Welcome to Young Living! We are pleased that you have chosen to join the world leader in essential oils. We are dedicated to providing you with the very best products and a world-class home-based business.
Leading financial experts and business gurus agree that the home-based business sector is the wave of the future. The time you invest in becoming familiar with the Young Living business opportunity, including these Policies and Procedures, will make a significant difference in your business experience.
In these Policies and Procedures, Young Living Essential Oils, LC is referred to as Young Living; and you, the individual entering the Agreement (as defined below), is referred to as “you.” If you are a member, your personal member account along with the downline that you build is referred to as your sales organization.
The term “Sponsor” refers to a member’s immediate upline member. A member account is referred to as being “active” if the member enrolled as a new member and purchased 50 PV in product within the previous 12 months and is “inactive” if he/she has not.The term “Enroller” is the Young Living member who enrolls a new member into Young Living. An individual can be enrolled only once in 12 months. If any member does not place a minimum order of 50 PV for 12 consecutive months, that member is considered inactive see section 12.1.1 for further details.
The purpose of these Policies and Procedures is:
Young Living may amend the terms and conditions of the Agreement from time to time. The changes will become effective 30 days after first published by Young Living through official Young Living publications distributed to all active members (e.g., e-News) or posted on an official Young Living website. Amendments shall not apply retroactively to conduct that occurred prior to the effective date of the amendment.
By executing the Member Agreement, you agree to abide by all amendments or modifications that Young Living elects to make. If a member is not willing to accept these changes, Young Living must be notified in writing within the 30 days prior to the change being effective. Any continued business, ordering, acceptance of a commission or bonus payout, or any other benefit by a member pursuant to this Agreement constitutes acceptance of this Agreement in whole together with any and all amendments.
3.2 Retail Customers, and Members
Individuals may join Young Living as retail customers, and members.
Retail customers can purchase product directly from Young Livingfor personal consumption but do not participate in the Young Living member organization or Compensation Plan. Retail customers are not required to sign a Member Agreement. Retail customers purchase products at the published retail price. Retail customers’ purchases apply toward their sponsor’s Organization Group Volume (OGV). Thus, orders placed by any retail customers will be included in the total sales volume for their sponsor’s sales organization. A retail customer may become a member at any time by completing the requirements outlined in Section 2.1.Members purchase product from Young Living at the published wholesale price and have the potential of earning commissions and bonuses based on qualification and achievement rank, as outlined in the Compensation Plan.
A member may operate or have an interest, legal or equitable, in only one member account, unless expressly permitted in this section. If Young Living finds that a member has unpermitted interest in multiple accounts, it will terminate the duplicate account(s), leaving only the member account created first. You are specifically prohibited from creating duplicate accounts in an attempt to change lines of sponsorship, manipulate the Compensation Plan, or circumvent the Agreement in any way.
You have a beneficial interest in more than one member account of you receive an interest in another account as an inheritance (either through a direct inheritance or as beneficiaries of a trust) from another member, you notify Young Living of the inheritance in writing (as specified in Sections 3.7 and 3.7.1), and Young Living approves of the transfer in writing. Young Living reserves the right, in it sole and absolute discretion and for any reason and at any time, to (1) deny you the option of owning an interest in your original account and an inherited account or (2) to deny you the right to earn the Generation and Diamond Leadership Bonuses on the inherited account (e.g., if Young Living determines you have not demonstrated the ability to operate two sales organization by failing to engage in leadership activities such as contacting and training your downlines, participation in meetings, increasing enrollments, and/or increasing PGV and OGV within the payment levels of your downline in the recent past). If Young Living denies you the right to have a beneficial interest in a second account that you received through inheritance, it may allow you a four -month grace period to sell your interest in one of your accounts. After that grace period the inherited account will be placed on hold or terminated.Young Living strongly encourages and prefers that Members work together with their spouse/partner (one spouse if applicable) in building a single sales organization. However, due to divorce, separation, mutual agreement, etc., there may be an exception to this general rule. Beginning July 2, 2018, you and your spouse/partner may have separate accounts as long as the second account is sponsored as the first or second level to the other spouse’s account. Young Living will periodically audit these two account and may terminate the latter-created account if it is found. In Young Living’s sole discretion, that the latter-created account is used to manipulate the Compensation Plan, or the spouses are not complying with the 70% rule as outlined in Section 6.1. A joint sales organization will be treated as a joint tenancy with rights of survivorship.
If any individual in your immediate household engages in any activity which, if performed by you, would violate any provision of the Agreement, such activity will be deemed a violation by you; and Young Living may take disciplinary action against you pursuant to these Policies and Procedures. Similarly, if any individual associated in any way with a corporation, partnership, LLP,trust, or other entity (collectively “entity”) violates the Agreement, such action(s) will be deemed a violation by the entity; and Young Living may take disciplinary action against the entity. Likewise, if a member enrolls in Young Living as an entity, each affiliated party of the entity will be personally and individually bound to, and must comply with, the terms and conditions of the Agreement.
3.6 Corporations, Partnerships, Limited Liability Companies, and Trusts
A partnership, corporation, limited liability company, or trust may become a Young Living member by submitting to Young Living a partnership agreement, certificate of incorporation, articles/certificate of organization, or trust agreement for the entity. The registration form must indicate the names of all of the shareholders, officers, members, managers, partners, trustees, or directors of the entity (“affiliated parties”), or have such included with the submission to Young Living. The entity must demonstrate that no part or participant within the entity has participation in another sales organization because no individual may participate in more than one sales organization in any form. A member may change status under the same sponsor from individual to partnership or corporation by submitting the appropriate documentation mentioned above.
Young Living reserves the right to approve or disapprove any member’s change of business names, formation of partnerships, corporations, and trusts for tax, estate planning, and limited liability purposes. In addition, by submitting a copy of the certificate of partnership or incorporation or other substantiating documentation for the entity, it is certifying that no person with an interest in the new business entity has had an interest in another sales organization within six (6) months of the submission of the certificate (unless it is the continuation of an existing sales organization that is changing its form of doing business).
Young Living reserves the right to approve or disapprove your request to Transfer your sales organization for any reason. You may not Transfer your sales organization to any person or entity without Young Living’s written approval.Young Living does not waive any violations of the Agreement, even though a violation may have occurred under a prior owner of your sales organization. As a new owner of a preexisting sales organization, you may be responsible for violations of the Agreement made by the prior owner in connection with your sales organization. Any action that may be taken on a sales organization with the previous owner under Section 13.3 may carry over to you.
3.7.1 SuccessionUpon your death or your incapacitation, the rights to commissions, bonuses, and your sales organization, together with all member responsibilities, may pass to your legal heir(s) or legal representative(s) (collectively “beneficiary”) if the terms of succession are met. Your beneficiary must present Young Living with proof of your death or incapacitation, along with appropriate legal documentation and a properly completed Member Agreement. If the transfer is approved, the beneficiary will be eligible to collect all future commissions and bonuses of your sales organization provided that he/she meets all of the qualifications necessary under the Compensation Plan. Member accounts acquired under succession will not receive the same recognition benefits of original member account owners who built the original organization; however, the beneficiary may earn recognition benefits as they fulfill the member responsibilities and continue to grow the member organization. If the beneficiary already has an existing sales organization, he/she will be subject to the terms in Section 3.4. Young Living reserves the right to approve or reject a succession transfer.
