Company Policy Manual
- Username and Password
1.2 As part of the registration process for the feature or function, you will choose a username and password (or we may assign an initial password which we will give you the option to change). Your username and password are personal to you and you may not allow any others to use your username or password under any circumstances. We are not liable for any harm caused or related to the theft or misappropriation of your username or password, disclosure of your username or password, or your authorization of anyone else to use your username or password. You agree to immediately notify us if you become aware of or believe there is or may have been any unauthorized use of (or activity using) your username or password or any other need to desactivate your username or password due to security concerns.
- Multiple Positions
Lotto Motto allows two accounts per household. This may be two individual account or an individual and a business account. If a Member/Distributor opens a business account, they must provide a EIN or TIN for tax reporting purposes. The second account must be in the same Downline organization of the first position owned. If we identify more than 2 accounts at a single household, these accounts will be terminated immediately.
- Joint Accounts
3.1 You and your spouse may have independent accounts, or you can manage the same account. If you and your spouse would like to open and maintain a joint account, all income from that account must be reported under one name and one tax identification number. If you both choose to actively, manage the account, meaning you both want to update personal information such as the mailing address, credit card information or request commission withdrawals, you must contact the Home Office directly to give your spouse permission to make such changed on the account.
3.2 If a married couple divorces, the Company will abide by a final order of a court competent jurisdiction concerning the division and award of property interests and rights to each party. The concerned party must supply any documentation required by the Company to support each division.
3.3 The Company will not process any changes to an account during a pending divorce proceeding unless it receives written consent from both parties.
3.4 The Company reserves the right in any divorce proceeding to deposit commission checks with the applicable court of competent jurisdiction in the event of a dispute between spouses as to earnings.
- Deals & Coupons & Shop
Lottomotto.com (“Lotto Motto”) offers a service that allows members to grab valuable coupons and deals over 2,000 stores. Joining and using Lotto Motto is free and simple, requiring only your email address and a password to get started. Lotto Motto does not sell or rent your personal information to third parties, and LottoMotto does not ‘spam’ its members.
2.1 Who Can Play Mega Millions, Powerball, and Other U.S. Lotteries?
Have you ever wondered who can play the lottery? Are you eligible to win if you are not a US resident, but would love to win one of those huge lottery jackpots? Can you buy US lottery tickets if you are from a foreign country? Will you be able to claim the prize money if you win?
Yes, you can buy US lottery tickets and win both the Powerball and the Mega Millions lotteries whether you are a US resident or not.
2.2 While there is an age restriction (you have to be at least 18 to play), you can buy tickets in any state which offers the lottery even if you are not a United States citizen, or you don’t live in the state selling the ticket, or even if you don’t live in the country at all.
And of course, if non-US residents are eligible to buy the tickets, they are also eligible to claim the prize money should they win. However, be aware that the rules covering taxes and withholding vary depending on where you live. Countries outside of the United States might have different procedures. If you do win, be sure to consult with a tax professional for more information.
If you are trying to enter a different type of lottery than the Powerball or Mega -Millions games, check the rules before you enter for eligibility information.
2.3 Buying Lottery Tickets from Outside of the United States:
While non-US residents can enter and win the lottery, there’s a caveat: you have to actually be in the country to buy US lottery tickets.
It is illegal to buy lottery tickets through the internet or by mail (with some rare exceptions, such as a lottery app that sends an employee to physically buy tickets for its customers).
2.4 This is very important to keep in mind because a lot of lottery scams rely on people believing that they have won lotteries from foreign countries that they haven’t visited.
You can only win a foreign lottery if you bought a ticket while you were in that country.
There are also scam websites that will take your money and promise to buy lottery tickets for you. Approach these sites with much caution and be sure to check the company out carefully before handing over any money. Doing an internet search for the company’s name together with the word “scam” is a good first step.
2.5 Can an Illegal Immigrant Win a US Lottery?
Because there are no residency restrictions about who can enter US lotteries, illegal immigrants can buy tickets and can claim their winnings. However, claiming the lottery winnings might make an illegal immigrant vulnerable to deportation.
Here’s a news article about a $750,000 lottery winner who faced deportation. And here is a news article covering one possible way winning the lottery could lead to a green card. If you are an undocumented immigrant and you have a winning lottery ticket, you might want to consult a legal professional before claiming your prize.
