Policies and Procedures
SECTION 1 – INTRODUCTION
1.1 – Policies and Compensation Plan Incorporated into Affiliate Member Agreement
These documents are incorporated by reference into the CN Marketing Affiliate Member Agreement (all in their current form and as amended by CN Marketing).
1.2 – Purpose of Policies
CN Marketing is a direct sales company that markets products through Affiliate Members. It is important to understand that your success and the success of your fellow Affiliate Members depends on the integrity of those who market our services. To clearly define the relationship that exists between Affiliate Members and CN Marketing, and to explicitly set a standard for acceptable business conduct, CN Marketing has established the Agreement. CN Marketing Affiliate Members are required to comply with all of the provisions set forth in the Agreement, which CN Marketing may amend at its sole discretion from time to time, as well as with all federal, state and local laws governing their CN Marketing business and their conduct. Because you may be unfamiliar with many of these standards of practice, it is very important that you read and abide by the Agreement. Please review the information in this document carefully. It explains and governs the relationship between you, as an independent contractor, and CN Marketing. If you have any questions regarding any policy or rule, do not hesitate to seek an answer from the CN Marketing corporate office.
1.3 – Changes and Amendments to the Agreement
Due to the constant changes in the laws and business environment involving CN Marketing’s operations, CN Marketing reserves the right to amend the Agreement, compensation plan, product availability and its prices at its sole and absolute discretion without prior notice. This provision does NOT apply to the arbitration clause found in Section Nine (9), which can only be modified via mutual consent.
By signing a Affiliate Member Agreement, an Affiliate Member agrees to abide by all amendments or modifications that CN Marketing elects to make. Changes and/or amendments shall be effective immediately upon publication of the changes and/or amendments. Any amendments shall be published by one or more of the following methods:
- a) posting on CN Marketing’s official website;
- b) electronic mail (email);
- c) inclusion in Company periodicals;
- d) inclusion with commissions or bonus checks; or
- e) special mailings.
The continuation of an Affiliate Member’s CN Marketing business or an Affiliate Member’s acceptance of bonuses or commissions constitutes acceptance of any and all changes and/or amendments. Further, an Affiliate Member’s rights under the Agreement are subject to an Affiliate Member meeting all obligations under the Agreement.
1.4 – Delays
CN Marketing shall not be responsible for delays or failures in performance of its obligations when performance is made commercially impracticable due to circumstances beyond its reasonable control. This includes, without limitation, strikes, labor difficulties, riot, war, fire, death, curtailment of a party’s source of supply, government decrees or orders, and acts of God.
1.5 – Policies and Provisions Severable
If any provision of the Agreement, in its current form or as may be amended, is found to be invalid, or unenforceable for any reason, only the invalid portion(s) of the provision shall be severed and the remaining terms and provisions shall remain in full force and effect and shall be construed as if such invalid or unenforceable provision never comprised a part of the Agreement.
1.6 – Waiver
CN Marketing never gives up its right to insist on compliance with the Agreement and with the applicable laws governing the conduct of a business. No failure of CN Marketing to exercise any right or power under the Agreement or to insist upon strict compliance by a Affiliate Member with any obligation or provision of the Agreement, and no custom or practice of the parties at variance with the terms of the Agreement, shall constitute a waiver of CN Marketing’s right to demand exact compliance with the Agreement. Waiver by CN Marketing can be affected only in writing by an authorized officer of CN Marketing. CN Marketing’s waiver of any particular breach by an Affiliate Member shall not affect or impair CN Marketing’s rights with respect to any subsequent breach, nor shall it affect in any way the rights or obligations of any other Affiliate Member.
SECTION 2 – BECOMING A AFFILIATE MEMBER
2.1 – Requirements to Become a Affiliate Member
To become a CN Marketing Affiliate Member, each applicant must:
- a) Be at least 21 years of age;
- b) Reside in the 50 United States, Territories, or Countries officially opened by CN Marketing;
- c) Have a valid Social Security or Tax ID number;
- d) Submit an accepted CN Marketing Affiliate Member Application and Agreement.
- e) CN Marketing reserves the right to reject any applications for a new Affiliate Member or applications for renewal.
2.2 – Renewals and Expiration of an Affiliate Member Agreement
If an Affiliate Member allows his or her position to expire, an Affiliate Member will lose any and all rights to his or her downline organization unless an Affiliate Member re-activates within 60 days following the expiration of the agreement. If the former Affiliate Member re-activates within the 60-day time limit, an Affiliate Member will resume the rank and position held immediately prior to the expiration of an Affiliate Member agreement.
However, such Affiliate Member’s paid as level will not be restored unless he or she qualifies at that payout level in the new month. An Affiliate Member is not eligible to receive commissions for the time period that an Affiliate Member’s agreement was expired.
Any Affiliate Member who was terminated or whose agreement has expired and lapsed the 60-day grace period is not eligible to reapply for a CN Marketing business for 6 months following the expiration of an Affiliate Member agreement.
2.3 – Affiliate Member Benefits
Once an Affiliate Member Application and Agreement has been accepted by CN Marketing, the following benefits are available to the new Affiliate Member.
2.3.1 – Affiliate Members that enroll in CN Marketing are allowed to:
- a) Purchase CN Marketing gift cards and use those credits with any CN Marketing associated company
- b) Receive periodic CN Marketing literature and other CN Marketing communications
- c) Build a network of Affiliate Members and participate in the CN Marketing Compensation Plan if so chosen.
2.4 – Resident Status
If an Affiliate Member is unable to prove their legal residency, citizenship, or legal right to do business in the country where they have enrolled as an Affiliate Member, CN Marketing may declare their Affiliate Member Agreement void from its inception. Affiliate Members may only enroll to be an Affiliate Member in an authorized country.
SECTION 3 – CODE OF ETHICS
CN Marketing has made a commitment to provide the finest direct sales experience backed by impeccable service to its Affiliate Members. In turn, CN Marketing expects CN Marketing Affiliate Members to reflect that image in their relationships with Customers and fellow Affiliate Members.
As a CN Marketing Affiliate Member, you are expected to operate your business according to the highest standards of integrity and fair practice. Failure to comply with the Code of Ethics can result in your termination as a CN Marketing Affiliate Member. The Code of Ethics, therefore, states:
An Affiliate Member shall:
- a) Conduct their business in an honest and ethical manner at all times.
- b) Make no representations about the benefits associated with CN Marketing and CN Marketing brands other than those contained in officially approved corporate literature, official website and videos.
- c) Provide support and encouragement to their customers to ensure that their experience with CN Marketing is a successful one.
- d) Motivate and actively work with Affiliate Members of their downline organization to help them build their CN Marketing business. An Affiliate Member understands that that this support is critical to each Affiliate Member’s success with CN Marketing.
- e) Not directly, or indirectly, cause an Affiliate Member or prospective Affiliate Member to operate in a financially irresponsible way, including, but not limited to, pressuring them to buy more products or business support materials/services than they can reasonably use or sell, or to maintain specific inventory requirements.
- f) Not directly or indirectly, encourage or recommend that Affiliate Members or prospective Affiliate Members incur debt in order to participate in the business
- g) Refrain from exaggerating their personal income or the income potential in general and will disclose and stress to Affiliate Member candidates the level of effort and commitment required to succeed in the business.
- h) Refrain from exaggerating their earned rank or title as an Affiliate Member and will disclose and stress to Affiliate Member candidates the level of effort and commitment required to succeed in the business.
- i) Not abuse the goodwill of their association with CN Marketing to further or promote other business interests (particularly those which may be competitive to CN Marketing) without the prior written consent of CN Marketing.
- j) Not make disparaging remarks about other products, services, Affiliate Members, or companies; likewise, an Affiliate Member will not willfully denigrate the activities or personalities of fellow CN Marketing Affiliate Members.
- k) Will abide by all of the Policies and Procedures of CN Marketing as included herein, or as may be amended from time to time.