3.8 Separation of a Young Living Member Business
You may, with others, operate a single sales organization as a husband-wife partnership, regular partnership, corporation, or trust (the latter three entities are collectively referred to herein as “entities”). If your marriage ends in divorce or your entity dissolves, arrangements must immediately 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 business upline or downline of sponsorship. If divorcing spouses or a dissolving business entity fail to provide for the best interests of other members and Young Living, such actions will constitute a breach of the Agreement; and Young Living may terminate the Agreement pursuant to these Policies and Procedures.
During the proceedings of a divorce or entity dissolution, the divorcing spouses or a dissolving business entity must adopt one of the following methods of operation:
3.10.1 Income Taxes
You are responsible for complying with the tax laws in the jurisdiction where you reside. If you are a distributor and are resident in Malaysia you will be taxed as a self-employed individual on your Malaysia sourced income. As a self-employed distributor, it is your responsibility to file the appropriate tax returns and to make all payments of tax due in connection with your Young Living business. You must register with Inland Revenue as self-employed as soon as you register as a Young Living Distributor.
Young Living recommends that you seek the advice and assistance of a suitably qualified accountant or tax advisor for information regarding your personal tax obligations.
Any fines or penalties incurred by Young Living because of incorrect information provided to Young Living will be your responsibility; and you agree to reimburse Young Living for these costs.Retail customers are not required to provide any tax information.
When a sales organization is owned by two or more individuals, taxes will be reported on the primary member’s tax number.
3.11 Deceptive Practices
3.11.1 Unauthorized Recruiting
184.108.40.206 Non-SolicitationTo qualify for compensation under Young Living’s Compensation Plan, you have the ongoing responsibility to help, educate, train, motivate, and assist the members in your sales organization. You also have the responsibility to promote Young Living products and the Young Living income opportunity. Young Living and its members have made a great investment in the establishment of organizations consisting of Retail Customers, Professional Account Customers, and Members, of which you will benefit. This constitutes one of Young Living’s most valuable assets. Young Living reserves the right to cease paying compensation to any member, including you, who recruits any Young Living retail customers professional account customers, or member to participate in a Competing Business Venture (defined below). To protect the efforts of all members in building and maintaining their sales organizations and Customer bases, and in order to protect Young Living’s interest and investment in the overall customer base, members and all members of their immediate household are required to abide by the following policies:
(1) who were in your sales organization or upline at any time during the term of his or her association with Young Living;
(2) with whom you had contact during the term of your association with Young Living;
(3) whose contact information (name, address, phone number or email address, etc.) you or members of your immediate household obtained at any time during the term of your association with Young Living; or
(4) whose contact information (name, address, phone number or email address, etc.) you or members of your immediate household obtained at any time from another person who obtained the information because of any other person’s association with Young Living.
As used herein, the term “Competing Business Venture” means any business venture offering a similar business opportunity or similar or alternative products or services to those offered by Young Living. The prohibitions under clauses (a)(i) and (a)(ii) above include but are not limited to presenting or assisting in the presentation of Competing Business Ventures to any Young Living retail customers, professional account customers, or member, and implicitly or explicitly encouraging any Young Living Retail Customers, Professional Account Customers or Member to join any Competing Business
Ventures that would detract from their relationship with Young Living (as determined by Young Living in its sole discretion). It is a violation of this policy to recruit any Young Living retail customers, professional account customers, or member to participate in a Competing
Business Venture even if you do not know that the prospect is also a Young Living retail customer, professional account customer, or member. It is your responsibility to first determine whether the prospect is a Young Living retail customer, professional account customer, or member before recruiting the prospect to participate in a Competing Business Venture. As used herein the term “recruit” or “recruiting” means: 1) to enroll, enlist, or solicit an individual or entity to join a business, program or organization, or attempt to do so; 2) to promote, influence or encourage an individual or entity to join a business, program or organization, or attempt to do so; or 3) to present, or participate or assist in the presentation of, a business, program, organization or its products to an individual or entity. Such recruitment constitutes a violation of this provision whether or not the individual or entity ultimately leaves their relationship with Young Living. To constitute recruiting, such efforts or attempts may be performed either directly through personal contact (including, but not limited to electronic and social media means) or indirectly through a third party.
The term “immediate household,” as used herein, refers to married couples and other persons residing in the same home. With respect to members, retail customers, and professional account customers which are entities (e.g., corporations, tax exempt entities, trusts, etc.) rather than individuals, “immediate household” means the shareholders, owners, directors, officers, members, trustees, responsible parties, etc. of such entities and persons married to or residing in the same home with the persons who are the shareholders, owners, directors, officers, members, trustees, responsible parties, etc. of such entities.
(i) Producing any literature, tapes or promotional material of any nature (including but not limited to websites and emails) which is used by you or any third person to recruit Young Living retail customers, professional account customers, or members to participate in a Competing Business Venture;
(ii) Offering any non-Young Living products, services or Competing Business Ventures in conjunction with the offering of Young Living products, services or income opportunity or at any Young Living meeting, seminar, launch, convention, or other Young Living function.
(i) The forfeiture by you of all commissions or bonuses payable for and after the calendar month in which the violation occurred.
(ii) If Young Living pays any bonuses or commissions to you after the date of the violation, all bonuses and commissions for and after the calendar month in which the violation occurred shall be refunded to Young Living.
(iii) Young Living may seek and obtain both injunctive relief and damages for violations of this Section 3.12.2. Young Living, may, at its option, elect to enforce this Policy by lawsuit in a court of competent jurisdiction in Utah rather than by arbitration.
(iv) In addition to being entitled to a refund of bonuses and commissions and to damages as described above, in the event a person or entity violates this Section 3.12.2, Young Living and any Member that experiences an adverse financial impact as a result of such person’s or entity’s violation of this Section 3.12.2 shall be entitled to an accounting and repayment of all profits, compensation, commissions, remunerations or other benefits which the person or entity directly or indirectly receives and/or may receive as a result of, growing out of, or in connection with any violation of this Section. Such remedy shall be in addition to and not in limitation of any damages, or injunctive relief or other rights or remedies to which Young Living is or may be entitled at law or in equity.
(iv) You recognize that the restrictions herein are reasonable and necessary to protect the legitimate business interests of Young Living and other members, and that such restrictions will not prevent you from working or otherwise earning a living.
Notwithstanding the foregoing, during the term of the Agreement and for a period of six (6) months after the cancellation, expiration, or termination of the Agreement by either party for any reason, you agree not to directly or indirectly serve in any capacity as a member, representative, consultant, employee, agent, officer, director, shareholder, partner, member, seller, distributor, or owner of or with doTERRA International LLC or any parent or affiliate company of this company. This restriction applies to any geographic market which you (or your sales organization) serviced or within which you (or your sales organization) physically worked during the term of this Agreement. .
Reaching the rank of Diamond and above is very prestigious and requires a significant time commitment to Young Living. Additionally, members who have achieved the rank of Diamond and above are privy to additional Young Living confidential and trade secret information. To achieve this rank and participate in the Diamond Leadership Bonuses, it is important to be an example in all facets of the Young Living business and be dedicated to Young Living. Accordingly, notwithstanding the foregoing, during the term of the Agreement and for a period of six (6) months after the cancellation, expiration, or termination by either party for any reason of the Agreement, once you have achieved the rank of Diamond or above, you will not directly or indirectly serve in any capacity as a member, representative, consultant, employee, agent, officer, director, shareholder, partner, seller, distributor, or owner of or with any other multi-level marketing, party planning, or other direct sales company, regardless of the type of products or services offered by that new entity. This restriction applies to any geographic market which you (or your sales organization) serviced or within which you (or your sales organization) physically worked during the term of this Agreement. Any member who has achieved the rank of Diamond and is violating this policy as of 2nd July 2018 will be given a grace period until 1st December 2018 to comply with this policy. Diamond ranking members may, however, purchase products from other multi-level marketing, party planning, or other direct sales company companies solely for their personal use.
