES, OR COMMISSIONS, LOSS OF OPPORTUNITY, AND DAMAGES THAT MAY RESULT FROM INACCURACY, INCONVENIENCE, DELAY, OR LOSS OF THE USE OF THE INFORMATION), EVEN IF EMA, INC. OR OTHER PERSONS CREATING OR TRANSMITTING THE INFORMATION HAVE BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. TO THE FULLEST EXTENT PERMITTED BY LAW, EMA, INC. OR OTHER PERSONS CREATING OR TRANSMITTING THE INFORMATION SHALL HAVE NO RESPONSIBILITY OR LIABILITY TO YOU OR ANYONE ELSE UNDER ANY TORT, CONTRACT, STRICT LIABILITY, PRODUCTS LIABILITY OR OTHER THEORY WITH RESPECT TO ANY SUBJECT MATTER OF THIS AGREEMENT OR TERMS AND CONDITIONS RELATED THERETO.
Access to and use of EMA, Inc.’s online reporting services and your reliance upon such information is at your own risk. All such information is provided to you "as is". If you are dissatisfied with the accuracy or quality of the information, your sole and exclusive remedy is to discontinue use of and access to EMA, Inc.’s online and telephone reporting services and your reliance upon the information.
PRODUCT GUARANTEES AND SALES AID REPURCHASES
8.1 Product Guarantee
EMA, Inc. offers a 100% money-back satisfaction guarantee to all Customers and EBO’s. If for any reason, a Customer or EBO is dissatisfied with any EMA, Inc. products, the Customer or EBO may request a refund minus shipping and handling within 30 days of purchase and receive a full refund of the purchase price.
8.2 EBO and Customer 10-Day Right to Cancel
In addition EMA, Inc. Guarantee’s, under Federal and State laws, a Customer or EBO who makes any initial purchase has ten business days after the sale or execution of product purchase or EBO agreement to cancel and receive a full refund consistent with this document. In any case where an EBO makes a direct (retail) product sale to a Customer and receives money directly for an order or for the enrollment of an EBO if the individual wants to cancel or requests a refund within the ten business day period, the EBO must promptly refund any payments made by the Customer or the prospective EBO. Additionally, EBO’s must orally inform Customers of their right to rescind an EBO agreement or to request a product refund within the ten business days, and ensure that the date of the order or purchase is entered on the order form.
In the case of an EBO or Customer online sales and/or enrollments request for the 10 Day Right To Cancel Refunds, please contact customer service by email or telephone.
8.3 International Residents (When applicable)
International residents may cancel his or her EBO Agreement within 30 days from the date of enrollment, and may return his or her products for a full refund minus shipping and handling within such time period.
8.4 Procedures for All Returns
The following procedures apply to all returns for refund:
a) The Resalable products must be returned by the EBO who purchased it directly from EMA, Inc. Products must be within expiration date and in factory sealed condition.
b) All items to be returned must have a Return Authorization Number which is obtained by calling or emailing the Customer Services Department. This Return Authorization Number must be written on each product returned.
c) The return is accompanied by a copy of the original dated retail sales receipt or shipping invoice.
d) Proper shipping carton(s) and packing materials are to be used in packaging the item(s) being returned for replacement, and the best and most economical means of shipping is suggested. All returns must be shipped to EMA, Inc. pre-paid. EMA, Inc. does not accept shipping-collect packages. The risk of loss in shipping for returned items shall be on the EBO. If a returned item is not received by the Company’s Distribution Center, it is the responsibility of the EBO to trace the shipment.
8.5 Damaged Goods
Always inspect the package you receive for damage. If you feel that the damage is severe enough to compromise the integrity of the product contained inside, refuse to accept that specific package and ask that it be returned. You must do this at the point of delivery. Never hesitate to do this…you have paid for these products and expect them to arrive in good condition. If a packages have been delivered in your absence and you discover internal product is damaged contact a customer service representative immediately either by phone or email. A tracking number is on each package or the shipping label. Please have this number available for the representative.
EMA, Inc. may replace the damaged goods at no charge and make a claim with the carrier. You may be asked to hold the damaged goods until the carrier’s representative can inspect the shipment. Please do this. Failure to retain the goods for inspection will negate the claim and you will be charged for these goods. This is for insurance purposes and can take as long as 6 weeks.
