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The Mary Kay Reseller Lawsuit

I am going to give a MK supporter equal consideration or time about the Mary Kay reseller lawsuit.

A former MK distributor, frustrated about the lack of internet selling, decided to set up an opportunity allowing MKer's with excess inventory to sell their inventory to them, and they would resell -primarily through eBay.

MK has sued the reseller.

Without further ado, let's hear the MK side.

Liquidators--Let's Discuss: "

We have been discussing 'THE LAWSUIT' on the previous topic and, of course, it is being discussed on other sites as well.  One of our loyal readers and I have corresponded off the blog a big, and realized that 'THE LAWSUIT' brings up a myriad of issues. 

I'm not sure if she wants to be identified so until she tells me it is okay, I won't do it, but she whipped up a list of the first ones that came to her mind, which are right in line with my thinking as well.  Since I am a bit pressed for time, she has graciously allowed me to copy her writings.

I would love discussion on this, both by MKers and those that are not in MK (whether former or never).

The initial conversation revolved around the fact that Touch of Pink ('TOP') has old product listed on their site for sale.  Now that in itself is not terrible, but also listed is product that Mary Kay Corporate recalled.  Does anyone remember the lip wands that developed a mold problem?  Corporate recalled these and replaced any that had been purchased.  TOP has these listed for sale.  The average Connie Customer does not know that these wands had a problem, nor does she know that the company recalled them.   If she purchases one, gets sick or disfigured, what kind of liability does Mary Kay corporate have?  This type of discussion is what led the the following list of issues as well as the understanding of why MK had to pursue this legal action.

1.  What is a consultant to do with old inventory or inventory that is about to reach its expiration date? 

2.  As recruiters/directors, what obligation do we have to our team members who are looking to get out of MK to help them liquidate?  What steps can we take?  Especialy if they're not returning our calls/emails/letters?

3.  What should we do when we receive emails from other consultants asking for products that were discontinued so long ago that they'd easily be expired now?

4.  Should we actively email MKC every instance of seeing product sold on eBay, at garage sales, etc?

5.  How should we handle it when a client comes to us to return product that is (a) expired and/or (b) they didn't buy from us?  How can we send them to 1-800-marykay without alienating them?

6.  What is our response to clients who ask about this lawsuit or PT or other negative sites or buying on eBay?

7.  What should we do if we have sold product to a liquidator?   Should a consultant call MKC and confess?  Would the punishment be less? 

I also commented that I didn't know if TOP had a return policy.  They do.  It is listed below.

TOP does offer a 30 day return policy.  Here it is:

Return Policy:

Your complete satisfaction is our top priority. If an item
you ordered from us does not meet your expectations, simply
return it by mail within 30 days of receiving it. 

No refunds will be issued on returns received after 30 days
from the purchase date. No exceptions!

We will refund your credit card for the original purchase price
or exchange the item for you.

Exchange Policy:

If you need to exchange a product, please return it
to the address below within 30 days of purchase.
Please include a note with your exchange including what you'd like to exchange,
your full name and the email address you used with your order
so we can look up your order to reship your exchange to you.

To Return Merchandise:
Simply place the item and original paperwork securely in a package and mail to:

This is quite different from corporate's return policy and I can see that Connie Customer might, after the 30 days, turn to a local consultant and try to return, exchange or get a refund, which leads back to the question above.

I have a few thoughts on all of these issues, but would love to hear from you first.

"

(Via mary-kay « WordPress.com Tag Feed.)

Now, I have a number of observations to make here - but why don't you jump in first?

Full post as published by Misleading Advertising Law on May 16, 2008 (boomark / email).