You agree that Young Living has a protectable interest in its goodwill, confidential information, and trade secret information. You further acknowledge that any breach of your obligations under Sections 220.127.116.11, 3.11.2, and 3.14 of the Agreement would cause immediate and irreparable harm to Young Living for which monetary damages and other legal remedies could not adequately compensate. You further acknowledge that the restrictions set forth in Sections 18.104.22.168, 3.11.2, and 3.14 of the Agreement are reasonable and restrict your conduct only to the extent necessary to protect, maintain, and preserve Young Living’s business interests and to the extent permitted by the applicable laws and regulations in Malaysia. You further warrant that you understand the legal and other consequences of entering into the covenants and agreements contained in Sections 22.214.171.124, 3.11.2, and 3.14 of the Agreement and that the enforcement of these provisions will cause no undue hardship to you. If any restriction contained in Sections 126.96.36.199, 3.11.2, and 3.14 of the Agreement are deemed to be unenforceable by a court of competent jurisdiction, you agree that such court may modify and enforce such restrictions to the extent it believes to be reasonable under the circumstances existing at that time.
3.11.4 Cross-Line Recruiting
Actual or attempted cross-line recruiting or sponsoring is strictly prohibited. “Cross-line recruiting” is defined as the enrollment, indirect or otherwise, of an individual or entity that already has a current membership with Young Living, or who has had an Agreement within the preceding six (6) calendar months, within a different line of sponsorship. The use of a spouse’s or relative’s name, trade names, DBAs (Doing Business As), assumed names, corporations, trusts, or fictitious identification numbers to circumvent this policy is strictly prohibited.You may not demean, discredit, or defame another Young Living member, especially in an attempt to entice another member to become part of your marketing organization. Young Living reserves the right to terminate your sales organization for failure to comply with this policy.
3.11.5 Bonus Buying, Front-End Loading, and Stacking
Bonus buying and stacking are material breaches of these Policies and Procedures and are strictly and absolutely prohibited, and may result in the termination of your membership.
“Bonus buying” includes (a) the enrollment of members without their knowledge of or execution of the Agreement by such individuals or entities; (b) the fraudulent enrollment of an individual or entity as a member or customer; (c) the enrollment or attempted enrollment of nonexistent individuals or entities as members or customers (phantoms); or (d) the use of a credit card by or on behalf of a member or customer when the member or customer is not the account holder of such credit card without written authorization. (e) purchases done on behalf of a member or customer by the enroller of upline without the member or customer's expressed authorization and agreement to reimburse the enroller or upline for such products.
The term “stacking” means: (a) the failure to transmit to Young Living, or the holding of a Member Agreement, in excess of two (2) business days after its execution; (b) the manipulation of Member Agreements for the purpose of maximizing compensation pursuant to the Compensation Plan; (c) providing financial assistance to members, buying products, or drop shipping through another’s account for the purpose of increasing the payout of your sales organization.
Compliance with foreign laws regarding intellectual property, customs, taxation, literature content, and other direct selling guidelines is critical to successful international expansion of Young Living into new markets. Consequently, you are authorized to market and sell Young Living products and services and to recruit and sponsor other members only in countries in which Young Living is authorized to conduct business, as listed in official Young Living literature. Unauthorized premarket opening activity may jeopardize Young Living’s ability to enter a new market and may result in loss of opportunity for many other members. Because of the severe possible consequences, those who engage in unauthorized premarket opening activity will be subject to disciplinary measures, possibly leading to termination. You are not authorized to register product, trade names, trademarks, patents, web domains, or IP addresses in any country for or on behalf of Young Living.
You agree to indemnify Young Living for any such activity of yours that damages Young Living, including, but not limited to, against any loss of profit, loss of goodwill, any damages, and reasonable attorneys’ fees.
If you want to sponsor members in a country officially recognized as open, you must do all of the following:
In some countries, members may purchase Young Living products on a not-for-resale (NFR) basis as retail customers. You are restricted to promote, advertise, repackage, relabel, distribute, offer as gifts or rewards as well as resell any not-for-resale (NFR) products. Such activities constitute a breach of these Policies and Procedures and is strictly prohibited.
If you are not a resident of the United States, then you agree that all services you perform in connection with your Young Living business are performed outside the United States. If you perform services within the United States in connection with your Young Living business, you agree to and will contact Young Living at USbusinesstrips@youngliving.com within 30 days of performing such services to report the time you spent in the United States on business activities in connection with your Young Living business.
You and your agents, employees, consultants, or directors must not pay or give, or offer or promise to pay or give, any money or anything of value to any government official or employee, political party, or candidate for political office (collectively referred to as "Government Recipient")—or to any person, while knowing or having reason to know that all or a portion of such money or thing of value will be paid or given to, or offered or promised to, directly or indirectly, any Government Recipient—for purposes of obtaining an unfair advantage or influencing any act or decision of a Government Recipient or inducing a Government Recipient to use his, her, or its influence with the government or instrumentality thereof to affect or influence any act or decision of such government or instrumentality; and you will cause your employees, officers, agents, and sub-consultants to do likewise.
3.14 Confidentiality Agreement
As a member of Young Living, you may be supplied with confidential information such as genealogical and organization reports, customer lists, customer information developed by Young Living or developed for and on behalf of Young Living by members (including, but not limited to, customer and member profiles and product purchase information), member lists, manufacturer and supplier information, business reports, commission or sales reports, marketing strategies and plans, product formulae, product information, and other financial and business information (“Confidential Information”).
All Confidential Information (whether in written, oral, or electronic form) is transmitted to you in strictest confidence on a need-to-know basis for use solely in your sales organization for Young Living business purposes only. You shall keep such information confidential and must not disclose any such information to a third party directly or indirectly. You must not use the information to compete with Young Living or for any purpose other than for promoting Young Living’s program and its products and services. Upon cancellation, expiration, or termination by either party for any reason of the Agreement, you must discontinue the use of such Confidential Information and destroy or promptly return to Young Living any Confidential Information in your possession. Without limiting your obligations as set forth in this Section 3.14, Young Living may further require a signed nondisclosure agreement before releasing any business information to you.
In the event of the cancellation, expiration, or termination by either party for any reason of the Agreement, the obligations contained in this Section 3.14 survive and are subject to legal enforcement by injunction. You further agree that in the event Young Living prevails in any legal action to enforce its rights under this Section 3.14, Young Living shall be entitled to all costs and reasonable attorneys’ fees incurred in enforcing its rights under this Section 3.14.
i. notify Young Living (within seven (7) days) if it receives:
1. a request from a data subject to have access to that person's Personal Data; or
2. a complaint or request relating to Young Living's obligations under the Personal Data Protection Act 2010; or
3. a withdrawal of any consent for the processing of Personal Data by the data subject, data user or data processor or communicated to the data processor by the data user,
ii. promptly notify Young Living by telephone and follow up in writing if it becomes aware of any actual, suspected or alleged unauthorized use of, disclosure of, or access to Personal Data by itself or others.
3.17 Authorization to Take and Use your Photo or Video
By becoming a member of Young Living, you consent to having your image captured in photographs or videos at various Young Living-sponsored events by Young Living staff and to have those images used by Young Living as they see fit in advertising and marketing materials. You will not be compensated for this usage. If you have a religious or moral objection to having your picture taken or appearing in a video, please notify a member of Young Living’s staff at the event where photographs and videos are being taken. The provisions of this section will permanently survive the term of the Agreement. When applicable, an express consent will be required.