III. Compensation Plan and Income Earnings Misrepresentations
- Opportunities for income under the Compensation Plan are determined by many factors, including the ability and perseverance of the individual. You may not make statements alluding to the income potential of any prospective Distributor except as stated in Company literature or make statements regarding anyone’s personal income without stating that the income is not necessarily representative of the income any typical Distributor can earn. Distributors must realize that Income Statistics provided by the company properly represent potential or average income figures. All income is strictly derived from sale of products. Misrepresentations of potential income earnings or the Compensation Plan includes, but is not limited to, the following:
1.1 Reviewing the Compensation Plan with any person without clearly stipulating that no remuneration is received solely for enrolling or sponsoring new Distributors.
1.2 Reviewing the Compensation Plan with prospective Distributors without explaining the various entry levels and the differences between them.
1.3 Representing or implying that all participants who enter into the business will succeed.
1.4 Misrepresenting the amount an average Distributor might expect to earn in carrying on the business (for example, you may not show copies of Company-issued checks to represent potential earnings).
1.5 Misrepresenting the amount of time an average Distributor would have to devote to the business in order to achieve income or Leadership levels. You may not represent or imply that it is relatively easy to succeed in the business but may only represent that a participant’s success occurs through hard work and diligence.
1.6 Representing through statements or implication that you will build a downline for any Distributor or prospective Distributor.
1.7 Using any misleading, deceptive, or unfair recruitment methods.
1.8 Promoting the Company, its products and/or business plan in conjunction with the sale of stocks or securities related to the Company.
- 2. You must present all entry and upgrade levels to new recruits before they sign the Application and Agreement.
- Monthly Subscription / Active Autoship Pack
- 1. If you purchase our products or services that are subscription based (see list below), you agree to pay, and authorize automatic recurring billing of the subscription fee with your credit card, or other payment methods, until subsequently canceled by you. Your account will be charged every 28 days. You understand and agree that each automatic recurring billing of the subscription fee is non-refundable and will not be prorated as the service is deemed used when accessed. You authorize Company to initiate debit entries from the account provided for the subscription fee, as well as any other purchases made on the Site. You may cancel at any time by contacting Customer Support at firstname.lastname@example.org.
- 2. Products will be a combination of the following, that are subscription based and charged every 28 days are: (Not all products included, please check sales page to see what products are included in your 4week subscriptions)
a). Active Autoship Pack – $45/4week(every 28 days)
- Company reserves the right to change the membership fee from time to time, within a reasonable prior notice.
Note: If you are a U.S. citizen, please be advised that your bank may charge an “international fee” for your purchase. This is a fee that you are ultimately responsible for, so please contact your bank for further clarification about any additional fees for international transactions.
Member purchase products from the Company at an established price. The Company may change its prices without prior notice.
- Credit cards and charge backs
- Credit Cards
1.1 Products and promotional materials can be purchased with Company-accepted credit cards. Member may only use credit cards belonging to them, or for which they are authorized users. Member who are found to process orders without the consent of the cardholder are in violation of federal and state laws and will be subject to immediate termination.
1.2 Products, services and promotional materials can be purchased with Company-accepted credit cards. While it is preferred for each Member to use his/her own personal credit card, we do understand that is not always possible. For this reason we do provide alternative payment methods for individuals that do not own a credit card. Additional information about these alternative payments methods is available through our Corporate Home Page and the Home Office.
We perform regular account maintenance, if during the course of this regular account maintenance it comes to our attention that a credit card belonging to someone other than the account holder is listed on the account, that credit card will be immediately removed from the account. Repeated use of 3rd party credit cards will result in immediate termination of the account in question.
1.3 Member that use their credit cards for purchases of our products and services are assuming all responsibility for purchases of our products and services. Please see the Cancellation, and Return Policies for information regarding refunds. Once a credit card has been added to an account, it will remain on that account until it is removed by the account holder. If the account holder does not have enough funds in their Commission Account to pay for the next scheduled monthly purchase, the credit card on file will be charged for that purchase. Any credit card listed in our system must have the name of the cardholder as it is listed with the issuing bank and the current billing address on file at all times. It is the responsibility of the individual Distributor to maintain and manage their credit card.