- l) Not make any payment(s) or promise to pay any prospective or existing Affiliate Member in return for such Affiliate Member’s enrollment, continued enrollment, or team building or recruiting activities with CN Marketing.
SECTION 4 – OPERATING A CN MARKETING BUSINESS
4.1 – Adherence to the CN Marketing Compensation Plan
Affiliate Members must adhere to the terms of the CN Marketing Compensation Plan as set forth in official CN Marketing literature.
Affiliate Members shall not offer the CN Marketing opportunity through, or in combination with, any other system, program or method of marketing other than that specifically set forth in official CN Marketing literature. Affiliate Members shall not require or encourage other current or prospective customers or Affiliate Members to participate in CN Marketing in any manner that varies from the program as set forth in official CN Marketing literature. Affiliate Members shall not require or encourage other current or prospective customers or Affiliate Members to execute any agreement or contract other than official CN Marketing agreements and contracts in order to become a CN Marketing Affiliate Member. Similarly, Affiliate Members shall not require or encourage other current or prospective customers or Affiliate Members to make any purchase from, or payment to, any individual or other entity to participate in the CN Marketing Compensation Plan other than those purchases or payments identified as recommended or required in official CN Marketing literature.
4.2 – Bonus Buying Prohibited
Bonus buying is strictly and absolutely prohibited. “Bonus buying” includes:
- a) the enrollment of individuals without their knowledge and agreement and/or without execution of an Affiliate Member Application;
- b) the fraudulent enrollment of an individual as an Affiliate Member or merchant;
- c) the enrollment or attempted enrollment of non-existent individuals as Affiliate Members or merchants;
- d) the use of a credit card by or on behalf of an Affiliate Member or merchant when the Brand
Ambassador or customer is not the account holder of such credit card;
- e) purchasing CN Marketing products on behalf of another Affiliate Member, or under another
Affiliate Member’s ID number, to qualify for commissions or bonuses.
4.3 – Business Entities
A Partnership, LLC or Corporation may hold an Affiliate Member business upon completion of an Affiliate Member Application form, and providing on that form in the appropriate space, a Federal tax ID number. However, an individual may not participate in more than one (1) Affiliate Member business of any kind. The person signing the application on behalf of a business entity must have the authority of said entity for entering into the transaction. In addition, by signing as a business entity, you certify that no person with an interest of debt or equity in the business has had an interest in an Affiliate Member business in CN Marketing within six (6) months of the date of signature. When using CN Marketing gift cards with any affiliates on the platform, each affiliate may require individual information on top of the Corporate info used on the CN Marketing platform.
4.4 – Changes to a CN Marketing Business
As an Affiliate Member, it is your duty to keep the information contained in your Affiliate Member Agreement current and accurate. You must immediately inform CN Marketing of any changes affecting the accuracy of information contained in these documents. CN Marketing may terminate an Affiliate Member Agreement or declare an Affiliate Member Agreement void from its inception if CN Marketing determines false or inaccurate information was provided. If you fail to update your Distributor Agreement holds may be placed on your account or other disciplinary action may be taken, including termination.
4.4.1 – Change of Address, Telephone, or Email
Each Affiliate Member must immediately notify CN Marketing of all changes to the information contained in his or her Affiliate Member Application and Agreement. Affiliate Members may modify their existing Affiliate Member Agreement Form by submitting a written request and appropriate supporting documentation.
To ensure timely delivery of products, support materials and commission checks, it is critically important that CN Marketing’s files are current. Affiliate Members planning to move should update their personal information via their CN Marketing Affiliate Member Back Office. In the event that an Affiliate Member is unable to update their personal information via their back office, an Affiliate Member must submit an “Amended” Application to change their account information. Amended Applications must be signed by an Affiliate Member and must be sent to the CN Marketing Compliance Department (firstname.lastname@example.org). CN Marketing reserves the right to refuse to accept any amendments. To guarantee proper delivery, two weeks advance notice to CN Marketing is recommended on all changes. Name change requests will be processed as Sale, Transfer, or Assignment of CN Marketing Business per section 4.26 of these Policies and Procedures.
4.4.2 – Change of Sponsor
To protect the integrity of all marketing organizations and safeguard the hard work of all Affiliate Members, CN Marketing does not allow changes in sponsorship for active Affiliate Members. Maintaining the integrity of sponsorship is critical for the success of every Affiliate Member and marketing organization. Accordingly, the transfer of a CN Marketing business from one sponsor to another is not permitted.
Exception – A request for a change in sponsor, due to CN Marketing error, will be accepted within 45 days of completion of the application.
4.4.3 – Cancellation and Re-application
Cancellation and Re-application. An Affiliate Member may terminate his or her CN Marketing Agreement at any time with written notice. Following termination of the CN Marketing Agreement, the former Affiliate Member must remain Inactive from any CN Marketing related activity for six (6) months following termination prior to re-applying to become a CN Marketing Affiliate Member. As used in this Section, “Inactive” shall mean the former Affiliate Member shall NOT: purchase any CN Marketing products for resale, sale any CN Marketing products, sponsor any CN Marketing affiliates, attend any CN Marketing function, operate any CN Marketing related business, or affiliate with any affiliated CN Marketing company including its parents, subsidiaries, successors, assigns for six (6) months from the date of cancellation.
Following the six (6) month period of inactivity, the former Affiliate Member may reapply under a new sponsor. However, the former Affiliate Member will permanently lose any and all right to their former Affiliate Member downline organization.
4.5 – Unauthorized Claims and Actions
4.5.1 – Indemnification
An Affiliate Member is fully responsible for all of his or her verbal and written statements made regarding CN Marketing products, services, and the Compensation Plan that are not expressly contained in official CN Marketing materials. Affiliate Members agree to indemnify CN Marketing and CN Marketing’s directors, officers, employees and agents and hold them harmless from any and all liability, including judgments, civil penalties, refunds, attorney fees, court costs or lost business incurred by CN Marketing as a result of an Affiliate Member’s unauthorized representations or actions. This provision shall survive the termination of an Affiliate Member Agreement.
4.5.2 – Income Claims
In an effort to conduct best business practices, CN Marketing has developed the CN Marketing Compensation Plan. The CN Marketing Compensation Plan is designed to convey truthful, timely, and comprehensive information regarding the income that CN Marketing Affiliate Members earn. In order to accomplish this objective, a copy of the CN Marketing Compensation Plan must be presented to all prospective Affiliate Members.
A copy of the CN Marketing Compensation Plan must be presented to a prospective Affiliate Member anytime compensation is presented or discussed, or any type of income claim or earnings representation is made.
4.6 – Conduct at CN Marketing Events
4.6.1 – No Selling or Recruiting at CN Marketing Events
Selling and recruiting at CN Marketing events is not permitted. These activities take away from the primary focus of the event, and can negatively reflect on the professional image of CN Marketing as a company. You may, however, offer a business card and/or catalog.
4.6.2 – No Selling or Recruiting for other Companies at CN Marketing Events
CN Marketing Affiliate Members shall not sell any products or recruit for any business during CN Marketing events. This restriction most specifically applies to sales and recruitment efforts for any other direct sales or marketing programs, regardless of the product category, including those that do not compete with CN Marketing’s product line.
4.7 – Conflicts of Interest
4.7.1 – Non-compete Policy
CN Marketing Affiliate Members are free to participate in other multilevel or network marketing business ventures or marketing opportunities (collectively “Network Marketing Activities”), with the exception of any Network Marketing Activity that engages in the same generic category as a CN Marketing products and which CN Marketing deems to be competing. During the time an individual is a CN Marketing Affiliate Member and for a term of six (6) months following termination of an Affiliate Member Agreement, an Affiliate Member shall not engage in business which is competitive with CN Marketing in any manner.