3.18 Rank Recognition
The Young Living Compensation Plan pays compensation based on different ranks and the criteria set forth in that plan. Each month you may qualify for payment according to the rank in which you qualify. Members are recognized by Young Living in various ways and at various times as they achieve certain ranks. In order to be recognized at and enjoy the perks of a new, higher rank that is Silver or above, you must qualify for that rank (or above) for three consecutive months. You will be recognized as being at that new, higher rank beginning in the fourth month. In order to maintain recognition at a rank of Silver or above, after initially qualifying for that rank, you must re-qualify for that rank (or above) again within six months of the last month in which you qualified for that rank. If you fail to re-qualify for a rank for six consecutive months, then you will be recognized at the highest rank you qualified for during that six months period on the seventh month and be required to re-qualify for three consecutive months before you can be recognized at the higher rank again. In August 1, 2018, all Members will be recognized at the highest rank they have achieved as of July 2018 and will be deemed to have initially qualified for that rank, meaning they will not be required to achieve that rank for three consecutive months to be recognized at that rank. To continue to be recognized at that rank, however, they must maintain that rank, as outlined in this section.
As a Member you will not be granted an exclusive territory nor required to pay franchise fees. Young Living reserves that right to offer its products and services through any sales channel, including through its professional account, program and through other companies (e.g., a direct sales company in China)
Members have the right to sponsor other Young Living members. Each prospective member has the ultimate right to choose his/her own sponsor. If two members claim to be the sponsor of the same new member or customer, the new member has the right to choose between the two within the first twenty (20) days. After that time, Young Living will regard the first application received by Young Living as binding.
When sponsoring a new member, you must provide the most current version of these Policies and Procedures and the Compensation Plan before he/she signs a Member Agreement or ensure that such individual has online access to these materials.
4.2 Sponsoring Online
When sponsoring a new member through the online enrollment process, you may assist the new applicant in filling out the enrollment materials. However, the applicant must personally review and agree to the online Member Agreement, these Policies and Procedures, and the Compensation Plan. You may not fill out the online application and Agreement.
4.3 Ongoing Supervision, Training and Sales
As a sponsor, you are expected to train, supervise, and communicate with your downline through letters, newsletters, meetings, telephone contacts, voice mail, email, trainings, and by accompanying enrollees to Young Living’s training meetings. If you feel you are not getting the necessary level of support from your sponsor, you are encouraged to consult with your next upline leader or call Member Services at 1800 189 889. As a sponsor, you also agree to make your contact information (telephone number/email address) available to his/her downline for training and support purposes.
You should monitor the members in your downline to ensure that they do not make improper product or business claims or engage in any illegal or inappropriate conduct that violates the Agreement.
As you progress through the various levels of leadership, you will become more experienced in sales techniques, product knowledge, and understanding of the Young Living program. In that event, you may be called upon to share this knowledge with lesser experienced members within your downline.
In setting the proper example for your downline, you must not disparage, slander, or defame other Young Living members, Young Living products, the Compensation Plan, Young Living employees, or Young Living founders. Such disparagement constitutes a material breach of these Policies and Procedures and may result in termination of your sales organization.
You must take appropriate steps to safeguard and protect all private information provided to you by members in the operation of your sales organization in accordance with the Young Living Privacy Statement available at https://www.youngliving.com/en_MY/company/privacy
5.1 Use of Young Living Materials
To prevent inadvertent errors or illegal claims, you shall use the current Young Living literature for advertising and describing Young Living’s products or programs. The materials must be used in context so as not to be misleading.
5.2 Member-Developed Advertising Materials and Products
If you choose to produce or use advertising materials that were not developed by Young Living, you must clearly identify that the material is from an “Independent Member” or “Independent Distributor” and not Young Living.
Any use of advertising materials not produced by Young Living must be compliant with all applicable laws and these Policies and Procedures—particularly Section 5.3. Such material must be produced in a professional and tasteful manner. Material must not be used that reflects poorly upon Young Living. Violations may subject a member to disciplinary actions as outlined in Section 13.3.
5.3.1 Product Claims
You are prohibited from making inaccurate and impermissible claims about any Young Living products. In particular, you must not make any claim that Young Living products are intended for use in the diagnosis, cure, mitigation, treatment, or prevention of disease. You must also avoid making any statements and claims that are false or misleading concerning Young Living’s products. You must comply with all state and federal laws regarding any statements made.
You also must not diagnose any disease or disease condition or prescribe any Young Living product unless you are a licensed medical professional authorized to do so. Anyone improperly diagnosing or prescribing Young Living products may jeopardize the future of Young Living and all of its members and may therefore have his/her sales organization terminated.
5.3.2 Income Claims
You are prohibited from making any income projections to prospective members that may create false or misleading expectations. In their enthusiasm, some members are occasionally tempted to represent hypothetical income figures based upon the inherent power of network marketing as actual income projections. This is counterproductive since new members may be disappointed if their results do not meet their expectations. The income potential of a Young Living member is great enough to be highly attractive in reality without resorting to artificial and unrealistic projections. Any earnings or sales representation made shall be based upon documented facts.
Young Living has prepared an Income Disclosure Statement (IDS) designed to convey truthful, timely, and comprehensive information about the income that its members have earned. A copy of the IDS is available online at YoungLiving.com/IDS. Any time that you present or discuss the Compensation Plan or make any type of income or earning representation about the Compensation Plan, you must provide any prospective members with a copy of the IDS. Income and earning representations include:
5.3.3 Compensation Plan Claims
When presenting or discussing the Compensation Plan, you must make it clear to prospective members that financial success with Young Living requires commitment, effort, and sales skill. Conversely, you must never represent that individuals can be successful without diligently applying themselves. Examples of misrepresentations in this area include:
5.3.4 Governmental Approval or Endorsement
State and federal regulatory agencies and officials do not approve or endorse any direct selling or network marketing companies or programs. Therefore, you may not represent or imply that Young Living or its Compensation Plan have been “approved,” “endorsed,” or otherwise sanctioned by any government agency.
5.3.5 Indemnification for Unlawful Advertising Statements
You are fully responsible for all verbal and written statements you make regarding Young Living products, services, and the Compensation Plan that are not expressly contained in official Young Living materials. You agree to indemnify Young Living and Young Living’s directors, officers, members, shareholders, managers, employees, and agents, and hold them harmless from any and all liability, including judgments, civil penalties, refunds, attorneys’ fees, court costs, or lost business incurred by Young Living from any liability arising from or related to your actions in the promotion and operation of your sales organization. This provision will survive the termination of the Agreement.
5.4 Testimonials and Meetings
At member-sponsored meetings, members should not arrange for a disease-cure, disease-prevention, or disease-treatment testimonial, as described in Section 5.3. Nor should any disease-cure, disease-prevention, or disease-treatment testimonial be given at any such meeting. If there is an impromptu disease-cure, disease-prevention, or disease-treatment testimonial from someone, the leading member should redirect the discussion by saying something to the effect of, “Young Living supplements are designed to improve nutrition; they are not intended to diagnose, treat, cure, or prevent any disease. However, scientific research has established a connection between nutrition and many disease conditions.”
Third-party scientific literature that is compliant with local and federal law may be distributed at a meeting but must be placed separate and apart from promotional material.
5.5 Trademarks and Copyrights
The name of Young Living, Young Living Essential Oils, Young Living Lavender Farms, or any other names that may be adopted by Young Living, such as trade names, trademarks, logos, slogans of Young Living, and the web address or URL (or any names that are confusingly similar) are proprietary to Young Living and of great value. You must obtain written permission before using any Young Living logo (other than the Independent Member logo) or trademark.