2.1 Chargebacks result when Member contact the issuing bank for assistance with a credit card charge instead of contacting the Home Office directly to find a resolution. These disputes are damaging to our working relationship with our Credit Card Merchant. Excessive numbers of chargebacks can result in the loss of our ability to process credit cards. This would be detrimental to the Company.
2.2 Member cannot misrepresent the Company and any of the policies, which includes our refund and return policies, in any way. Misrepresenting the Company will result in disciplinary action which may include the termination of your Distributorship.
2.3 An Member causing an unwarranted chargeback to the Company due to an unauthorized transaction will be subject to immediate termination. The credit card used in the disputed charge will be immediately blacklisted ensuring it cannot be using again. If the credit card in question is used on any other accounts, it will be removed from those accounts as well.
Lotto Motto reserve the right to debit the commission account balance of the Sponsor or Upline the $30.00 chargeback fee for each chargeback received. Repeated receipt of unwarranted chargebacks will result in disciplinary action of the Sponsor and Upline and may include the termination of their Membership when such conduct becomes known to the Company. Additionally, IP addresses used on accounts cancelled due to chargebacks may be blocked.
Credit card disputes must be presented to the Company in writing within 1 week from the date of transaction.
VII. The website
- The content of the website
The contents of this Site, including all Site software, design, text, images, photographs, illustrations, audio and video material, artwork, graphic material, databases, proprietary information and all copyrightable or otherwise legally protectable elements of the Site, including, without limitation, and all trademarks, service marks and trade names (individually and/or collectively, “Material”), are the property of Lotto Motto and their Affiliates, and any of their successors and assigns, and any of their respective licensors, Advertisers (as defined below), suppliers, and operational service providers, and are legally protected, without limitation, under U.S. Federal and State, as well as applicable foreign laws, regulations and treaties. Unless the context clearly requires otherwise or we explicitly say so in writing, the term “Site” includes “Material” as well.
- Linking to the Website and Social Media Features
2.1 You may link to our homepage, provided you do so in a way that is fair and legal and does not damage our reputation or take advantage of it, but you must not establish a link in such a way as to suggest any form of association, approval or endorsement on our part without our express written consent.
2.2 This Website may provide certain social media features that enable you to:
- Link from your own or certain third-party websites to certain content on this Website.
- Send e-mails or other communications with certain content, or links to certain content, on this Website.
- Cause limited portions of content on this Website to be displayed or appear to be displayed on your own or certain third-party websites.
2.3 You may use these features solely as they are provided by us and solely with respect to the content they are displayed with and otherwise in accordance with any additional terms and conditions we provide with respect to such features. Subject to the foregoing, you must not:
- Establish a link from any website that is not owned by you.
- Cause the Website or portions of it to be displayed, or appear to be displayed by, for example, framing, deep linking or in-line linking, on any other site.
- Link to any part of the Website other than the homepage.
You agree to cooperate with us in causing any unauthorized framing or linking immediately to cease. We reserve the right to withdraw linking permission without notice. We may disable all or any social media features and any links at any time without notice in our discretion.
- The use of the website
3.1 The Site is to be used solely for your personal, noncommercial, non-exclusive, non-assignable, and non-transferable and for no other purposes. You must not alter, delete or conceal any copyright or other notices contained on the Site, including notices on any Material you download, transmit, display, print or reproduce from the Site. You shall not, nor will you allow any third party (whether or not for your benefit) to reproduce, modify, create derivative works from, display, perform, publish, distribute, disseminate, broadcast or circulate to any third party (including, without limitation, on or via a third party website), or otherwise use, any Material without the express prior written consent of Lotto Motto or its affiliates. Any unauthorized or prohibited use of any Material may subject you to civil liability, criminal prosecution, or both, under applicable federal, state and local laws.
3.2 You agree not to use this Site or its contents for any illegal or prohibited purpose, or in any manner that could damage, disable, overburden or impair the Site, Content or any of Lotto Motto’s servers, or interfere with any other party’s use of the Site or Content. You agree that you shall not attempt to gain any unauthorized access to the Site or Content, through password mining, hacking or any other means, or harvest or otherwise collect information about others, including e-mail addresses. You further agree that you will not attempt to obtain any Content not intentionally made available to them at this Site. You shall not upload any files that contain Trojan horses, viruses, cancelbots, corrupted files, worms, or other programs or software that may damage or interrupt the websites, computers or software of Lotto Motto or other users.