Affiliate Members may not display CN Marketing products with any other products or services in a fashion that might in any way confuse or mislead a prospective customer, merchant or Affiliate Member into believing there is a relationship between the CN Marketing and non-CN Marketing products or services. Affiliate Members may display products from CN Marketing affiliated manufacturers.
4.7.2 – Exclusivity
Affiliate Members acknowledge and agree that an Affiliate Member or any Person who has a beneficial interest in that Affiliate Member’s business (including spouses and co-habitants), which has achieved the rank of Elite Member or higher, is being compensated, publicly recognized and otherwise promoted by CN Marketing as a key Affiliate Member leader.
Affiliate Members with an Elite Member are reasonably expected to train Affiliate Members in their Downline Organization, and promote CN Marketing’s business, and are prohibited from selling other Companies products whether competing or not.
4.7.3 – Non-solicitation
During the term of this Agreement, Affiliate Members may not recruit other CN Marketing Affiliate Members or Merchants or customers for any other network marketing business. Following the cancellation of this Agreement, and for a period of one year thereafter, a former Affiliate Member may not recruit any CN Marketing Affiliate Member or customer for another network marketing business, with the exception of an Affiliate Member who was personally sponsored by the former Affiliate Member.
A Affiliate Member and CN Marketing recognize that because network marketing is conducted through networks of independent contractors dispersed across the entire United States and internationally, and business is commonly conducted via the Internet and telephone, an effort to narrowly limit the geographic scope of this non-solicitation provision would render it wholly ineffective. Therefore, an Affiliate Member and CN Marketing agree that this non-solicitation provision shall apply to all markets in which CN Marketing conducts business.
The term “recruit” means actual or attempted solicitation, enrollment, encouragement or effort to influence in any other way, either directly or through a third party, another CN Marketing Affiliate Member or customer to enroll or participate in another multilevel marketing, network marketing or direct sales opportunity. This conduct constitutes recruiting even if an Affiliate Member’s actions are in response to an inquiry made by another Affiliate Member or customer.
4.7.4 – Downline Activity (Genealogy) Reports
Downline Activity Reports made available for Affiliate Member access and viewing at CN Marketing’s official website are considered confidential. Affiliate Member access to their Downline Activity Reports is password protected. All Downline Activity Reports and the information contained therein are confidential and constitute proprietary information and business trade secrets belonging to CN Marketing. Downline Activity Reports are provided to Affiliate Members in the strictest of confidence and are made available to Affiliate Members for the sole purpose of assisting Affiliate Members in working with their respective Downline Organizations in the development of their CN Marketing business. Affiliate Members should use their Downline Activity Reports to assist, motivate and train their Downline Affiliate Members. An Affiliate Member and CN Marketing agree that, but for this agreement of confidentiality and nondisclosure, CN Marketing would not provide Downline Activity Reports to the Affiliate Member. An Affiliate Member shall not, on his or her own behalf, or on behalf of any other person, partnership, association, corporation or other entity:
- a) Directly or indirectly disclose any information contained in any Downline Activity Report to any third party;
- b) Directly or indirectly disclose the password or other access code to his or her Downline Activity Report;
- c) Use the information to compete with CN Marketing or for any purpose other than promoting his or her CN Marketing business;
- d) Recruit or solicit any Affiliate Member or Customer of CN Marketing listed on any report or in any manner attempt to influence or induce any Affiliate Member or customer of CN Marketing to alter their business relationship with CN Marketing;
- e) Use or disclose to any person, partnership, association, corporation or other entity any information contained in any Downline Activity Report. Upon demand by CN Marketing, any current or former Affiliate Member will return the original and all copies of Downline Activity Reports to CN Marketing.
4.8 – Cross-Sponsoring
Actual or attempted cross-sponsoring is strictly prohibited. “Cross-sponsoring” is defined as the enrollment of an individual or entity that already has a current Customer, Merchant or Affiliate Member Agreement on file with CN Marketing, or who has had such an agreement within the preceding 6 calendar months, within a different line of sponsorship. The use of a spouse or relative’s name, trade names, assumed names or fictitious ID numbers to circumvent this policy is prohibited. Affiliate Members shall not directly or indirectly, demean, discredit or defame other CN Marketing Affiliate Members, or encourage, or offer financial or other tangible incentives in an attempt to entice another Affiliate Member to become part of the first Affiliate Member’s marketing organization. If a prohibited organization transfer occurs, CN Marketing shall take disciplinary action against the Affiliate Member(s) who engaged, acquiesced and/or knowingly participated in the improper cross-sponsoring. However, it shall be entirely within CN Marketing’s discretion where in the genealogical structure, the cross-sponsored organization in question shall be placed or otherwise distributed. CN Marketing may also impose penalties on any Affiliate Member that solicits or entices an existing Affiliate Member to change lines of sponsorship.
Because equities often exist in favor of both upline organizations, AFFILIATE MEMBERS WAIVE ANY AND ALL CLAIMS AND CAUSES OF ACTION AGAINST CN MARKETING FOR ITS DECISION REGARDING THE FINAL DISPOSITION OR PLACEMENT OF THE CROSS-SPONSORED ORGANIZATION.
4.9 – Errors or Questions
If an Affiliate Member has questions about or believes any errors have been made regarding commissions, bonuses, Downline Activity Reports, or charges, the Affiliate Member must notify the CN Marketing Customer Service Department at CN Marketing’s headquarters in Sacramento, California, in writing, within 15 days of the date of the purported error or incident in question. CN Marketing will not be responsible for any errors, omissions or problems not reported to CN Marketing within 15 days.
4.10 – Sales Aids Optional
Affiliate Members are not required to carry sales aids. Affiliate Members who do so must make his or her own decision with regard to these matters. To ensure that Affiliate Members are not encumbered with Company Sales Aids, such Sales Aids may be returned to CN Marketing upon an Affiliate Member’s cancellation pursuant to the terms of Section 8.1.
4.11 – Governmental Approval or Endorsement
Neither federal nor state regulatory agencies or officials approve or endorse any direct selling program. Therefore, Affiliate Members shall not represent or imply that CN Marketing or its Compensation Plan have been “approved,” “endorsed” or otherwise sanctioned by any government agency.
4.12 – Holding Applications or Enrollments
Affiliate Members must not manipulate enrollments of new applicants or Merchant enrollments. All Affiliate Member Applications and Agreements and service orders must be sent within 72 hours from the time they are signed by an Affiliate Member or placed by a merchant.
4.13 – Identification
All Affiliate Members are required to provide their Social Security Number or Federal Tax Identification Number to CN Marketing on an Affiliate Member Application and Agreement.
Upon enrollment, CN Marketing will provide a unique Affiliate Member Identification Number to an Affiliate Member by which he or she will be identified. This number will be used to place orders and track commissions and bonuses as well as Rebates.
4.14 – Income Taxes
Each Affiliate Member is responsible for paying local, state and federal taxes on any income generated as an Affiliate Member. If a CN Marketing business is tax exempt, the Federal Tax Identification Number must be provided to CN Marketing. Every year, CN Marketing will provide IRS Form 1099 (non-employee compensation) earnings statement to each U.S. resident who (a) had earnings of over $600 in the previous calendar year or (b) made purchases during the previous calendar year in excess of $5,000 wholesale. CN Marketing cannot accept a tax-exempt certificate from a Affiliate Member who resides in a state where tax exempt status is not granted for Direct Sales businesses. Affiliate Members are encouraged to check with their state government before sending a form to CN Marketing.