8.6 Concealed Damage
Always open packages immediately and inspect the goods inside. If you are reshipping or reselling the product without a prior inspection, you will lose the opportunity for a damaged goods claim.
EMA, Inc. markets a variety of products. The guarantee/warranty may vary depending on the specific product. Be sure to carefully read and retain any materials that refer to warranty or guarantee and require a record of the sale in order to validate your guarantee/warranty. In addition the EMA, Inc. guarantee/warranty may specify whether the warranty is
Un-conditional, replacement only, for either credit, refund, repair or replace.
DISPUTE RESOLUTION AND DISCIPLINARY PROCEEDINGS
8.8 Disciplinary Sanctions
Violation of the Agreement, these Policies and Procedures, violation of any common law duty, including but not limited to any applicable duty of loyalty, any illegal, fraudulent, deceptive or unethical business conduct, or any act or omission by an EBO that, in the sole discretion of the Company may damage its reputation or goodwill, may result, at
EMA, Inc.'s discretion, in one or more of the following corrective measures:
Issuance of a written warning or admonition;
Requiring the EBO to take immediate corrective measures;
Imposition of a fine, which may be withheld from bonus and commission checks;
Loss of rights to one or more bonus and commission checks;
EMA, Inc. may withhold from an EBO all or part of the EBO’s bonuses and commissions during the period that EMA, Inc. is investigating any conduct allegedly in violation of the Agreement. If an EBO’s business is canceled for disciplinary reasons, the EBO will not be entitled to recover any commissions withheld during the investigation period;
Suspension of the individual’s EBO Agreement for one or more pay periods;
Involuntary termination of the offender’s EBO Agreement;
Any other measure expressly allowed within any provision of the Agreement or which EMA, Inc. deems practicable to implement and appropriate to equitably resolve injuries caused partially or exclusively by the EBO’s policy violation or contractual breach;
In situations deemed appropriate by EMA, Inc. the Company may institute legal proceedings for monetary and/or equitable relief.
8.9 Grievances and Complaints
When an EBO has a grievance or complaint with another EBO regarding any practice or conduct in relationship to their respective EMA, Inc. business, the complaining EBO should first report the problem to his or her Sponsor who should review the matter and try to resolve it with the other party's Sponsor. If the matter involves interpretation or violation of Company policy, it must be reported in writing to the Company. EMA, Inc. will review the facts and resolve it.
9.0 Dispute Resolution Board
The purpose of the Dispute Resolution Board is to: (1) review appeals of disciplinary sanctions; and (2) review matters between EMA, Inc. EBO’s. After the response or settlement instituted by EBO Services has been denied or otherwise remains unresolved, the Dispute Resolution Board reviews evidence, deliberates, and responds to current outstanding issues on a collective basis. However, at any time, EMA, Inc. may utilize the services of its legal counsel for dispute resolution.
An EBO may submit a written request for a telephonic or in-person hearing within seven business days from the date of: (1) the written notice by EMA, Inc. of disciplinary action; or (2) the written decision of EMA, Inc. regarding disputes between EBO’s. All communication with EMA, Inc. and the EBO seeking resolution of a dispute must be in writing. It is within the EMA, Inc.’s discretion whether a claim is accepted for review. If EMA, Inc. agrees to review the matter, it shall schedule a hearing within 30 days of receipt of the EBO’s written request. All evidence (e.g., documents, exhibits, etc.) that an EBO desires to have considered by EMA, Inc. must be submitted to EMA, Inc. no later than seven business days before the date of the hearing. The EBO shall bear all of the expenses related to his or her attendance and the attendance of any witnesses he or she desires to be present at the hearing. The decision of EMA, Inc. will be final and subject to no further review, except as provided in Section 9.1 below. While the claim is pending, the EBO waives his or her right to pursue arbitration or any other remedy.
Following issuance of a disciplinary sanction, the disciplined EBO may appeal the sanction to EMA, Inc. An EBO 's appeal must be in writing and received by the Company within 15 days from the date of EMA, Inc.'s notice of the disciplinary sanction. If the appeal is not received by EMA, Inc. within the 15 day period, the sanction will be final. The EBO must submit all supporting documentation with his or her appeal correspondence. If the EBO files a timely appeal of a disciplinary sanction, EMA, Inc. will review and reconsider the sanction, consider any other appropriate action, and notify the EBO in writing of its decision.