3.3 You are required to respect our copyrights, trademarks, and other intellectual property rights. Lotto Motto also respect the intellectual property of others. On notice, we will immediately attempt to remove content on the Site that infringes the copyright rights of others and will disable the access to the Site and its services of anyone who uses them to repeatedly to infringe the intellectual property rights of others. If you believe that the Site contains elements that infringe your or another person’s copyrights in your or his/her work, please contact us.
3.4 From time to time, you may communicate with, receive communications from, be re-directed to, interact with, or participate in or use the services or obtain goods and services of or from, third parties (collectively, the “Advertisers”) such as our advertisers, sponsors, or promotional partners as a result of your use of the Site. All such communication, interaction and participation is strictly and solely between you and such Advertisers and we shall not be responsible or liable to you in any way in connection with these activities or transactions (including, without limitation, any representations, warranties, covenants, contracts or other terms or conditions that may exist between you and the Advertiser or any goods or services you may purchase or obtain from any Advertiser).
3.5 Your use of the Site is subject to all applicable local, state, national laws and regulations and, in some cases, international treaties. You are solely responsible for all activities, acts and omissions that occur in, from, through or under your user name or password. You shall not use, allow, or enable others to use the Site, or knowingly condone use of this Site by others, in any manner that is, attempts to, or is likely to:
3.5.1 Be libelous, defamatory, indecent, vulgar or obscene, pornographic, sexually explicit or sexually suggestive, racially, culturally, or ethnically offensive, harmful, harassing, intimidating, threatening, hateful, objectionable, discriminatory, or abusive, or which may or may appear to impersonate anyone else;
3.5.2 Affect us adversely or reflect negatively on us, the Site, our goodwill, name or reputation or cause duress, distress or discomfort to us or anyone else, or discourage any person, firm or enterprise from using all or any portion, features or functions of the Site, or from advertising, linking or becoming a supplier to us in connection with the Site;
3.5.3 Send or result in the transmission of junk e-mail, chain letters, duplicative or unsolicited messages, or so-called “spamming” and “phishing”;
3.5.4 Be used for commercial or business purposes, including, without limitation, advertising, marketing or offering goods or services, whether or not for financial or any other form of compensation or through linking with any other website or web pages;
3.5.5 Transmit, distribute or upload programs or material that contain malicious code, such as viruses, timebombs, cancelbots, worms, trojan horses, spyware, or other potentially harmful programs or other material or information;
3.5.6 Forge any TCP/IP packet header or part of the header information in any email or newsgroup Posting or Submission for any reason;
3.5.7 Violate any laws, regulations (including, without limitation, laws regarding the transmission of technical data or software exported from the United States), judicial or governmental order or any treaties, or violate or infringe upon any intellectual property rights, rights of publicity or privacy or any other rights of ours or of any other person, firm or enterprise; gain unauthorized access to the Site, other users’ accounts, names, passwords, personally identifiable information or other computers, websites or pages, connected or linked to the Site or use the Site in any manner which violates or is inconsistent with the terms and conditions of this Agreement;
3.5.8 Modify, disrupt, impair, alter or interfere with the use, features, functions, operation or maintenance of the Site or the rights of use and enjoyment of the Site by any other person, firm or enterprise; or
3.5.9 Collect, obtain, compile, gather, transmit, reproduce, delete, revise, view or display any material or information, whether personally identifiable or not, posted by or concerning any other person, firm or enterprise, in connection with their or your use of the Site, unless you have obtained the express, prior permission of such other person, firm or enterprise to do so.
VIII. Confidential Proprietary Company Information/Reports Provided to Distributors
- The Company’s genealogies (being the information held by the company related to its Distributors, including without limitation its relationship with each of its Distributors, the sponsoring of each Distributor, the Distributors upline and downline, charts, data, reports and other material, and historical purchasing information for each Distributor) (collectively, “Confidential Information”) are owned by the Company, are highly sensitive and valuable to the Company’s business and are transmitted to you in strictest confidence. The Company’s legitimate business interests require the non-disclosure thereof to (among other things) the Company’s competitors.