4.15 – Independent Contractor Status
Affiliate Members are independent contractors and are not purchasers of a franchise or a business opportunity. The agreement between CN Marketing and its Affiliate Members does not create an employer/employee relationship, agency, partnership or joint venture between CN Marketing and an Affiliate Member. An Affiliate Member has no authority (expressed or implied) to bind CN Marketing to any obligation. Affiliate Members agree to the following:
- a) Affiliate Members shall establish his or her own goals, hours, and methods of sale, so long as they comply with the terms of an Affiliate Member Agreement Form, these Policies and Procedures, and applicable laws;
- b) Affiliate Members will be paid in accordance with the CN Marketing Compensation Plan
- c) Affiliate Members are subject to entrepreneurial risk and responsible for all losses that may be incurred as an Affiliate Member;
- d) Affiliate Members are responsible for paying local, state and federal taxes due from all compensation earned as an Affiliate Member of CN Marketing;
- e) Affiliate Members must pay their own license fees and any insurance premiums, and if required, obtain a federal employment identification number;
- f) Affiliate Members are responsible for all costs of their business including, but not limited to, travel, entertainment, office, clerical, legal, equipment, accounting, and general expenses without advances, reimbursement, or guarantee from CN Marketing;
- g) Affiliate Members shall not be treated as an employee for his or her services or for federal or state tax purposes; and
- h) Affiliate Members may not identify CN Marketing as their employer on loan applications, government forms, employment verification requests, applications for unemployment compensation or any other form or document.
The name of “CN Marketing” and other names as may be adopted by CN Marketing are proprietary trade names, trademarks and service marks of CN Marketing. As such, these marks are of great value to CN Marketing and are supplied to Affiliate Members for their use only in an expressly authorized manner. Use of the CN Marketing name on any item not produced by CN Marketing is prohibited except as follows: “[Affiliate Member’s Name] Independent CN Marketing Affiliate Member.”
All Affiliate Members may list themselves as an “Independent CN Marketing Affiliate Member” in the residential telephone directory (“white pages”) under their own name. Affiliate Members may not place telephone directory display ads in the classified directory (“Yellow Pages”) using CN Marketing’s name or logo.
Advertising is not limited to print media; it also includes Internet advertising and other forms of advertising. It is prohibited for an Affiliate Member to use an Internet or email address that utilizes the trade name CN Marketing, or Nirvana Gold Rush, or includes CN Marketing in a portion of the address. It is also prohibited for an Affiliate Member to use any website materials on a website that references or relates to CN Marketing that is not authorized in writing by CN Marketing.
4.16 – No Authority to Act on Behalf of CN Marketing
Affiliate Members have no authority to act on behalf of CN Marketing. This includes, but is not limited to, any attempt to:
- a) register or reserve Company names, trademarks, trade names or products;
- b) register URLs using CN Marketing names, trademarks or trade names;
- c) register or secure approval for Products or business practices; or
- d) establish business or governmental contacts of any kind on CN Marketing’s behalf.
Affiliate Members agree to indemnify CN Marketing for all costs and attorneys’ fees incurred by CN Marketing for any remedial action needed to exonerate CN Marketing in the event that they improperly act on behalf of CN Marketing. Affiliate Members must immediately assign to CN Marketing any registration of Company names, trademarks, trade names, Products, or URLs registered or reserved in violation of this Section without CN Marketing’s reimbursement of any costs you incurred.
4.17 – Media, Internet and Third-Party Website Restrictions
4.17.1 – CN Marketing Trademark
A Affiliate Member may not use or attempt to register any of CN Marketing’s trade names, trademarks, service names, service marks, product names, URLs, advertising phrases, CN Marketing’s name or any derivative thereof, for any purpose including, but not limited to, Internet domain names (URL), third party websites, email addresses, web pages, or blogs.
4.17.2 – News Media
Affiliate Members may not promote the Products or opportunity through interviews with the media, articles in publications, news reports, or any other public information, trade, or industry information source, unless specifically authorized, in writing, by CN Marketing. This includes private, paid membership, or “closed group” publications.
Affiliate Members may not speak to the media on CN Marketing’s behalf, and may not represent that they have been authorized by CN Marketing to speak on its behalf. All media contacts or inquiries should be immediately referred to the CN Marketing Corporate.
4.17.3 – Mass Media Promotions Prohibited
Affiliate Members may not use any form of media or other mass communication advertising to promote CN Marketing products, including mass communication advertising on the Internet. This includes news stories or promotional pieces on TV shows, newscasts, entertainment shows, internet ads, etc. Products may be promoted only by personal contact or by literature produced and distributed by the CN Marketing or by Affiliate Members in accordance with these Policies and Procedures. Affiliate Members may place generic opportunity advertisements in jurisdictions allowing that type of advertisement, but only in accordance with the Policies and Procedures of CN Marketing.
4.17.4 – Web Content
As part of an Affiliate Member’s annual agreement, CN Marketing has provided each of its Affiliate Members a company-approved, replicated website so that they may promote their CN Marketing business. These websites can be personalized with a Affiliate Member’s message and a Affiliate Member’s contact information, and seamlessly link directly to the official CN Marketing website giving a Affiliate Member a professional and Company-approved presence on the Internet. If a Affiliate Member desires to independently design a website that uses the names, logos, or product descriptions of CN Marketing or otherwise promote (directly or indirectly) CN Marketing products or the CN Marketing opportunity, they must abide by the following:
- a) Independently designed websites, including all text, images, video, and amendments or changes to the website, must be approved by the CN Marketing Compliance Team before publication;
- b) Edits to an Affiliate Member’s independently designed website are subject to the same restrictions as are listed for the approval of a new independently designed website.
- c) Independently designed websites may not contain the trademark name “CN Marketing” or other company trade names in any URL;
- d) Independently designed websites must comply with all CN Marketing Compliance standards and guidelines;
- e) Independently designed websites must display “Independent Affiliate Member” clearly at the top of the website page;
- f) Affiliate Members may not alter existing CN Marketing materials for their independently designed website.
- g) Affiliate Members may not sell CN Marketing products on their independently designed websites. All product sales and new Affiliate Member enrollments must be directed to a Affiliate Member’s CN Marketing replicated website.
No Affiliate Member may use “blind” ads on the Internet that make product or income claims which are ultimately associated with CN Marketing products, the CN Marketing opportunity, or the CN Marketing Compensation Plan.
The use of any other Internet website or web page (including without limitation auction sites such as eBay, Amazon and Craig’s List, Pinterest, Twitter, LinkedIn) to in any way sell or promote the sale of CN Marketing products, the CN Marketing opportunity, or the Compensation Plan is a breach of the Agreement and may result in any of the disciplinary sanctions set forth in this document. Affiliate Members will be required to agree to additional terms and conditions specifically governing replicated websites and social media.
It is also prohibited for an Affiliate Member to place links to unauthorized websites or webpages onto a website or webpage that has been authorized by CN Marketing.
AFFILIATE MEMBERS AGREE THAT CN MARKETING MAY MONITOR THEIR WEBSITES AND CONTENT PERIODICALLY, AND CN MARKETING RESERVES THE RIGHT AT ITS SOLE DISCRETION TO REMOVE ANY SITE, WITHOUT NOTICE AND WITH NO OBLIGATION TO REFUND FEES PAID, WHICH IN ITS JUDGMENT IS IN VIOLATION OF THIS AGREEMENT OR OTHERWISE IS UNLAWFUL OR HARMFUL TO CN MARKETING AND/OR OTHER USERS.
All contents of the CN Marketing web site and/or self-replicating web site are Copyright © of CN Marketing. All rights reserved. CN Marketing http://www.nirvanagoldrush.com are trademarks of CN Marketing all pending or registered in U.S. Patent and Trademark Office. The material on the CN Marketing website may not be reproduced and may not be distributed, publicly performed, proxy cached or otherwise used, except with the prior express permission of CN Marketing. Other product and company names mentioned in the promotion of CN Marketing might be the trademarks of their respective owners and may be subject to their own Trademark rights.
