Section 16: Placement Policy Line Switching Cross Recruiting Prohibition

Initial Placement

At the time when a new Wellness Advocate is enrolled, the enrolling Wellness Advocate may place the new Wellness Advocate anywhere in the enrolling Wellness Advocate’s Organization.

Placement Changes After Signup

Within 14 calendar days of a new Wellness Advocate’s signup with dōTERRA, the enrolling Wellness Advocate may move the new Wellness Advocate one time anywhere in the enrolling Wellness Advocate’s Organization (i.e. not outside the enrolling Wellness Advocate’s Organization), subject to dōTERRA’s approval.

After the above-described time period passes, a new Wellness Advocate is in final placement and dōTERRA will normally not approve requests to place the new Wellness Advocates elsewhere in an Organization.

Further placement changes are rare and must be specifically approved in writing by dōTERRA’s exceptions committee. Before authorizing a placement change, dōTERRA will consider, among other factors, the following:

Placement changes are rare and must be specifically approved in writing by dōTERRA’s Exceptions Committee. Before authorizing a placement change, dōTERRA will consider, among other factors, the following:
- Whether the Wellness Advocate to be moved has not been active for at least six months (twelve months if Silver Rank or higher),
- Whether the Wellness Advocate to be moved obtains written consent (verified by signatures or other means) of the enrolling Wellness Advocates who are three levels above the moving Wellness Advocate, and the sponsoring Wellness Advocates who are seven levels above the Wellness Advocate,
- Whether the change will cause Rank advancement,
- Whether a change of historical bonus payments will occur,
- Whether the moving Wellness Advocate has breached the Agreement,
- The effect of the change on the Organization, and
- Any other relevant facts.
A Diamond rank or above who personally enrolls a new Wellness Advocate that achieves the rank of Premier within three months will be allowed to place the new Wellness Advocate on their frontline or under any Wellness Advocate between the current sponsor and the enroller. This request can be made after the enrolling Wellness Advocate has filled out the Premier Move form, on or before the 10th day of the calendar month following the new Premier being paid as Premier. This move can be made even if a placement change had previously been made following enrollment. For the purpose of calculating three months in this paragraph, the countdown begins when the new Wellness Advocate is a sponsor of their first Wellness Advocate. If the new Wellness Advocate sponsors their first Wellness Advocate after the 10th of the calendar month, then the first month will be the following calendar month. If the new Wellness Advocate sponsors their first Wellness Advocate before the 10th of the month, the first month will be the calendar month they enroll.

Enrolling a Former Wholesale Customer as a Wellness Advocate.

A Wellness Advocate may enroll Wholesale Customers as Wellness Advocates. When a Wholesale Customer becomes a Wellness Advocate, they cease to be a Wholesale Customer. An enrolling Wellness Advocate may place a new Wellness Advocate who was a Wholesale Customer in any position in the enrolling Wellness Advocate’s organization if the new Wellness Advocate has enrollership of at least one Wholesale Customer or Wellness Advocate with sales of 100 PV or more and does not have an existing Organization. The placement of the new Wellness Advocate must be completed on or before the 10th day of the calendar month following the date the requirements outlined in this paragraph are met.

Enrollership Reassignment.

The Company allows an enrolling Wellness Advocate to change enrollership of a new Wellness Advocate once, subject to Company approval. Additional enrollership changes merited by extenuating circumstances may be applied for and are subject to Company exception committee approval.

Cross-Company and Cross-Line Recruiting Prohibited

Wellness Advocates are prohibited from Cross-Company Recruiting or Cross-Line Recruiting other Wellness Advocates, as those terms are defined below. The use of a spouse or relative’s name, trade names, DBAs, assumed names, corporations, partnerships, trusts, or fictitious ID numbers to circumvent this policy is prohibited.

a. Cross-Company Recruiting: The actual or attempted solicitation, enrollment, encouragement, or effort to influence in any way, either directly or indirectly (including but not limited to, through a website), another dōTERRA Wellness Advocate or customer to enroll or participate in another network marketing opportunity. This conduct constitutes recruiting even if the actions of the Wellness Advocate are in response to an inquiry made by another Distributor or Customer.

b. Cross-Line Recruiting: The actual or attempted solicitation, enrollment, encouragement, or effort to influence in any way, either directly or indirectly (including but not limited to, through a website), the enrollment of an individual who, or entity that, already has a current Distributorship with dōTERRA, within a different line of sponsorship. Cross-Line recruiting also applies to the enrollment of an individual or entity that has had a Distributorship with dōTERRA within the past six months, or in the case of a Wellness Advocate with the rank of Silver or higher, within the past twelve months..

Injunctive Relief Available to dōTERRA

Wellness Advocates stipulate and agree that Cross-Company Recruiting and Cross-Line Recruiting constitute an unreasonable and unwarranted interference with the contractual relationship between dōTERRA and its Distributors, and conversion of dōTERRA’s property and misappropriation of dōTERRA’s trade secrets. Wellness Advocates further stipulate and agree that any violation of this rule will inflict immediate and irreparable harm on dōTERRA, that the harm to dōTERRA exceeds any benefit that the Wellness Advocate may derive, and that dōTERRA shall be entitled, in addition to any other remedies that may be available, to immediate, temporary, preliminary and permanent injunctive relief without bond, and that such injunctive relief may extend the post-termination period of this restriction for up to one (1) year from the date of the last violation of this provision. The provisions of this Section survive the termination of the Agreement. Nothing herein waives any other rights and remedies dōTERRA may have in relation to the use of its Confidential Information or any other violations of the Agreement. Further, Wellness Advocates agree that appearing in, being referenced in, or allowing their name or likeness to be featured or referenced in any promotional, recruiting, or solicitation materials for another direct selling company constitutes Cross-Company Recruiting during a period of one year after termination of the Agreement.