5.6 Domain Names and Email Addresses
You may not use, register, or own any Internet domain name either in the U.S. or abroad that includes any of Young Living’s trade names, trademarks, service names, service marks, product names, company names, or any derivative thereof. Nor may you incorporate or attempt to incorporate any of Young Living’s trade names, trademarks, service names, service marks, product names, the company names, or any derivative thereof into any email address. In accordance with this policy, all existing member-owned domain names that violate this provision will be expected to be brought into conformance within three months of notification of a violation by Young Living. In limited circumstances, an infringing domain name or email address registration may be allowed to exist upon the signing of an annual trademark license agreement with Young Living, which will also carry a license fee. Such license agreements may be offered, withdrawn, or modified by Young Living at its own discretion at any time, and those members with nonconforming domain name registrations who do not make such an agreement with Young Living will be expected to transfer those registrations to Young Living within the three-month time period noted above.
5.7 Internet Policy
Many members will use the Internet to further their businesses using websites, blogs, social media, etc. (collectively “Member Sites”). Member Sites used to promote Young Living, Young Living products, or Young Living events must display a current Young Living Independent Member logo (as described in Section 5.2) in a prominent location. Member Sites must further include the member’s member number.
Member Sites may include current product descriptions, photographs, videos, and other media made available to members by Young Living (e.g., through the official Young Living website, the Virtual Office, or the Young Living Flickr® account). These sites may not (a) use Young Living’s trade address; (b) make any improper product, income, or compensation plan claims, as outlined in Section 5.3; (c) promote the products or business of any other company; or (d) contain false or misleading information. Members are responsible to ensure that all users of their Member Sites comply with these requirements.
Member Sites may, at Young Living’s sole discretion, be monitored by Young Living. Failure to monitor Member Sites for any period of time does not waive Young Living’s rights to enforce the provisions of this section.
When using social media, members may not use as their username, account name, or other identifier (collectively “Username”), any of Young Living’s trade names or company names, or any other name that may be confused with Young Living Essential Oils or suggest Young Living’s sponsorship thereof. Usernames may, however, include the name “Young Living,” if they also include “Independent Member” or a similar identifier that effectively distinguishes it from a Young Living corporate account.
5.8 Internet Classified Ad Sites, Auction Sites, Shopping Sites, or Order Fulfillment Stores Restricted
As a general rule, members may not sell or display Young Living products on any Internet classified ad site (e.g., Craigslist, etc.), auction site, shopping site, or order fulfillment store (e.g., eBay®, Amazon®, OrderDog™.com, Overstock®.com, De remate.com etc.). Further, members may not (1) enlist or knowingly allow a third party to sell Young Living products on any Internet classified ad site, auction site, shopping site, or order fulfillment store or (2) sell products to a third party that the member has reason to believe will sell such products on any Internet classified ad site, auction site, shopping site, or order fulfillment store. Young Living reserves the right to grant specific permission at Young Living’s sole discretion to allow exceptions to this section provided the member has registered the online seller name and member number with Young Living. Members may continue to sell Young Living products on their individual URL’s and independent distributors’ retail sites provided they register their URL with Young Living and prominently display the independent distributor logo and their member number on the URL.
Young Living reserves the right to strictly prohibit, monitor, charge a fee, and take all enforcement efforts necessary, including, but not limited to, termination of an online seller’s member account if the member is in violation of any laws, regulations, and these policies and procedures.
5.9 Telephone and Email Solicitation
You may not use Young Living’s name or copyrighted materials with automatic calling devices or “boiler room” operations to solicit potential members. In addition, the dissemination of unsolicited electronic mail is governed by the Communications And Multimedia Act 1998. Based on the information contained therein, please remember that:
1)You cannot initiate a communication using any applications service, whether continuously, repeatedly or otherwise, during which communication may or may not ensue, with or without disclosing his identity and with intent to annoy, abuse, threaten or harass any person at any number or electronic address.
2)For the purposes of the Communications and Multimedia Act 1998 and the Spam Act, an electronic message is unsolicited if the recipient did not —
(a) request to receive the message; or
(b) consent to the receipt of the message.
Please note that a recipient shall not be treated as having requested to receive the message or consented to the receipt of the message merely because the electronic address of the recipient was given or published by or on behalf of the recipient.
You may not engage in telemarketing to promote Young Living products or the Young Living opportunity or to solicit potential members. For purposes of this Section, telemarketing refers to placing of one or more outbound telephone calls to an individual without that individual’s express prior permission or invitation to call. If you violate this policy, you agree that you will indemnify Young Living and Young Living’s directors, officers, members, shareholders, managers, employees, and agents and hold them harmless from any and all liability, including judgments, civil penalties, refunds, attorneys’ fees, court costs, or lost business incurred by Young Living as a result of your telemarketing activities.
5.10 Young Living Personal Websites
Young Living offers a personalized website to assist in your marketing efforts. You should contact Member Services at 1800 189 889for more details or log in to your Young Living Virtual Office (YoungLiving.org) for more information. You should be advised that by using a Young Living website, your contact information will become available to the public so that they may contact you with questions. Young Living will not be held responsible for any unintended or adverse consequences of this service.
5.11 Commercial Outlets
Subject to the provisions of Section 5.12, you may display Young Living products (with the price tag attached to each product) in commercial outlets that, in Young Living’s sole discretion, are not large enough to be considered regional or national chains.
5.12 Minimum Advertised Price
You may establish the price at which you resell Young Living products in accordance with the laws and regulations of Malaysia, However, certain advertisements can threaten healthy competition of essential oils and wellness products, can reduce sales of Young Living products, and can cheapen the image that Young Living has worked hard to develop. Advertising with such potential effects is not acceptable to Young Living.
It is highly recommended that you do not directly or indirectly advertise Young Living products for less than the 10% above the current wholesale prices (which are kept current on the official Young Living website) in any advertisement or promotional material that appears outside of a retail premises, including, but not limited to, Internet, newspaper, magazines, catalogues, billboards, and direct mail.
Young Living will decide in its sole, unilateral discretion whether media advertising directly or indirectly advertises Young Living products at less than 10% above the current wholesale price. The following are meant to be non-exhaustive illustrations of advertising violations: bundling and value-added offers, promotion code advertisements that result in lower-than-current. wholesale prices, “add to cart to see pricing,” couponing advertisements that result in lower than 10% above wholesale pricing, and rebate advertisements that result in lower than 10% above wholesale pricing.
Notwithstanding the policies in this Section 5.12 and Section 3.11.5 of this Agreement, members may only offer up to $25.00 or equivalent in Ringgit Malaysia in enrollment incentives (e.g. Young Living product credit, gift cards, or a gift), plus additional reference materials as desired as incentives to new enrollees or reactivated members. No other discount, promotion, or incentive can be associated with new enrollees and reactivated members.
Violations of this policy constitute a material breach of the Agreement and will result in disciplinary action under Section 13.3.
5.13 Trade Shows and Expositions
Subject to the requirements in this Agreement, you may display and sell Young Living products at trade shows and expositions. All literature displayed at the event must be official Young Living literature, and you must clearly identify yourself as an Independent Distributor or Independent Member.You must not organize any campaign, promotion or any type of advertisement for the purpose of marketing Young Living’s product without obtaining prior written approval of Young Living.
5.14 Media Inquiries
Do not attempt to respond to media inquiries regarding Young Living, its products or services, or your sales organization. All inquiries by any type of media must be immediately referred to the Young Living Member Conduct and Education Department. This will ensure that accurate and consistent information reaches the general public.