4.17.5 – Social Media Restrictions
Social Media sites may be used to promote CN Marketing products. PROFILES A AFFILIATE MEMBER GENERATES IN ANY SOCIAL COMMUNITY WHERE CN MARKETING IS DISCUSSED OR MENTIONED MUST CLEARLY IDENTIFY THE AFFILIATE MEMBER AS A CN MARKETING AFFILIATE MEMBER, and when an Affiliate Member participates in those communities, Affiliate Members must avoid inappropriate and non-compliant conversations, comments, images, video, audio, applications or any other adult, profane, discriminatory or vulgar content. The determination of what is inappropriate or non-compliant is at CN Marketing’s sole discretion, and offending Affiliate Members will be subject to disciplinary action. Banner ads and images used on these sites must be current and must come from the CN Marketing approved library. If a link is provided, it must link to the posting Affiliate Member’s Replicated website or an approved third-party website.
- a) Anonymous postings or use of an alias on any Social Media site is prohibited, and offending Affiliate Members will be subject to disciplinary action.
- b) Affiliate Members may not use blog spam, spamdexing or any other mass-replicated methods to leave blog comments. Comments Affiliate Members create, or leave must be useful, unique, relevant and specific to the blog’s article.
- c) Affiliate Members must disclose their full name on all Social Media postings, and conspicuously identify themselves as an independent Affiliate Member for CN Marketing. Anonymous postings or use of an alias is prohibited.
- d) Postings that are false, misleading, or deceptive are prohibited. This includes, but is not limited to, false or deceptive postings relating to the CN Marketing income opportunity, CN Marketing’s products and services, and/or your biographical information and credentials.
- e) Affiliate Members may not “block” or otherwise hinder the CN Marketing Compliance Department from viewing their Social Media postings. Offending Affiliate Members will be subject to disciplinary action.
4.18 – Insurance
4.18.1 – Business Pursuits Coverage
You may wish to arrange insurance coverage for your business. Your homeowner’s insurance policy may not cover business related injuries or the theft of or damage to your business. Contact your insurance agent to make sure that your business property is protected.
4.19 – International Marketing
Affiliate Members are only authorized to do business in the United States. Affiliates should check if any gift cards can be used in States where the Affiliate lives.
4.20 – Laws and Ordinances
Affiliate Members shall comply with all federal, state and local laws and regulations in the conduct of their businesses. Many cities and counties have laws regulating certain home-based businesses. In most cases these ordinances are not applicable to Affiliate Members because of the nature of their business.
Affiliate Members must obey all laws that do apply to them. If a city, county, state or federal official informs a Affiliate Member that an ordinance applies to him or her, the Affiliate Member shall comply with the law.
4.21 – Minors
Affiliate Members shall not enroll or recruit individuals under the age of 21 into the CN Marketing program.
4.22 – Actions of Household Members or Affiliated Individuals
If any member of an Affiliate Member’s household, family, or other affiliated individual engages in any activity that, if performed by an Affiliate Member, would violate any provision of the Agreement, such activity will be deemed a violation by an Affiliate Member and CN Marketing may take disciplinary action pursuant to the Statement of Policies against an Affiliate Member.
4.23 – One CN Marketing Business Per Affiliate Member and Per Household
An Affiliate Member may operate or have an ownership interest as a sole proprietorship in only one CN Marketing business. No individual may have, operate or receive compensation from more than one CN Marketing business. Individuals of the same family unit may enter into or have an interest in more than one CN Marketing Business provided a family member acts as the direct sponsor of the other. A “family unit” is defined as spouses, domestic partners and dependent children living at or doing business at the same address.
An exception to the one-business-per-Affiliate Member rule will be considered on a case-by-case basis if two Affiliate Members marry. Requests for exceptions to this policy must be submitted in writing to the Compliance Department.
4.24 – Product Claims
4.24.1 – Health Claims
Affiliate Members shall never state or imply that any of the CN Marketing products or it’s affiliate companies (or the ingredients therein) can be used to treat, mitigate or cure diseases. In December 2009, the FTC released Guides Concerning the Use of Endorsements and Testimonials in Advertising. The guidelines make clear that any Affiliate Member who provides a testimonial or endorsement about their experience with our products will be viewed as a statement from CN Marketing. CN Marketing products are not FDA approved as drugs; thus, its products cannot be marketed in this fashion.
4.24.2 – FDA Approved Claims
Affiliate Members shall never state or imply that any Product is registered or approved by the United States Food and Drug Administration (“FDA”) or any other regulatory authority. The FDA does not require or grant specific approval for the individual nutritional Products that CN Marketing sells.
4.25 – Personal Testimonials
Testimonials about CN Marketing products or it’s affiliated retailers is not allowed unless company approved.
4.26 – Requests for Records
Any request from an Affiliate Member for copies of invoices, agreements, Downline activity reports or other records/reports will require a fee of $1.00 per page per copy. This fee covers the expense of mailing and time required to research files and make copies of the records.
4.27 – Sale, Transfer or Assignment of CN Marketing Business
4.27.1 – Although a CN Marketing business is a privately owned, independently operated business, the sale, transfer or assignment of a CN Marketing business, and the sale, transfer or assignment of an interest in a Business Entity that owns or operates a CN Marketing Affiliate Member business, is subject to certain limitations.
If an Affiliate Member wishes to sell his or her CN Marketing business, or interest in a Business Entity that owns or operates a CN Marketing business, the following criteria must be met:
- a) An Affiliate Member membership is owned (100%) by the Seller/Transferor
- b) The selling Affiliate Member must be qualified at the Director level or higher,
- c) The selling Affiliate Member must offer CN Marketing the right of first refusal to purchase the business on the same terms as agreed upon with a third-party buyer. CN Marketing shall have fifteen (15) days from the date of receipt of the written offer from the seller to exercise its right of first refusal.
- d) The buyer or transferee must become a qualified Affiliate Member. If the buyer is an active CN Marketing Affiliate Member, he or she must first terminate his or her CN Marketing business and wait six (6) calendar months before acquiring any interest in a different CN Marketing business;
- e) Before the sale, transfer or assignment can be finalized and approved by CN Marketing, any debt obligations the selling party has with CN Marketing must be satisfied.
- f) The selling party must be in good standing and not in violation of any of the terms of the Agreement in order to be eligible to sell, transfer or assign a CN Marketing Affiliate Member business.
To convey, sell, assign, or otherwise transfer a CN Marketing Affiliate Member Business or any interest therein, a Member must contact the CN Marketing Compliance Department and provide the completed Sales/Transfer of CN Marketing Business form, follow its internal policies, and meet any requirements, as may be amended from time to time, including the payment of a standard processing fee.
4.27.2 – Transfers Upon Death
- a) Individuals. If you are a current Affiliate Member, upon your death, your Distributorship may be passed on to your heirs, or other beneficiaries whether by will, intestate succession, or otherwise. The transfer will be recognized by CN Marketing when a court order or proper legal document addressing the transfer to a qualified transferee is submitted to CN Marketing. CN Marketing encourages you to make appropriate arrangements in consultation with an estate-planning attorney for the transfer of your Distributorship.
- b) Participant in a Business Entity. If you are a Participant in a Business Entity, upon your death your interest in the Distributorship will be transferred according to the Business Entity’s legal documents and applicable law governing the transfer, provided that all Persons of the transferee are qualified to hold an interest in a Distributorship under these Policies and Procedures. The transfer of your interest will be recognized by CN Marketing when a court order or proper legal documents addressing the transfer to a qualified transferee are submitted to CN Marketing.
4.28 – Separation of a CN Marketing Affiliate Member Business
In the event of a dissolution of marriage of a CN Marketing Affiliate Member, and a spouse, arrangements must be made to assure that any division of the business assets is accomplished so as not to adversely affect the interests and income of other businesses up or down the line of sponsorship. If the separating parties fail to provide for the best interests of other Affiliate Members and CN Marketing, CN Marketing may be forced to involuntarily terminate a Affiliate Member Agreement.
4.28.1 – During the pendency of a divorce or dissolution, CN Marketing shall treat the business according to the status quo as existed prior to the filing of the divorce or dissolution. Under no circumstances will the Downline Organization of divorcing spouses be divided.