In the event the Company shall disclose details of any of its genealogies to you during the term of the Agreement:
1.1 You shall, at all times and without limit in time, treat such details as Confidential Information in the nature of a trade secret and shall not disclose such details to any other person (including any company or person in competition with the Company). You shall take all reasonable steps to protect and maintain the security of the information and shall use the details solely for the benefit of the business of the Company and for the stated purpose for which they were provided.
1.2 You shall not release, sell, reproduce for sale or in any way distribute confidential information to any party unrelated to the Company.
1.3 You shall not during the term of the Agreement or for a period of one (1) year thereafter take or encourage any action which would circumvent, breach, interfere with or diminish the value of benefit of the Company’s genealogies.
1.4 You shall only use the confidential information for your Nutronix Business. The Company shall suffer irreparable harm in the event its confidential and proprietary information is disseminated in a manner in contravention of its interest. The Company reserves the right to seek injunctive relief or any other remedy available at law to protect its Confidential Information.
- Downline Reports
Downline reports are confidential, proprietary property of the Company, and they are furnished to you only to provide information for your Company Business and for no other reason. The information contained in a downline report is proprietary and valuable to the Company and must be kept confidential and not directly or indirectly disseminated or copied to any third-party or to other Distributors.
- Selling and distributing in bona fide
Members agree to perform bona fide selling and distributing functions in marketing Lotto Motto’s products to the consumer. Members are not required to establish a downline sales organization. If a Member does establish a downline sales organization, he/she agrees to supervise, train and have ongoing communications and coordination with his/her downline sales organization as provided in these policies.
- Combining a Third-Party Agreement with your Lotto Motto Business
- 1. A “Third Party” includes, but is not limited to, another Member or an unrelated individual/company offering business-building services or related/non-related goods and services.
- The Company does not endorse or permit any third-party income representations, guaranties or other such representation to build your downline organization. In addition, the Company does not endorse any third-party individual or company making income representations through the use of third-party sales ads.
- If you choose to enter into any such agreement with a third-party, you do so at your own risk. The company will not be bound by any such agreement or contract. The Company will not reimburse you for costs incurred as a result of any agreement or contract described above.
- You may not enter into third-party contracts combining any aspect of the Company business, as presented by the Company, with another offering having to do with the sale of the Company products, opportunity or the Compensation Plan with any other non-Company component, agreement, business plan, method or device. The Company does not honor these agreements. The Company will not settle disputes resulting from third-party agreements or between Distributors.
- The Company does not allow the Lotto Motto Products or Compensation Plan to be presented/offered in conjunction with any other business plan or other form of business. Violation of this Policy will be considered a breach of your agreement and subject to termination of your Distributorship.
- Sponsorship business rules
- Rights to Choose Sponsor
1.1 Prospective applicants have the right to choose his or her immediate sponsor. Implied loyalty to an individual who made the initial Company introduction does not obligate one to accept that individual’s sponsorship. (For example, prospective applicants are not obligated to be sponsored by someone who merely provides Company promotional material.) The Company does not have an obligation to settle or be part of any disputes concerning sponsorship. The sponsor of the new Distributor will be the Distributor indicated on the Application and Agreement signed by the prospective applicant and/or entered as the sponsor in the Company’s computer system.
1.2 Once a Distributor Application and Agreement has been accepted by the Company and/or the account number has been assigned, sponsor changes are only permitted in the event of Company error, or if the Company is notified in writing by the new Distributor and/or the Distributors current and new Sponsor or Enroller before any commissions are paid.
- Sponsorship in Divisions of Lotto Motto
Once you have enrolled in Lotto Motto, your sponsor should remain the same for any divisions of Lotto Motto (such as Lotto Motto) that you decide to join.
2.1 If your Lotto Motto sponsor is not active in Lotto Motto, please contact the email@example.com to receive the username of your next Personally Sponsored upline Member who does have an active Lotto Motto account. Our support team can be reached by email at firstname.lastname@example.org. You may only join Lotto Motto under a different sponsor or line of sponsorship than you have in Lotto Motto in the following circumstances:
2.3 If you have been active in Lotto Motto for 6 months or more without joining Lotto Motto OR if your previous Lotto Motto account has been cancelled or inactive for 6 months or more.
