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Section 9. Placement Policy, Line Switching and Cross Recruiting

  • A. Initial Placement. At the time when a new WA is enroled, the Enroler of the new WA may place the new WA anywhere in the Enroler’s Organisation.

    B. Placement Changes Within Fourteen Days of Signup. Within 14 calendar days of a new WA’s signup with the Company, the Enroler may move the new WA one time anywhere in the Enroler’s Organisation (i.e. not outside the Enroler’s Organisation), subject to the Company’s approval.

    C. Placement Changes After Fourteen Days. After the above described time period passes, a WA is in final placement and the Company will normally not approve requests to place WAs elsewhere in an Organisation.
     
    1. Placement changes are rare and must be specifically approved in writing by the Company’s Exceptions Committee.
    2. Before authorizing a placement change, the Company will consider, among other factors, the following:

     

    a. Whether the WA to be moved has not been active for at least six months (twelve months if Silver Rank or higher),

    b. Whether the WA to be moved obtains written consent (verified by the Company) of each WA in his or her Organisation, the Enrolers who are three levels above the WA, and the Sponsors who are seven levels above the WA,

    c. Whether the change will cause Rank advancement,

    d. Whether a change of historical bonus payments will occur,

    e. Whether a WA has breached the Contract,

    f. The effect of the change on the Organisation, and

    g. Any other relevant facts.

    D. Enrolership Reassignment. With Company approval, the Company will allow one assignment of the enrolership (after the original signup enrolment) of a WA within the Enroler’s Organisation. Such an assignment must first be approved by the Company in writing.

    E. Cross-Company and Cross-Line Recruiting Prohibited.
     
    1. Cross-Company Recruiting. The actual or attempted solicitation enrolment, encouragement, or effort to influence in any way, either directly or indirectly (including but not limited to, through a website), another dōTERRA WA or customer to enrol or participate in another network marketing opportunity. This conduct constitutes recruiting even if the actions of the WA are in response to an inquiry made by another Distributor or Customer.
    2. Cross-Line Recruiting. The actual or attempted solicitation, enrolment, encouragement, or effort to influence in any way, either directly or indirectly (including but not limited to, through a website), the enrolment 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 enrolment of an individual or entity that has had a Distributorship with dōTERRA within the past six months, or in the case of a WA with the rank of silver or higher, within the past twelve months.
    3.  Prohibition. WAs are prohibited from Cross-Company Recruiting or Cross-Line Recruiting other WAs. 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. 
    4. Injunctive Relief Available to the Company. WAs stipulate and agree that Cross-Company Recruiting and Cross-Line Recruiting 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. WAs 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 WA 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, 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, WAs 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 during the term of, or for a period of one year after termination, of the Contract constitutes Cross-Company Recruiting.

     

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