Similarly, under no circumstances will CN Marketing split commission and bonus checks between divorcing spouses. CN Marketing will recognize only one Downline Organization and will issue only one commission check per CN Marketing business per commission cycle. Commission checks shall always be issued to the individual whose name appears on the Affiliate Member Agreement.
4.29 – Sponsoring
All active Affiliate Members in good standing have the right to sponsor and enroll others into CN Marketing. Affiliate Members sponsoring a prospective Affiliate Member should not accept personally addressed enrollment checks. New Affiliate Member enrollments should be completed via their Sponsor’s CN Marketing replicated website. Each prospective Affiliate Member has the ultimate right to choose his or her own sponsor. If two Affiliate Members claim to be the sponsor of the same new Affiliate Member; CN Marketing shall regard the first application received by CN Marketing as controlling.
4.30 – Stacking
“Stacking” is strictly prohibited. The term “stacking” includes: (a) violating the one-business-per-household rule and/or (b) enrolling fictitious individuals or entities into the CN Marketing Compensation Plan, in an attempt to manipulate the Compensation Plan.
4.31 – Telemarketing
The Federal Trade Commission and the Federal Communications Commission each have laws that restrict telemarketing practices.
Both federal agencies (as well as a number of states) have “do not call” regulations as part of their telemarketing laws. While you may not consider yourself a “telemarketer” in the traditional sense of the word, these regulations broadly define the term “telemarketer” and “telemarketing” so that your
inadvertent action of calling someone whose telephone number is listed on the federal “do not call” registry could cause you to violate the law. Moreover, these regulations must not be taken lightly, as they carry significant penalties (up to $11,000.00 per violation).
Therefore, Affiliate Members must not engage in telemarketing relative to the operation of their CN Marketing businesses. The term “telemarketing” means the placing of one or more telephone calls to an individual or entity to induce the purchase of a CN Marketing product or service, or to recruit them for the CN Marketing opportunity. “Cold calls” made to prospective customers or Affiliate Members that promote either CN Marketing’s products or services or the CN Marketing opportunity constitute telemarketing and are prohibited. However, a telephone call(s) placed to a prospective customer or Affiliate Member (a “prospect”) is permissible under the following situations:
- a) If an Affiliate Member has an established business relationship with the prospect. An “established business relationship” is a relationship between a Affiliate Member and a prospect based on the prospect’s purchase, rental or lease of goods or services from the Affiliate Member, or a financial transaction between the prospect and the Affiliate Member, within the 18 months immediately preceding the date of a telephone call to induce the prospect’s purchase of a product or service.
- b) The prospect’s personal inquiry or application regarding a product or service offered by an Affiliate Member within the 3 months immediately preceding the date of such a call.
- c) If an Affiliate Member receives written and signed permission from the prospect authorizing the Affiliate Member to call. The authorization must specify the telephone number(s) that the Affiliate Member is authorized to call.
- d) You may call family members, personal friends and acquaintances. An “acquaintance” is someone with whom you have at least a recent first-hand relationship (i.e., you have recently personally met him or her). Bear in mind, however, that if you make a habit of “card collecting” with everyone you meet and subsequently calling them, the FTC may consider this a form of telemarketing that is not subject to this exemption. Thus, if you engage in calling “acquaintances,” you must make such calls on an occasional basis only and not make this a routine practice.
In addition, Affiliate Members shall not use automatic telephone dialing systems relative to the operation of their CN Marketing businesses. The term “automatic telephone dialing system” means equipment which has the capacity to (a) store or produce telephone numbers to be called using a random or sequential number generator and (b) to dial such numbers.
4.32 – Consent to Images and Recordings
Affiliate Members agree to permit CN Marketing to obtain photographs, videos, and other recorded media of their likenesses. During the term of this agreement and for two years thereafter, Affiliate Members acknowledge and agree to allow any such recorded media to be reproduced, published, distributed, broadcast, exhibited and/or in any other way used by CN Marketing for any lawful purpose, and without compensation.
SECTION 5 – RESPONSIBILITIES OF AFFILIATE MEMBERS
5.1 – Continuing Development Obligations
5.1.1 – Ongoing Training
Any Executive Member or above who sponsors another Affiliate Member into CN Marketing must perform a bona fide assistance and training function to ensure that his or her Downline is properly operating his or her CN Marketing business. Executive Members must have ongoing contact and communication with the Affiliate Members in their Downline Organizations. Examples of such contact and communication may include, but are not limited to, newsletters, written correspondence, personal meetings, telephone contact, voice mail, electronic mail and the accompaniment of Downline Affiliate Members to CN Marketing meetings, training sessions, and other functions. Upline Affiliate Members are also responsible to motivate and train new Affiliate Members in CN Marketing product knowledge, effective sales techniques, the CN Marketing Compensation Plan and compliance with CN Marketing Policies and Procedures. Communication with and the training of Downline Affiliate Members must not, however, violate Section 4.2 (regarding the development of Affiliate Member-produced sales aids and promotional materials). Affiliate Members cannot charge for training.
Upon request, every Executive Members or above should be able to provide documented evidence to CN Marketing of his or her ongoing fulfillment of the responsibilities of a sponsor.
5.1.2 – Increased Training Responsibilities
As Executive Members progress through the various levels of leadership, they will become more experienced in sales techniques, product knowledge and understanding of the CN Marketing program. They will be called upon to share this knowledge with lesser-experienced Affiliate Members within their organization.
5.2 – Non-disparagement
CN Marketing wants to provide its Affiliate Members with the best products, compensation plan and service in the industry. Accordingly, we value your constructive criticisms and comments. All such comments should be submitted in writing to the CN Marketing corporate offices. While CN Marketing welcomes constructive input, negative comments and remarks made in the field by Affiliate Members about CN Marketing, its products, or its Compensation Plan serve no purpose other than to sour the enthusiasm of other CN Marketing Affiliate Members. For this reason, and to set the proper example for their Downline, Affiliate Members must not disparage, demean or make negative remarks about CN Marketing, other CN Marketing Affiliate Members, CN Marketing’s services, the Compensation Plan or CN Marketing’s directors, officers or employees.
5.3 – Non-Discrimination and Non-Harassment
Affiliate Members agree to operate their business in a manner that is free of harassment, intimidation, threats, and abuse. Discrimination and all forms of unlawful harassment, including but not limited to sexual harassment, are not condoned. No form of unlawful discriminatory or harassing conduct by or towards any Affiliate Member, customer, vendor, corporate employee or other person in our workplace or jobsites will be tolerated.
5.4 – Maintaining CN Marketing’s Reputation
Affiliate Members will not act in any way, including their actions outside the scope, which could be considered detrimental to the business or reputation of CN Marketing or its Affiliate Members. CN Marketing has the right to, in its sole discretion, determine what actions may be considered detrimental and take action against any Affiliate Member.
5.5 – Providing Documentation to Applicants
Affiliate Members must provide the most current version of the Policies and Procedures and the Compensation Plan to individuals whom they are sponsoring to become Affiliate Members before the applicant signs an Affiliate Member Agreement. Additional copies of Policies and Procedures can be found on the CN Marketing website at CN Marketing.com, or in your business center under the forms section.
5.6 – Reporting Policy Violations
Affiliate Members observing a policy violation by another Affiliate Member should submit a written report of the violation directly to the attention of the CN Marketing Compliance Department. Details of the incident(s), such as dates, number of occurrences, persons involved and any supporting documentation, should be included in the report.
5.6.1 Time Limitation on Reported Policy Violations
An Affiliate Member must report an alleged violation of the Agreement, within 12 months of its occurrence or alleged occurrence. Failure to report a violation within the 12 months period will result in CN Marketing not pursuing the allegations in order to prevent stale claims from disrupting the ongoing business activities of Affiliate Members. All reports of violations must be in writing and sent to the attention of CN Marketing’s Compliance department.