Any controversy or claim arising out of or relating to the Agreement, or the breach thereof, shall be settled by arbitration administered by the American Arbitration Association under its Commercial Arbitration Rules, and judgment on the award rendered by the arbitrator may be entered in any court having jurisdiction thereof. EBO’s waive all rights to trial by jury or to any court. All arbitration proceedings shall be held in the City of Orange County, California unless the laws of the state in which an EBO resides expressly require the application of its laws, in which case the arbitration shall be held in the capital of that state. All parties shall be entitled to all discovery rights pursuant to the Federal Rules of Civil Procedure. There shall be one arbitrator, an attorney at law, who shall have expertise in business law transactions with a strong preference being an attorney knowledgeable in the direct selling industry, selected from the panel which the American Arbitration Panel provides. The prevailing party shall be entitled to receive from the losing party costs and expenses of arbitration, including legal and filing fees. The decision of the arbitrator shall be final and binding on the parties and may, if necessary, be reduced to a judgment in any court of competent jurisdiction. This agreement to arbitration shall survive any termination or expiration of the Agreement.
Nothing in these Policies and Procedures shall prevent EMA, Inc. from applying to and obtaining from any court having jurisdiction a writ of attachment, a temporary injunction, preliminary injunction, permanent injunction or other relief available to safeguard and protect EMA, Inc.’s interest prior to, during or following the filing of any arbitration or other proceeding or pending the rendition of a decision or award in connection with any arbitration or other proceeding.
9.2 Governing Law, Jurisdiction and Venue
Jurisdiction and venue of any matter not subject to arbitration shall reside exclusively in the State of Nevada. The Federal Arbitration Act shall govern all matters relating to arbitration. The law of the State of California, U.S.A. shall govern all other matters relating to or arising from the Agreement
PAYMENT AND SHIPPING
9.3 Returned Credit Card charges
All credit card charges returned by an EBO’s bank for insufficient funds will be re-submitted for payment. If the charges are not able to debit the account the second time the order will be cancelled. Note: Auto-Shipment orders will be deducted from commissions when the amount off products are less than the commissions.
9.4 Restrictions on Third Party Use of Credit Cards and Checking Account Access
An EBO shall not permit other EBO’s or Customers to use his or her credit card, or permit debits to his or her checking accounts, to enroll or to make purchases from the Company.
9.5 Sales Taxes
In designing the EMA, Inc. opportunity, one of our guiding philosophies has been to free EBO’s from as many administrative, operational, and logistical tasks as possible. In doing so, EBO’s are free to concentrate on those activities that directly affect their incomes, namely product sales and enrollment activities. To these ends, EMA, Inc. advise in this policy that all Elite Business Owners collect the necessary sales tax from products sold retail offline to a customer directly. Any and all applicable retail sales taxes online will keep records relative to sales taxes. And will be made available to the EBO when filing sales tax reports.
By virtue of its business operations, EMA, Inc. is required to charge sales taxes on all purchases made by EBO’s and Customers, according to applicable tax rates in the state or province of EMA, Inc. home office. When an EBO has submitted and the company has accepted, a current Sales Tax Exemption Certificate and Sales Tax Registration License, sales taxes will not be charged to the invoice and the responsibility of collecting and remitting sales taxes to the appropriate authorities shall be on the EBO. Exemption from the payment of sales tax is applicable only to orders which are shipped to a state or country for which the proper tax exemption papers have been filed and accepted. Any sales tax exemption accepted by EMA, Inc. is not retroactive.