6.1 Product Sales and Sales Receipts
The Compensation Plan is based upon the sale of Young Living’s products and services to end consumers. You must fulfill specified personal and downline sales requirements (as well as meet other responsibilities set forth in these Policies and Procedures) in order to be eligible for bonuses, commissions, and advancement to higher levels of achievement. The following sales requirements must be satisfied in order for you to be eligible for commissions:
You may personally sell Young Living products to nonmembers. Online sales, however, are governed by Section 5.8.
6.3 Customers and Sales Requirements
Nonmember and customer orders satisfy customer sales requirements.
6.4 Excessive Purchases of Inventory Prohibited
Members will not encourage their downline or any other member to make unnecessary product purchases that could result in a large stagnant inventory. This is called “front-end loading” or “inventory loading” and refers to the purchase of products that are stored, destroyed, or otherwise disposed of without being consumed, not merely purchased and warehoused. Members and leaders must consume their products or sell their products to people who will consume them. If any member is found to be buying to meet qualifications within the Compensation Plan with no provable business building, Young Living reserves the right to put the member account on hold until it can fully investigate the qualification buying.
7.1 Commissions and Bonus Checks
To qualify for commission compensation under the Compensation Plan, you must have purchased product within the last 12 months and be in compliance with the Agreement with no holds on your member account. Commissions will be paid in accordance with the Compensation Plan, the current version of which is available through the Virtual Office (YoungLiving.org). As long as you comply with the terms of the Agreement, Young Living will pay commissions on approximately the 25th of each month for the prior month’s sales. Commission amounts under US$25 or equivalent in Ringgit Malaysia will not be issued as a check but retained as a credit on account for future product purchases. Commissions will be paid via direct deposit to a bank account subject to the rules above. Contact Member Services for more information at 1800 189 889.
Leaders will be required to actively meet leadership requirements defined by Young Living to qualify for their commission bonuses. For more information see the Compensation Plan.
7.2 Recap Statements
You may access detailed commission reports from the Virtual Office at YoungLiving.org. If you do not have Internet access, you may request that the report be faxed or mailed to you for a small fee.
You agree that adjustments will be made to your commission check for any processing fees, unpaid balances, or debts owed for other services. When a product is returned to Young Living for a refund or is repurchased by Young Living, the bonuses and commissions attributable to the returned or repurchased product(s) will be deducted from any future commission checks, including that of the upline. Any other debt may be offset against commission checks.
In addition, if you fail to properly provide your Income Tax Reference number or MyKad number to Young Living, Young Living may deduct necessary back-up withholdings from your commission checks as required by law.
7.4 Deductions/Maintenance Fees
A monthly maintenance fee is assessed each month and is used to cover accounting, processing, account maintenance, and other costs. The fee may be tax deductible, so consult your personal tax advisor for details. A current maintenance fee schedule is posted on the Virtual Office.
7.5 Errors or Questions
You should review your Commission and Bonus Recap statements available through the Virtual Office and report any errors or discrepancies to Young Living within 45 days from the date of the commissions payment. Errors or discrepancies that are not brought to Young Living’s attention within 45 days will be deemed waived.
8.1 Ordering Methods
All members may place orders by telephone, fax, mail, website, through the Essential Rewards autoship program or in person at the Young Living Malaysia office.
When ordering, modifying account information, or accessing your account by phone, be prepared to present all information requested on the Young Living order form, including member number and personal identification number (PIN). Live operators are available Monday through Friday from 9:00 a.m. to 6:00 p.m. Monday through Friday. Hours may be subject to change. For current hours, visit YoungLiving.com and click on the “Contact Us” link.
When ordering by fax, print information legibly on the order form. You must include your member number on the order form along with your contact information. Payments can only be made by credit card for faxed orders. Orders may be faxed to +603 2280 1002. All item requests must come from the current product catalog.
When ordering by mail, send completed order form with payment to:
Young Living Malaysia Sdn Bhd
GF & L1, Tower 7, Avenue 3, Bangsar South
No. 8 Jalan Kerinchi
59200 Kuala Lumpur, Malaysia
Payments may only be made by credit card. Please do not send cash.
8.1.4 Young Living Website
The Young Living website makes ordering and accessing information online quick and easy. Available 24 hours a day, 7 days a week, the website allows you to place online orders. You will need your member number and password (which should be kept confidential) to establish a login and security code (four-digit PIN) at YoungLiving.com. You must keep your PIN secure and order only on your own account.
8.2 Essential Rewards Autoship Program
The Young Living Essential Rewards Autoship Program enables you to have Young Living products automatically shipped to you each month. Through this program you can earn free products, qualify for members-only specials, and qualify for compensation under the Compensation Plan. You may learn more and sign up for the Essential Rewards Autoship Program in the Virtual Office (YoungLiving.org) or by contacting Member Services at 1800 189 889.It is advised that the Autoship order be set up to be processed between the 1st and 20th of each month. No Autoship ordered will be processed after the 25th of the month. The earlier the order, the easier it is to solve any disputes with the payment and out-of-stock products. Young Living cannot be held responsible for orders that are not processed due to member payment obligation. If certain product are out-of-stock, Young Living will send an alternate product to the member. If the member is not satisfied with the alternative product, the member may return the product pursuant to Young Living’s return policy or exchange the product for an item of equal value.
8.3 General Ordering Policies
On mail orders with invalid or incorrect payment types, or anything else that may prevent Young Living from placing the order, Young Living will attempt to contact you by phone or email to correct the order. Young Living will make two attempts to correct the order. If these attempts are unsuccessful after five business days, the order will be cancelled.
For orders to be counted in a given month, they must be received and accepted on or before the last day of the month. Changes made to pending orders that have not yet shipped will keep the original date the order was entered. This may affect commission qualification.
If an item ordered is out of stock or discontinued, Young Living will attempt to contact you by phone or email so that you may select an alternative item, if qualifications are negatively affected. If we are unable to contact you or do not receive a response from you within two business days, Young Living will remove the item and process the order. It is your responsibility to verify that the products in your order are available when shipped.
No COD orders will be accepted.
Payment plans are not allowed when purchasing product. The balance may be paid with different credit cards but must be paid in full before the order will be shipped.
8.3.1 Back Orders
Young Living may occasionally offer back orders. Back ordered products will be shipped with your next order after the product becomes available.
8.3.2 Month-End Order Processing Cutoff
The month-end order processing cutoff is the last calendar day of the month at 11:59 p.m. Malaysia time. Mailed and faxed orders must be received by the last day of the month. All mailed-in orders will be credited to the month in which they are received. Even when the end of the month falls on a weekend, holiday, or a day that the Young Living office is closed, the deadline will not normally be extended. The fax line and the website are available 7 days a week, 24 hours a day, making it possible to place all orders by the end of the month.
9.1 Shipping Methods and Charges
Domestic orders are generally shipped within two business days (excluding weekends and holidays). A packing slip is included in each shipment. It contains the order number, member number and name, product code, product name, price, and the amount and method of payment. Members should keep these packing slips for personal accounting records. Package tracking is available through most major carriers.
9.2 Shipping Discrepancies
When you receive an order, you should check the products against the packing slip to make certain there is no discrepancy or damage. Please notify Young Living of any shipping discrepancies or damage as soon as possible. Failure to notify Young Living of any shipping discrepancy or damage within five business days of receipt of shipment will forfeit your right to request a correction.
The Return Merchandise Authorization (RMA) number is required for the processing of all shipping discrepancies or damage claims. If the RMA number is not included, Young Living will not process shipping discrepancies, issue credits, or replace damaged products. The RMA is included in each order when packaged for shipping.