In the above circumstances, you must be sure to provide your existing Lotto Motto username during the signup process of Lotto Motto. This is the only way to ensure that your accounts are associated correctly.
2.4 If your account meets the above requirements and you choose to enroll in Lotto Motto under a different sponsor, your sponsor in Lotto Motto will remain the same. This means that you will have a different upline in Lotto Motto than Lotto Motto. Your sponsor in Lotto Motto will receive commissions for your activity and the activity of your downline in Lotto Motto. Your sponsor in Lotto Motto will receive commissions for your activity and the activity of your downline in Lotto Motto
2.5 If you wish to change your sponsor in Lotto Motto as well, you must follow the guidelines below located in the “Changes to Lines of Sponsorship” section.
- Inducements to Select a Different Sponsor
Notwithstanding the Rights to Sponsor Policy, it is against Company policy to induce or allow an individual, family member, or business partner of an existing member to sign up under your line of sponsorship for the purpose of circumventing the original upline from future income.
3.1 Company meetings are open to all interested parties. You must not imply that interested parties are not welcome to attend the meetings or imply that assistance will not be given to them if they are not in your downline. Member must feel secure when sending prospects to these meetings and all prospects attending the meeting should be referred back to the person that sent them. It is against Company policy to sponsor a prospect at the meeting who was sent by another Distributor.
3.2 You may not offer monetary rewards, free products or any other material inducement to entice a prospect to enroll under your line of sponsorship when it is made known that he or she has been working with another Distributor.
- International Sponsoring
4.1 Member may sponsor Member outside of the continental United States. The Company, at its sole discretion, reserves the right to reject at any time any Member international distribution and sponsoring rights upon written notice at their last known address.
4.2 A Member right to act as an International Sponsor or to receive commissions in a Country of Operation may be revoked at any time if the Company determines that the Member has not conducted themselves in accordance with the terms and conditions contained herein or the governing laws of the Country of Operation.
4.3 Member have no authority to take any steps in any country toward the introduction or furtherance of the Company. This includes, but is not limited to, any attempt to register or reserve Company names, trademarks or trade names, to secure approval for products or business practices, or to establish business or governmental contracts. Member agree to indemnify the Company for all costs incurred by the Company for any remedial action needed to exonerate the Company in the event you improperly act purportedly on behalf of the Company.
4.4 The Company reserves the right to establish additional Terms and Conditions that are applicable to a specific country. Member who conduct business internationally agree to abide by all special policies established by the Company for the specific Country of Operation.
- 5. Sponsor Information
Independent Member Application: You must provide the Company with valid Sponsor details at the time your application is submitted. Applications received without Sponsor information will be returned to the applicant unprocessed. The Company is not responsible for contacting the applicant or the upline to verify the information provided. Member who fail to provide a correct Sponsor will have their Change of Sponsor request denied.
- 6. Changes to Lines of Sponsorship
6.1 The Company will not permit any change in the line of sponsorship except in the following circumstances:
- a) Where a Distributor has been fraudulently induced into joining the Company or
- b) Where, due to Company error, the sponsor has been entered incorrectly into the Company database
6.2 With any such request, the Distributor must submit a written request of his or her current Sponsor and the additional signatures from the upline. If, at the time of the request, the requesting Distributor has a downline organization in place, the change will not be granted by the Company.
6.3 The Member must supply written consent of all Member in the organization whose income is arguably affected. However, the Company maintains the right of refusal if circumstances violate other Policies, Procedures and/or the Business Rules of the Company.
6.4 If you terminate your position in writing, you may rejoin under a Sponsor of choice after 180 days. Termination of the position will result in forfeiture of all rights, future/pending bonuses and commissions under the previous line of sponsorship. Member who voluntarily terminate their position may join a new position under a new line or the same line of sponsorship provided all requirements are met. Position transfers are subject to the Company’s approval, which may be withheld at any time.
6.5 You may sign up in a new position under a different Sponsor if there has been no activity in the original position for the previous 180 days. As an inactive Distributor, you shall not refer to yourself as a Lotto Motto Member or hold or participate in educational or promotional meetings. You should discontinue using any materials bearing the Company logo, trademark or service marks, you shall not continue to communicate with the Company, not attempt to sponsor or enroll new Member or otherwise sell Company products. If you are found to be actively pursuing the business during the inactive period, the Company reserves the right to refuse your application under a new line of Sponsorship. You must complete and submit a Voluntary Termination letter, and submit a new Application and Agreement. Member who wish to rejoin under these circumstances are eligible to join in a new position. Position transfers are subject to the Company’s approval, which may be withheld at any time.