INACTIVITY & CANCELLATION
9.6- Effect of Cancellation
So long as an EBO remains active and complies with the terms of the EBO Agreement and these Policies and Procedures, EMA, Inc. shall pay commissions to such EBO in accordance with the Compensation / Marketing Plan. An EBO’s bonuses and commissions constitute the entire consideration for the EBO 's efforts in generating sales and all activities related to generating sales (including building a down-line organization). Following an EBO’s non-renewal of his or her EBO Agreement, cancellation for inactivity, or voluntary or involuntary cancellation of his or her EBO Agreement (all of these methods are collectively referred to as “cancellation”), the former EBO shall have no right, title, claim or interest to the marketing organization which he or she operated, or any commission or bonus from the sales generated by the organization. An EBO whose business is cancelled will lose all rights as an EBO. This includes the right to sell EMA, Inc. products and services and the right to receive future commissions, bonuses, or other income resulting from the sales and other activities of the EBO’s former down-line sales organization. In the event of cancellation, EBO’s agree to waive all rights they may have, including but not limited to property rights, to their former down-line organization and to any bonuses, commissions or other remuneration derived from the sales and other activities of his or her former down-line organization.
Following an EBO’s cancellation of his or her EBO Agreement, the former EBO shall not hold himself or herself out as an EMA, Inc. EBO and shall not have the right to sell EMA, Inc. products or services. An EBO whose EBO Agreement is canceled shall receive commissions and bonuses only for the last full pay period he or she was active prior to cancellation (less any amounts withheld during an investigation preceding an involuntary cancellation). If a cancelled EBO is a Customer to an EMA, Inc. product or service, the product or service order or auto-ship shall continue in force unless the EBO specifically requests that his or her order or auto-ship also be canceled.
9.7 - Cancellation Due to Inactivity
EBO’s who do not personally produce the activity required to earn a commission for any pay period will not receive a commission for the sales generated through their marketing organization for that pay period. If an EBO has not earned a commission for 2 consecutive months (and thus become “inactive”), his or her EBO Agreement shall be canceled for inactivity.
9.8 Involuntary Cancellation
An EBO’s violation of any of the terms of the Agreement, including any amendments that may be made by EMA, Inc. at its sole discretion, may result in any of the sanctions listed in Section , including the involuntary cancellation of his or her EBO Agreement. Cancellation shall be effective on the date on which written notice is mailed, faxed, or delivered to an express courier, to the EBO’s last known address (or fax number), or to his/her attorney, or when the EBO receives actual notice of cancellation, whichever occurs first.
EMA, Inc. reserves the right to terminate all EBO Agreements upon thirty (30) days written notice in the event that it elects to: (1) cease business operations; (2) dissolve as a corporate entity; or (3) terminate the sale of its services via Network Marketing.
9.9 Voluntary Cancellation
A participant in this network marketing plan has a right to cancel at any time, regardless of reason. Cancellation must be submitted in writing to the Company at its principal business address. The written notice must include the EBO’s signature, printed name, address, and EBO I.D. Number.
An EBO may also voluntarily cancel her or his EBO Agreement by failing to renew the Agreement after sixty days of non-activity.
Active Elite Business Owner (EBO) — An EBO is one who has satisfied the minimum requirements, as set forth in the EMA, Inc. Compensation / Marketing Plan to ensure that he or she is eligible to receive bonuses and commissions.
Active Rank — The term “active rank” refers to the current rank of an EBO, as determined by the EMA, Inc. Compensation / Marketing Plan, for any month. To be considered “active” relative to a particular rank, an EBO must meet the criteria set forth in the EMA, Inc. Compensation / Marketing Plan for his or her respective rank. (See the definition of “Rank” below.)
Agreement — The contract between the Company and each EBO includes the EBO Application and Agreement, the EMA, Inc. Policies and Procedures, the EMA, Inc. Compensation / Marketing Plan.
Business Volume- (BV) The volume assigned to each product purchased by an EBO of EMA, Inc. as set forth in the EMA, Inc. Compensation / Marketing Plan.
Compensation/ Marketing Plan- Is the structure by which commissions are determined and paid out to each participating, EMA, Inc. EBO’s as they advance in rankings.
Cancel — The termination of an EBO’s business. Cancellation may be either voluntary, involuntary, through non-renewal or inactivity.
Company — The term “Company” as it is used throughout the Agreement means Elite Marketing Alliance, Inc.
Down-line Activity Report — A monthly report generated by EMA, Inc. that provides critical data relating to the identities of EBO’s, sales information, and enrollment activity of each EBO’s marketing organization. This report contains confidential and trade secret information which is proprietary to EMA, Inc. Individual reports is generated in an EBO’s web site back office.