SECTION 6 – SALES REQUIREMENTS
6.1 – Product Sales
The CN Marketing Compensation Plan is based upon the sale of CN Marketing Gift Cards to end user consumers. Affiliate Members must fulfill personal and downline organization sales requirements (as well as meet other responsibilities set forth in the Agreement) to be eligible for bonuses, commissions and advancement to higher levels of achievement. There are no requirements for Affiliate Members to purchase gift cards to qualify for commissions. Affiliate Members certify by the reordering of additional gift cards that they have used at least 70% of the gift card balance in their previous order. Purchasing gift cards solely for the purpose of collecting bonuses or achieving rank is prohibited. CN Marketing retains the right to limit the amount of purchases you may make if, in our sole judgment, we believe those purchases are being made solely for qualification purposes instead of for consumption or resale.
6.2 – Retail Sales
CN Marketing does not allow for the resale of any products purchased with the use of their gift card. Affiliate members may sell off portions of their gift card and transfer balances to other active Affiliates within the CN Marketing platform. Any Affiliate Member who knowingly fails to honor this policy will be subject to termination.
6.2.1 – Kiosks, Booths and Stands
CN Marketing does allow its Affiliate Members to host kiosks, booths, stands, or the like for the purpose of education or sale of CN Marketing gift cards or opportunity in any space (including, but not limited to, trade shows, mall kiosks, bazaars, boutiques, fairs, and swap meets). As long as such Affiliate abides by the policy and procedures set forth in this agreement.
6.3 Sales Tax
6.3.1 Company Collection of State Sales Tax
CN Marketing provides the service of collecting state sales tax at the time of your purchase and remitting it to your state. The amount of sales tax is based upon the suggested retail price of a Product, calculated at your local tax rate. This is only if applicable.
6.3.2 Exemption from Company Collection of State Sales Tax
Affiliate Members may apply for an exemption from Company collection of state sales tax by submitting a proper sales tax exemption form to CN Marketing.
CN Marketing cannot exempt any of your orders from pre-collected state sales tax until all proper documentation is on file with the Sales Tax Department of CN Marketing. CN Marketing reserves the right to verify the validity of any documents and evidence that you submit in applying for this exemption. If you are approved for sales tax exemption, you will be solely responsible for collecting and remitting sales taxes to the appropriate jurisdictional authorities. Any questions concerning retail sales tax requirements should be directed to your tax advisor.
6.4 – Territory Restrictions
There are no exclusive territories granted to anyone. No franchise fees are required.
SECTION 7 – BONUSES AND COMMISSIONS
7.1 – Bonus and Commission Qualifications
An Affiliate Member must be active and in compliance with the Agreement and these policies to qualify for bonuses and commissions. So long as an Affiliate Member complies with the terms of the Agreement and these policies, CN Marketing shall pay commissions to such Affiliate Member in accordance with the Compensation Plan. The minimum amount for which CN Marketing will issue a commission payment is $25.00. If an Affiliate Member’s bonuses and commissions do not equal or exceed $25.00, CN Marketing will accrue the commissions and bonuses until they total $25.00. Commissions will be issued once $25.00 has been accrued via our payment platform.
7.2 – Commission Payments and Promotions
7.2.1 – Payments, Calculations, and Bonuses
Commissions will be distributed in accordance with the Compensation Plan. Commissions will be calculated according to the level for which an Affiliate Member actually satisfied all of the requirements according to the Compensation Plan rather than the highest rank or title achieved. Commission reports will be provided to Affiliate Members on-line, via web access.
7.2.2 – Promotions
Promotions are determined based on business organization and sales activity for each applicable period.
7.3 – Adjustment to Bonuses and Commissions
7.3.1 – Adjustments for Returned Products
Affiliate Members receive bonuses and commissions based on the actual enrollment for services to merchants. When a service is cancelled, and refund is authorized by CN Marketing, the bonuses and commissions attributable to the refunded service(s) will be deducted in the month in which the refund is given, and continuing every pay period thereafter until the commission is recovered from the Affiliate Members who received bonuses and commissions on the sales of the refunded service(s).
7.4 – Reports
All information provided by CN Marketing in online or telephonic Downline Activity Reports, including but not limited to personal and group sales volume (or any part thereof), and Downline sponsoring activity is believed to be accurate and reliable. Nevertheless, due to various factors, including the inherent possibility of human and mechanical error; the accuracy, completeness and timeliness of orders; denial of credit card and electronic check payments; returned products; and credit card and electronic check charge-backs, the information is not guaranteed by CN Marketing or any persons creating or transmitting the information. All personal and group sales volume information is provided “as is” without warranties, expressed or implied, or representations of any kind whatsoever. In particular, but without limitation, there shall be no warranties of merchantability, fitness for a particular use or non-infringement.
To the fullest extent permissible under applicable law, CN Marketing and/or other persons creating or transmitting the information will in no event be liable to any Affiliate Member or anyone else for any direct, indirect, consequential, incidental, special or punitive damages that arise out of the use of or access to personal and group sales volume information (including but not limited to lost profits, bonuses, or commissions, loss of opportunity and damages that may result from inaccuracy, incompleteness, inconvenience, delay or loss of the use of the information), even if CN Marketing or other persons creating or transmitting the information shall have been advised of the possibility of such damages. To the fullest extent permitted by law, CN Marketing or other persons creating or transmitting the information shall have no responsibility or liability to you or anyone else under any tort, contract, negligence, strict liability, products liability or other theory with respect to any subject matter of this agreement or terms and conditions related thereto.
Access to and use of CN Marketing’s online reporting services and your reliance upon such information is at your own risk. All such information is provided to you “as is.” If you are dissatisfied with the accuracy or quality of the information, your sole and exclusive remedy is to discontinue use of and access to CN Marketing’s online reporting services and your reliance upon the information.
Section 8 – SATISFACTION GUARANTEED AND RETURN OF SALES AIDS
CN Marketing offers a one hundred percent (100%), thirty-day money back guarantee for all customers and Affiliate Members. Please refer to the CN Marketing Return and Refund Policy document for additional details and requirements in processing your return/refund.
If the purchases were made through a credit card, the refund will be credited back to the same account. CN Marketing shall deduct from the reimbursement paid to the Affiliate Member any commissions, bonuses, rebates or other incentives received by the Affiliate Member, which were associated with the merchandise that is returned.
8.1 – Voluntary Cancellation of Contract
Requests by a CN Marketing Affiliate Member to return their gift card balance, will be treated as a request to voluntarily cancel that Affiliate Member business.
The request for Buy Back must be made in writing within 30 days of the original purchase date. Reimbursement will be made minus, rebates, bonuses, and personal discounts (or as applicable law dictates), and Affiliate’s Agreement shall be canceled. Please refer to the CN Marketing Return and Refund Policy document for additional details and requirements in processing your return/refund.
8.2 – Return Process
- All returns, whether by a Customer, or Affiliate Member, must be made as follows:
- Obtain RGCA (Return Gift Card Authorization) from CN Marketing, LLC and return
Please refer to CN Marketing Return and Refund Policy document for additional details and requirements in processing your return/refund.
SECTION 9 – DISPUTE RESOLUTION AND DISCIPLINARY PROCEEDINGS
9.1 – Disciplinary Sanctions
Violation of the Agreement, these Policies and Procedures or any illegal, fraudulent, deceptive or unethical business conduct by an Affiliate Member may result, at CN Marketing’s sole discretion, in one or more of the following corrective measures:
- a) Issuance of a written warning or admonition;
- b) Requiring a Affiliate Member to take immediate corrective measures;
- c) Imposition of a fine, which may be withheld from bonus and commission checks;
- d) Suspension and/or termination of an Affiliate Member Agreement;
- e) Loss of rights to one or more bonus and commission checks;
- f) The withholding from an Affiliate Member of all or part of a Affiliate Member’s bonuses and commissions during the period that CN Marketing is investigating any conduct allegedly in violation of the Agreement. If an Affiliate Member’s business is canceled for disciplinary reasons, that Affiliate Member will not be entitled to recover any commissions withheld during the investigation period;
- g) Any other measure expressly allowed within any provision of the Agreement or that CN Marketing deems practicable to implement and appropriate to equitably resolve injuries caused partially or exclusively by an Affiliate Member’s policy violation or contractual breach; or
- h) In situations deemed appropriate by CN Marketing, CN Marketing may institute legal proceedings for monetary and/or equitable relief.
