Notice is hereby given of amendments to the Policy Manual applicable to your dōTERRA account. Pursuant to Section 20 of the Policy Manual, Wellness Advocates agree that sixty days after publication of this notice, that modifications become effective and are automatically incorporated into the Contract between the Company and its Wellness Advocates as an effective and binding provision. By continuing to act as a Wellness Advocate, or engaging in any Distributorship Activity, including purchasing products, after the amendments or modifications have become effective, a Wellness Advocate acknowledges acceptance of the new Contract terms. Further pursuant to Section 20, Wellness Advocates agree this communication constitutes notice of the amendments to the Policy Manual.
The amendments are to Sections 9 and 19 of the Policy Manual. Section 9 of the Policy Manual is replaced as follows:
SECTION 9: Placement Policy, Line Switching, and Cross and Moving Prohibition
A. Initial Placement. At the time when a new Wellness Advocate is enrolled, the Enroller of the new Wellness Advocate may place the new Wellness Advocate anywhere in the Enroller’s Organization.
B. Placement Changes After Enrollment.
- On or before the 10th day of the calendar month following a new Wellness Advocate’s signup with the Company, the Enroller may move the new Wellness Advocate one time anywhere in the Enroller’s Organization (i.e. not outside the Enroller’s Organization), subject to the Company’s approval.
- After the above-described time period passes, a Wellness Advocate is in final placement and the Company will normally not approve requests to place Wellness Advocates elsewhere in an Organization.
- Further placement changes are rare and must be specifically approved in writing by the Company’s Exceptions Committee.
- Before authorizing a placement change, the Company 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 of the Enrollers who are three levels above the Wellness Advocate and the Sponsors 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 a Wellness Advocate has breached the Contract,
- 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 Enrollee on their frontline or under any Wellness Advocate between the current Sponsor and the Enroller. This request can be made after the Enroller 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.
C. 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 Enroller may place a new Wellness Advocate who was a Wholesale Customer in any position in the Enroller’s Organization if the new Wellness Advocate has enrollership of at least one Wholesale Customer or Wellness Advocate with sales of 100 PV after becoming a Wellness Advocate 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.
D. Enrollership Reassignment. The Company allows an Enroller to change enrollership of a Wellness Advocate (Enrollee) once, subject to Company approval. Additional Enrollership changes merited by extenuating circumstances may be applied for and are subject to the Company’s Exceptions Committee approval.
E. Cross-Company and Cross-Line Moving Prohibited.
- 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 Wellness Advocate or Customer.
- Cross-Line Moving. 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 Moving 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.
- Prohibition. Wellness Advocates are prohibited from Cross-Company Recruiting or Cross-Line Moving. The use of a spouse or relative’s name, trade names, DBAs, assumed names, Corporations, partnerships, trusts, federal ID numbers, or fictitious ID numbers to circumvent this policy is prohibited.
- Injunctive Relief Available to the Company. Wellness Advocates stipulate and agree that Cross-Company Recruiting and Cross-Line Moving constitute an unreasonable and unwarranted interference with the contractual relationship between the Company and its Distributors, and conversion of the Company’s property and misappropriation of the Company’s trade secrets. Wellness Advocates further stipulate and agree that any violation of this rule will inflict immediate and irreparable harm on the Company, that the harm to the Company exceeds any benefit that the Wellness Advocate may derive, and that the Company 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 Contract. Nothing herein waives any other rights and remedies the Company may have in relation to the use of its Confidential Information or any other violations of the Contract. 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 Contract.
Section 19 subsection D of the Policy Manual is replaced as follows:
D. Terminating Contract. A Wellness Advocate may terminate the Contract at any time and for any reason by sending a written notice of intent to terminate to the Company at firstname.lastname@example.org or Altius House, 1 North Fourth Street, Milton Keynes, MK9 1DG. A Person whose Distributorship is terminated may not sign up again as a Wellness Advocate for six months from the date of last activity if the Wellness Advocate achieved the Rank of Premier or lower, unless approved in writing by the Company. If the Wellness Advocate has achieved the Rank of Silver or higher, the person must wait twelve months before signing up as a Wellness Advocate with dōTERRA. Activity includes but is not limited to purchasing product, recruiting other Wellness Advocates, or earning a Bonus. All obligations regarding confidentiality of information and the Wellness Advocate network survive termination of the Contract, including but not limited to the obligations outlined in Section 12 and Section 17.