6.6. You are not permitted to persuade or attempt to persuade any other Distributor to terminate their enrollment with the Company in order to join your downline or use any unfair tactic or undue action to obtain any consent.
6.7. The Company reserves the right to assume any inactive or terminated position and transfer the position to another party at face value.
- 7. Cross-sponsoring of Spouses/Household Members
7.1 You may not circumvent your original line of sponsorship by joining another downline organization or a different leg of your sponsor by sponsoring yourself, your spouse, dependent children, a household member (“related party”) or any business or company operating under a business name (DBA) in which you and/or a related party have a direct or indirect ownership interest. Husband, wife, DBA, household members, partners and/or dependent children must all be in the same downline underneath the first position owned. It is permissible to be in separate legs provided they are under the first position owned.
7.2 Violations of this Policy will result in the termination of the cross- sponsored account, and you will be instructed to work exclusively in the original position. Neither the cross-sponsored position nor the downline organization will be moved. If the Sponsor or Enroller is found to have knowingly or willingly encouraged the cross-sponsoring the Sponsor/Enroller will be subject to further disciplinary action in accordance with the Compliance Disciplinary Procedure.
7.3 You may not participate as a partner, consultant or employee of another Distributor position for six (6) months in the event this policy is violated.
XII. Recruiting Distributors into Other Companies
- Attempting to sponsor or recruit Distributors other than those you have personally sponsored into any other program or selling any products that are either related or unrelated to products offered by the Company to those you have not personally sponsored is strictly prohibited. Distributors who violate this policy are subject to immediate termination.
- If a Distributor is terminated, the Distributor shall not attempt to recruit any Distributors other than those whom they personally sponsored into any other multi-level marketing or direct selling organization for a period of one (1) year following termination of the Distributorship. You shall not directly or indirectly contact, solicit, entice, sponsor, accept or promote Company Distributors into other opportunities or marketing programs of another Company.
XIII. Sale or Transfer of Member Position
- You (“Transferor”) cannot sell, assign or otherwise transfer the rights of your Member position to any other person, firm or body corporate (“Transferee”) without the express consent of the Company, which may be delayed or denied in the sole discretion of the Company and without a statement of reason(s). The Company reserves the right to prohibit or impose various terms and conditions, at its sole discretion respecting any proposed sale, assignment or transfer a Distributor position. The Company cannot authorize the sale or transfer of a position from one Country of Operation to another. The position will always remain in the Country of Operation in which it originated.
1.1 In order to receive such permission, the Transferor must be a Distributor in good standing as determined by the Company, and not be under any Compliance inquiry or sanction.
1.2 The Transferor must sign a letter requesting a Position Transfer authorizing the sale or transfer of their position. Additional information regarding the possible sale or transfer of a Distributor position might be needed in order for the Company to make their final decision.
1.3 The new owner is subject to all Company Policy and Procedures and Terms and Conditions. The position is available for a transfer at any level shown on the face of the Distributor Application and Agreement. All sale or transfers require that a Position Transfer and Distributor Application and Agreement be signed by Transferee and accepted by the Company. All signatures are subject to verification for authenticity.
1.4 Terminated Positions are eligible for Sale or transfer if the position has remained terminated (and/or inactive) for six (6) months. Positions terminated for disciplinary reasons are only eligible for sale or transfer once the six (6) months have expired, and there is no litigation or possible litigation pending concerning disciplinary actions taken by the Company.
1.5 Position Transfers for Distributors who have voluntarily terminated and/or inactive positions are strictly monitored for compliance with other polices as stated herein. The Company will deny position transfers at its sole discretion should it determine that the transaction will violate the Company Terms and Conditions and/or the spirit of the policy for which they are intended. Distributors using Position Transfers to violate policy may be subject to the Distributor Disciplinary Procedure. Customers are not eligible for a Position Transfer into other existing positions in a downline organization. Customers wishing to become Distributors can sign up as a new Distributor, but cannot position transfer into an existing Distributor position.