To correct any problems you may have encountered with your shipments, please contact Member Services. A Member Services representative will discuss the steps to rectify the situation and issue a Return Merchandise Authorization (RMA) number.
10.1 Methods of Payment
Young Living accepts the following payment methods:
10.2 Returned Checks and Insufficient Funds
You are responsible to ensure that sufficient funds are available in your credit card account to cover regular orders and Autoship orders. If the transaction was rejected from your credit card for non-sufficient funds (NSF), you will not be able to place new orders until the balance is paid with a credit card. An NSF transaction will be sent to a collection service, appropriate processing fees will be charged, and your account will be placed on suspension. Failure to promptly resolve an NSF transaction may result in legal action and possible termination of your sales organization. Any uncollected amount may be deducted from commissions.
10.3 Commission and Bonus Release Form
You may choose to retain your commissions and bonuses (all or in part) in the form of a credit on your Young Living account. This credit would be used against future product purchases, in accordance with Section 7. A Commission and Bonus Release Form must be received and approved by Young Living before your compensation payment can be issued as a credit on account.
11.1 Return Policy
Young Living reserves the right to review each return or exchange on a case-by-case basis. Returns will cause promotions, credits, commissions, and bonuses to be adjusted or reversed, both for the person making the return and for any upline members who received compensation on such purchases.
11.1.1 Return Guidelines
If you are dissatisfied with any Young Living product, you may return:
11.1.2 Returns of Inventory by Members
If you choose to terminate the Agreement, you may return any product inventory or sales aids purchased in the preceding 12 months for a refund if you are unable to sell or use the merchandise. You may return only products and sales aids that are in resalable condition, unless otherwise required by law. Resalable condition is defined as the same unopened condition as it was purchased new. You must return the products to Young Living, prepay the shipping charges, and include a letter explaining that you wish to terminate the Agreement and receive a refund. Upon receipt of the products, you will be reimbursed 90% of the net cost of original purchase price, less shipping charges. Young Living will deduct from the reimbursement any commissions, bonuses, or other incentives received by you as a result of the product you are returning. If your account is terminated, you have 180 days from the date of termination to make arrangements with Young Living regarding the repurchase of all returnable products. You acknowledge that you will be unable to return products more than 180 days from the date of termination.
11.1.3 Product Kits and Collections
All Young Living product kits and product collections must be sold as a whole unit. Members are prohibited from selling individual items from product kits and product collections separately and promoting such activity within the member’s business organization.
Any product kit and/or collection returned to Young Living must be complete; otherwise, the kit and/or collection will not be eligible for an exchange or refund. No individual items from a kit and/or collection will be eligible for a refund.
11.1.4 Return of Promotional Product(s)
For any complimentary item(s) received by the purchaser via a qualifying purchase or through the buy-one-get-one-free promotion or other promotion, returns will be handled as follows:
11.2 Procedures for Returns
The following procedures apply to all returns for refund, repurchase, or exchange:
12.1 Changes to a Member Account
You must immediately notify Young Living of all changes to the information contained on your Member Agreement. You may update your existing information by submitting a written request indicating the changes by email to firstname.lastname@example.org, or by making such changes in the Virtual Office (YoungLiving.org). The modifications permitted within the scope of this paragraph do not include a change of sponsor or tax information. Sponsors and enrollers are not allowed to request account changes or relay such requests.
12.1.1 Sponsor ChangesTo protect the integrity of all marketing organizations and to safeguard the hard work of all members, Young Living strongly discourages changes in sponsorship. Accordingly, the transfer of a Young Living business from one sponsor to another is rarely permitted. Young Living recognizes, however, that there may exist extenuating circumstances that necessitate a change in sponsorship. Therefore, a request for sponsorship change will be considered only under the following circumstances:
Requests cannot be submitted by another member. Young Living will not approve sponsor change requests that it deems to be intended to manipulate payment under the Compensation Plan and reserves the right to make sponsor changes for any reason at any time and at its sole discretion.
If a member enrolled in Young Living or ordered products in the previous month and his or her sponsor or enroller changes during the first five business days of the month, that change may affect the previous month’s rank, qualification, and payout.
12.1.2 Waiver of Claims
If you have changed sponsors but did not follow the appropriate procedures, as outlined in Section 12.1.1 and you have developed a downline organization in a sales organization under a new sponsor, Young Living reserves the sole and exclusive right to determine the final placement of your new downline organization. You waive any and all claims against Young Living, its officers, directors, owners, employees, and agents that relate to or arise from Young Living’s decision regarding the disposition of any downline organization that develops below an organization that has improperly changed lines of sponsorship.
12.1.3 Sponsor Placement Program
When a new member enrolls without a designated sponsor or enroller they are deemed an orphan. The Young Living Placement Program generally assigns orphans a sponsor and an enroller who resides in or near the same area code or geographical area of the orphan and/or who speak the same language as the orphan. Eligible sponsors and enrollers generally include Executive, Silver, and Gold ranking members who actively support their downlines, have growing sales results, have grown their sales organizations in the month in which a new orphan becomes available, are active in participating in Young Living events and programs (e.g., Essential Rewards), and who actively work to support the mission of Young Living.
The Young Living Placement Program is directed by Young Living’s executive management team, which reserves the right to assign any orphan as it sees fit in its sole discretion.
The recipient should be enrolled in the autoship program and conscientiously engaged in the Young Living business.
The new member has 30 days to change from the assigned new sponsor to another sponsor of his or her choice, as outlined in Section 12.1.1.
12.2 Downline Genealogy Reports
Downline Genealogy Reports (“Reports”) are optional and may be ordered at any time. Members with a Young Living-sponsored personal website may receive two free emailed downline Reports per month, upon request, with all additional email Reports costing MYR10 each. Members who do not have a Young Living-sponsored personal website will pay MYR10 for each email Report requested. Members who wish to have the Report faxed or mailed will pay MYR10 for the first 10 pages and MYR1 for each additional page. Young Living reserves the right to modify the charges described in this section.
Downline Genealogy Reports constitute Confidential Information as set forth in and subject to Sections 3.14 and 3.16 of the Agreement. Without limiting your obligations under Sections 3.14 and 3.16 of the Agreement, you may not use Reports for any purpose other than for developing and supporting your sales organization. Specifically, during and after the expiration or termination by either party for any reason of the Agreement, you may not:
12.3 The D. Gary Young Foundation: Young Living OutreachBy enrolling as a Young Living member, you are automatically enrolled as a nonvoting member of The D. Gary Young Foundation: Young Living Outreach. The privileges associated with this class of membership include the invitation to participate (at the member’s own expense where applicable) in certain member-participation charitable activities, the right to receive periodic reports of the charitable activities and accomplishments of the foundation, and the invitation to contribute to the foundation for the advancement of its charitable purposes.
13.1 Disputes with Other Members
If you have a grievance or complaint with another member regarding any practice or conduct in relationship to your sales organization, you should first discuss the problem with the other member. If this does not resolve the problem, report the problem to your upline leader who is a Silver or above to resolve the issue at a local level. If the matter cannot be resolved, it may be reported to the Young Living Member Conduct and Education Department in writing via mail, fax, or email at conduct@YoungLiving.com. The complaint should identify specific instances of alleged improper conduct and, to the extent possible, identify the relevant dates on which the event(s) complained of took place, the location(s) where they occurred, and all persons who have firsthand knowledge of the improper conduct.