9.2 – Grievances and Complaints
When an Affiliate Member has a grievance or complaint with another Affiliate Member regarding any practice or conduct in relationship to their respective CN Marketing businesses, the complaining Affiliate Member should first report the problem to his or her sponsor, who should review the matter and try to resolve it with the other party’s Upline sponsor. If the matter cannot be resolved, it must be reported in writing to CN Marketing. CN Marketing will review the facts and determine if a policy violation has occurred and take appropriate action.
9.3 – Product Liability Claims and Indemnification
CN Marketing maintains product liability insurance to protect CN Marketing and its Affiliate Members so long as an Affiliate Members are marketing CN Marketing affiliate retailers products in the regular course of conduct and in accordance with Company policies and applicable laws and regulations.
Subject to the limitations set forth in this Section, CN Marketing will defend Affiliate Members from product liability claims made by third‐party customers alleging injury from the use of a CN Marketing product. Affiliate Members must promptly notify CN Marketing in writing of any such claim, no later than ten (10) days from the date of the third-party claimant’s letter alleging injury. Failure to so notify CN Marketing in accordance with this Section shall alleviate any obligation of CN Marketing respecting such claim.
Affiliate Members must allow CN Marketing to assume the sole and absolute discretion respecting the defense of any third-party claim, and the use and choice of counsel as a condition to CN Marketing’s obligation to any Affiliate Member in accordance with this Section.
CN Marketing shall have no obligation to indemnify a Affiliate Member against any third-party claim if:
- a) an Affiliate Member has not complied with the Agreement respecting obligations and limitations covering the distribution and/or sale of the products; or
- b) an Affiliate Member has repackaged, altered or misused the product, made claims or given instructions or recommendations respecting the use, safety, efficacy, benefits or results, which do not comply with the approved literature of CN Marketing;
- c) an Affiliate Member settles or attempts to settle a claim without CN Marketing’s written approval; or
- d) the claim arises from the sole negligence or willful misconduct of an Affiliate Member.
9.4 – Arbitration
Any controversy or claim arising out of or relating to the Agreement, or the breach thereof, shall be settled by confidential arbitration administered by the American Arbitration Association or other recognized arbitration service, under its Commercial Arbitration Rules, and judgment on the award rendered by the arbitrator and may be entered in any court having jurisdiction thereof. Affiliate Members waive all rights to trial by jury or to any court. All arbitration proceedings shall be held in the County of San Diego, California, unless the laws of the state in which a Affiliate Member resides expressly require the application of its laws, in which case the arbitration shall be held in the capital of that state. All parties shall be entitled to all discovery rights pursuant to the Federal Rules of Civil Procedure.
NO CLASS ACTION, OR OTHER REPRESENTATIVE ACTION OR PRIVATE ATTORNEY GENERAL ACTION OR JOINDER OR CONSOLIDATION OF ANY CLAIM WITH A CLAIM OF ANOTHER PERSON OR CLASS OF CLAIMANTS SHALL BE ALLOWABLE. AFFILIATE MEMBERS WAIVE ALL RIGHTS TO CLASS ACTION PARTICIPATION.
There shall be one arbitrator, an attorney at law, who shall have expertise in business law transactions, with a strong preference being an attorney knowledgeable in the direct selling industry, selected from the panel that the American Arbitration Panel provides. Each party to the arbitration shall be responsible for its own, costs and expenses of arbitration, including legal and filing fees. The decision of the arbitrator shall 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 arbitration shall survive any termination or expiration of the Agreement. Affiliate Members will keep all arbitration activities confidential.
Nothing in these Policies and Procedures shall prevent CN Marketing from applying to and obtaining from any court having jurisdiction a writ of attachment, a temporary injunction, preliminary injunction, permanent injunction or other relief available to safeguard and protect CN Marketing’s interest prior to, during or following the filing of any arbitration or other proceeding or pending the rendition of a decision or award in connection with any arbitration or other proceeding.
9.5 – Governing Law, Jurisdiction and Venue
The law of the State of California shall govern all other matters relating to or arising from the Agreement. Jurisdiction and venue shall be Sacramento County, State of California. The Federal Arbitration Act shall govern all matters relating to arbitration.
9.5.1 – Louisiana Residents: Notwithstanding the foregoing, Louisiana residents may bring an action against CN Marketing with jurisdiction and venue as provided by Louisiana law.
SECTION 10 – INACTIVITY AND CANCELLATION
10.1 – Effect of Cancellation
So long as an Affiliate Member remains active and complies with the terms of the Affiliate Member Agreement and these Policies and Procedures, CN Marketing shall pay commissions to such Affiliate Member in accordance with the Compensation Plan. An Affiliate Member’s bonuses and commissions constitute the entire consideration for the Affiliate Member’s efforts in generating sales and all activities related to generating sales (including building a Downline Organization). Following a Affiliate Member’s termination for inactivity, or voluntary or involuntary termination of his or her Affiliate Member Agreement (all of these methods are collectively referred to as “termination”), the former Affiliate Member shall have no right, title, claim or interest to the marketing organization that he or she operated, or any commission or bonus from the sales generated by the organization. An Affiliate Member whose business is terminated will lose all rights as an Affiliate Member. This includes the right to sell CN Marketing products and services and the right to receive future commissions, bonuses or other income resulting from the sales and other activities of an Affiliate Member’s former Downline sales organization. In the event of termination, Affiliate Members agree to waive all rights they may have, including but not limited to property rights, to their former Downline organization and to any bonuses, commissions or other remuneration derived from the sales and other activities of his or her former Downline organization.
Following a Affiliate Member’s termination of his or her Affiliate Member Agreement, the former Affiliate Member shall not hold himself or herself out as a CN Marketing Affiliate Member. A Affiliate Member whose Affiliate Member Agreement is terminated shall receive commissions and bonuses only for the last full pay period he or she was active prior to cancellation (less any amounts withheld during an investigation preceding an involuntary termination).
10.2 – Termination
An Affiliate Member has a right to cancel, at any time, regardless of reason. Termination must be submitted in writing to CN Marketing at its principal business address. The written notice must include the Affiliate Member’s signature, printed name, address and Affiliate Member ID number.
Affiliate Members who have resigned may re-apply to become an Affiliate Member with CN Marketing after 6 months of inactivity (per section 4.4.3).
A Affiliate Member’s position is subject to termination due to inactivity (i.e., merchant enrollments, no commissions, no sponsoring; and no attendance at any CN Marketing functions, participation in any other form of Affiliate Member activity, or operation of any other CN Marketing business) after being inactive for six (6) full calendar months.
A Affiliate Member’s violation of any of the terms of the Agreement, including any amendments that may be made by CN Marketing in its sole discretion, may result in any of the sanctions listed in Section 9.1, including the involuntary termination of his or her Affiliate Member Agreement.
Cancellation shall be effective on the date on which written notice is electronically mailed (email), mailed, faxed or delivered to an express courier to an Affiliate Member’s email address, last known address (or fax number), or to his or her attorney, or when an Affiliate Member receives actual notice of termination, whichever occurs first.
10.4 – Non-Renewal
An Affiliate Member may also voluntarily cancel his or her Affiliate Member Agreement by failing to maintain the Agreement annually. CN Marketing may also elect not to renew an Affiliate Member’s Agreement.
10.5 – Complete Agreement