1.6 The Company reserves the right to charge a Change of Ownership fee to process any position transfer requests.
XIV. Inheritance of Distributor Positions
- Upon the death of a Distributor, all rights to the Distributors Position, including rights to commissions, bonuses and Distributor responsibilities, shall pass to the successors as stated in the Distributors will or as otherwise ordered by a court of competent jurisdiction. In the event the Distributor has no will, the rights to commissions, bonuses and Distributor responsibilities will be transferred according to the intestacy laws of the jurisdiction of the decedent’s estate as provided by a valid court order. In order to receive transfer, the inheriting party(ies) must provide a certified copy of the Distributors death certificate or any other documentation required by the Company to evidence the true successor (including but not limited to a court order, copy of the Will, Letters of Testamentary in the event there is a Will and/or Letters of Administration in the event there is no Will).
- The heir(s) must fill all responsibilities of the Distributor position and must sign the then-current version of the Distributor Application and Agreement. The heir may inherit and retain another Distributor position even though the heir(s) already operates an existing position.
- Compliance by Member With All Applicable Tax Laws and Other Laws
The Company will automatically provide a completed IRS Form 1099 to each U.S. Distributor whose commissions were at least $600 at the end of each calendar year. If commissions were less than $600, a statement will be available upon request.
- The Member accepts sole responsibility for proper reporting and payment of all self-employment taxes (Social Security and Medicare), unemployment insurance tax, income taxes and other taxes due as a result of income earned as a Member.
- Member shall comply in all respects with all federal and state statutes (including but not limited to fair trade laws; unfair business practices acts; food, drug and cosmetic acts; etc.), laws and regulations (including but not limited to those of the Food and Drug Administration and the Federal Trade Commission) and local ordinances governing their activities.
- The delivery of notice of a Federal or State tax lien against the Member or the service of a writ of garnishment, attachment of any other form of enforcement of the collection taxes due to Federal or State government on the Company shall constitute a presumption that the Member has not complied with the requirements of the Terms and Conditions to pay taxes.
- Distributors shall indemnify and hold harmless the Company and its share holders, officers, directors and employees from and against any claim, demand, liability, loss, action, causes of action, costs or expenses (including but not limited to reasonable attorney’s fees) arising or alleged to arise in connection with, or related to, Member’ representations, acts or operation in violation of the Agreement, or Member’ negligence or willful or intentional misconduct.
- You are responsible for training your downline organization on effective lawful methods of building a successful business and you are restricted from advising Distributors to restructure their downline in a fashion that gives the Sponsor or upline Distributors an income advantage, causing potential long-term damage to his or her Distributor position.
You are responsible for answering questions for Distributors whom you have personally sponsored. Distributors who have questions about any aspect of the Company should contact their upline sponsors for assistance.
XVII. Voluntary Termination from the Company
A Member who wishes to terminate a Distributor account must submit such request in writing to the Company.
- A Member who terminates may apply for reinstatement after six (6) months, beginning the first day of the following month from the date of termination. Spouses of the Member who have terminated may not apply to become a Member in another line of sponsorship until the terminated Distributor is eligible for reinstatement or for six (6) months.
- Due to the administrative cost incurred by the Company in maintaining Member positions, Member will be terminated if his/her account has been inactive for six (6) consecutive months. If that individual or entity desires to become a Member at a later date, he/she must meet all requirements of a new Member.
As and for a termination fee, immediately upon resignation or termination due to inactivity, Distributors shall lose all right, title and interest in and to prior and pending bonuses, rank or positioning any former line of descent.
- Immediately upon resignation or termination of a Member, the affected Member will remove and discontinue the use of, and will not thereafter use names, marks, signs, labels, stationary, advertising or any other material referring or related to Lotto Motto
- Any and all legal claims against Member compensation by outside parties may subject the Member to collection charges and/or termination of their Lotto Motto Membership,
- A Member may be terminated by Lotto Motto for any violation of this Agreement. Any misstatement or misrepresentation by the Distributor shall also be grounds for termination.
- A terminated Member cannot sponsor new Members. If a terminated Member is listed on the Member Application as a sponsor, the new Member will be contacted to provide the Company with a valid Sponsor Identification Number, which relates to a Member in good standing.