Upon receipt of a written complaint, the Young Living Member Conduct and Education Department will investigate the matter, review the applicable policies, and render a decision on how the dispute will be resolved. The Member Conduct and Education Department may impose disciplinary sanctions as provided in Section 13.3.
13.2 Disputes with Young Living
Prior to instituting an arbitration with Young Living, as provided in Section 13.2.2 below, you and Young Living (collectively referred to as “parties”) will meet in good faith and attempt to resolve any dispute arising from or relating to the Agreement through nonbinding mediation. One individual who is mutually acceptable to the parties will be appointed as mediator. The mediation will occur within 60 days from the date on which the mediator is appointed. The mediator’s fees and costs, as well as the costs of holding and conducting the mediation, will be divided equally between the Parties. Each party will pay its portion of the anticipated shared fees and costs at least 10 days in advance of the mediation. Each party will pay its own attorney’s fees, costs, and individual expenses associated with conducting and attending the mediation. Mediation will be held in the Kuala Lumpur Regional Centre for Arbitration (“KLRCA”)and will last no more than two business days.
13.2.2 ArbitrationIf mediation is unsuccessful, any controversy or claim arising out of or relating to the Agreement, or the breach thereof, will be settled by arbitration. The parties waive all rights to trial by any court. The arbitration shall be held in accordance with the Rules for Arbitration of the Kuala Lumpur Regional Centre for Arbitration in force for the time being. The decision of the arbitral tribunal shall be final and binding on the Parties. The number of arbitrators shall be three (3). The place of arbitration shall be at the KLRCA. The language of arbitration shall be English. The parties agree that Part III of the Arbitration Act 2005 shall not apply to any arbitration held under the provisions of this Section 13.2.2.
Each party to the arbitration will be responsible for its own costs and expenses of arbitration, including legal and filing fees. The decision of the arbitrator will 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 arbitrate will survive the cancellation or termination of the Agreement.
The parties and the arbitrator will maintain the confidentiality of the entire arbitration process and will not disclose to any person not directly involved in the arbitration process:
13.2.3 Jurisdiction, Venue, and Choice of Law
Jurisdiction and venue of any matter not subject to arbitration will reside in any state or federal court located in Malaysia, unless the laws of the state or country in which the member resides expressly require otherwise, despite this jurisdiction clause. By signing the Agreement, you consent to jurisdiction within these two forums. The laws of Malaysia will govern disputes involving the AgreementThe interpretation and construction of this Agreement shall be governed by the laws of Malaysia.
13.3 Disciplinary Actions
At Young Living’s discretion, violation of any of the terms and conditions of the Agreement may result in a hold on your account, which will result in an inability to place orders and earn or receive commission checks. These violations include, but are not limited to, any illegal, fraudulent, deceptive, unprofessional, or unethical business conduct; nonpayment of your account with Young Living; or declination of credit card. After an investigation is confirmed, Young Living may impose any or all of the following sanctions:
13.4 Appeals of Disciplinary Action
In the instance that you are subject to a sanction or disciplinary action (other than a suspension pending an investigation), you may appeal the sanction to Young Living. The appeal must be in writing and be received by Young Living within 15 days from the date of the disciplinary action. If the appeal is not received within the 15-day period, the sanction will be final. The appeal should be submitted with all supporting documentation. Young Living will review and reconsider the sanction or other disciplinary action, consider other appropriate action, and notify you in writing of its decision.
If you do not meet the personal volume (PV) requirement in any particular month, you will not receive commissions or bonuses for the sales generated through the downline organization. If you do not purchase a minimum of 50 accumulative PV for a period of 12 consecutive months, your account will be deemed inactive, and your existing downline will roll up to your first active upline member.
If you are a member and your sales organization is deemed inactive, you may reactivate your member account by contacting Member Services and purchasing 100 PV in product or by purchasing a Starter Kit or other enrollment kit.When reactivating, you will be placed under your prior sponsor, unless you request a new sponsor. If your prior sponsor is inactive, you will be placed under the next active upline member. You will have no claim to downline that was lost when you were dropped for inactivity.
14.3 Involuntary Cancellation or Termination
If your account is involuntarily canceled or terminated, you will immediately lose all rights to your downline and to any commissions or bonuses generated thereby, including those commissions or bonuses generated during the periods of activity investigated. In this case, you will receive compensation for the last full calendar month in which you were in full compliance with these Policies and Procedures prior to investigation and/or termination of your sales organization.
Young Living may, in its sole discretion, terminate, upon notice, the Membership of any Member who (i) breaches any provision of the Member Agreement, the Membership Application, or these Policies and Procedures; (ii) engages in any conduct that may bring disrepute in any way to Young Living (or any of its officers, agents, or employees), the nutritional supplement and personal care products industry or the direct sales industry; or (iii) violates government laws, regulations, ordinances, or any Young Living guideline. Young Living may also, upon notice, terminate the Membership of any Member who, through his or her capacity as a Member, files any legal action proceeding or induces or facilitates any government agency to file any action against Young Living, which Young Living considers, within its sole discretion, to be without legal foundation or basis in fact.
Young Living may also terminate a sales organization at any time and for any reason upon a 30-day written notice.
If your sales organization is terminated, you will be notified by mail, the email on record, or other delivery method calculated to reach you at the address on file. Cancellation is effective on the date on which written notice is issued. Upon receipt of this notice, you must immediately cease representing yourself as a Young Living member and immediately return and delete all intellectual property of Young Living, including Reports and other lists of downline and contact information.
If your sales organization is terminated, you may reapply to become a member 12 calendar months from the date of termination. To reapply, you must submit a letter to the Young Living Member Conduct and Education Department (to conduct@YoungLiving.com) setting forth the reasons why you believe you should be allowed to operate a sales organization. It is within Young Living’s sole discretion whether to permit your request.
14.4 Voluntary Cancellation
You may cancel your Agreement at any time and for any reason. Written notice must be provided to Young Living and must include your signature, printed name, member number, address, PIN, and telephone number.
If you voluntarily cancel the Agreement, you may become a retail customer or member under your original sponsor. Additionally, you may reapply to become a member under a new sponsor after six (6) months from your cancellation date.
14.5 Effects of Cancellation
Upon cancellation or termination, you release all rights to your member benefits, including the downline and all future commissions and bonuses resulting from the downline sales production. Upon termination, Young Living may at its sole discretion retain your sales organization, sell it, roll it up to the next active upline member, or dissolve and remove it from the sponsor’s downline.
Young Living is not responsible for delays and failures in performing its obligations due to circumstances beyond its reasonable control. This includes, without limitation, acts of God, strikes, labor difficulties, riots, wars, fire, flood, death, curtailment or interruption of a source of supply, government decrees or orders, etc.
15.2 Partial ValidityIf any provision of the Agreement, in its current form or as it may be amended, is found to be invalid or unenforceable for any reason, only the invalid portion(s) of the provision will be severed. The remaining terms and conditions will remain in full force and effect and will be construed as if such invalid or unenforceable provision never comprised a part of the Agreement. The Agreement will be interpreted by Young Living in the best furtherance of Young Living’s business interests.
Young Living never forfeits its right to require compliance with the Agreement or with applicable laws and regulations governing business conduct. While Young Living attempts to enforce the Agreement uniformly, failure to enforce any provision of the Agreement against you does not waive Young Living’s right to enforce that or other provisions. Only in rare circumstances will a policy be waived, and an authorized agent of Young Living will convey such waivers in writing. The waiver will apply only to that specific case.
15.4 Titles Not Substantive
The titles and headings to these Policies and Procedures are for reference only and do not constitute and will not be construed as substantive terms of the Agreement.