Down-line Leg(s) — Each one of the individuals enrolled immediately underneath you and their respective marketing organizations represents one “leg” in your marketing organization.
Elite Customer - An individual who purchases EMA, Inc. products or services from an EBO, and who has committed to an auto-shipment each month after their initial purchase. Who receives a preferred discount pricing on each product.
Enroller — An EBO is one who enrolls another EBO into the Company, and is listed as the Enroller on the EBO application and agreement. The matrix system will automatically Enroll or place the new EBO in the next open spot under him or herself, or may place the new EBO under another EBO to act as the new EBO’s Placement Sponsor. See the definition of “Placement Sponsor” below.
E-Wallet--- An E-Wallet (also known as a digital wallet) allows users to make electronic commerce transactions quickly and securely. An E-Wallet functions much like a physical wallet. Whereby it stores or holds your funds until you are ready to use them.
Group Volume (GV) — The total Group Volume, within a given 30 day commissionable pay period, from the initial and re-orders of Customers and EBO’s in an EBO’s marketing organization. Group Volume is used as the basis to calculate the eligibility to earn commissions as an EBO progresses through the ranks in the Matrix.
Immediate Household — Heads of household and dependent family members residing in the same house.
Level — The layers of down-line Customers and EBO’s in a particular EBO’s marketing organization. This term refers to the relationship of an EBO relative to a particular up-line EBO, and determined by the number of EBO’s between them who are related by sponsorship. For example, if A is the Placement Sponsor of B, B is the Placement Sponsor of C, C is the Placement Sponsor of D, and D is the Placement Sponsor of E, then E is on A’s fourth level.
Marketing Organization — The Elite Customer or EBO enrolled below a particular EBO.
Official EMA, Inc. Marketing Materials — Literature, audio or visual CDs or DVDs and other materials developed, printed, published and distributed by EMA, Inc. to the EBOs and public.
Personal Business Volume (PBV) — The total Customers of all products sold by an EBO in a particular pay period.
Placement Sponsor —Is when the matrix system automatically Enroll or place the new EBO in the next open spot under her or himself, or may place the new EBO under another EBO to act as the new EBO’s Placement Sponsor, is an EBO under whom the system places a new EBO, and is listed as the Placement Sponsor.
Rank - The “Title” or placement an EBO has achieved pursuant to the EMA, Inc. Compensation/ Marketing Plan.
Recruit - For purposes of EMA, Inc. ’s Conflict of Interest Policy the term “recruit” means actual or attempted solicitation, enrollment, encouragement, or effort to influence in any other way, either directly, indirectly, or through a third party, another EMA’s EBO or an Elite Customer to enroll or participate in another network marketing or direct sales company. This conduct constitutes recruiting even if the EBO’s actions are in response to an inquiry made by another EBO or Elite Customer.
Resalable — Products are deemed to be "Resalable" if each of the following elements is satisfied: 1) they are unopened and unused; 2) packaging and labeling has not been altered or damaged; 3) they are in a condition that is commercially reasonable to trade or sell at full price; 4) they are returned to EMA, Inc. within 30 days from the date of purchase; and 5) they contain current EMA, Inc. Labeling. Any merchandise that is clearly identified at the time of sale as non-returnable, discontinued, or as a seasonal item, shall not be Resalable.
Retail Customer — An individual who purchases EMA, Inc. Products or services from an EBO directly or online at a suggested retail price, but does not participant in the EMA, Inc. compensation plan (on Auto-Shipment).
Roll-Up “Compression” — The method by which a vacancy in the Marketing Organization left by an EBO or Elite Customer whose Agreement has been canceled, and is filled automatically from the forced matrix system. This process will take place after 30 days of non-activity, (no auto shipment paid) there is a 30 day grace period from the date of compression to become re-activated. When compression takes place ALL commissions will roll up line to the next qualified EBO in their organization. NOTE: After 6 months of in-activity, the EBO or Elite Customer will be completely compressed from the Marketing Organization.
Up-line — This term refers to the EBO above a particular EBO in a sponsorship line up to the Company. Conversely stated, it is the line of Placement Sponsors that links any particular EBO to the Company.