Establishes penalties for certain actions relating to the operation of multi-level marketing companies.
This New Jersey bill (A3773) regulates multi-level marketing (MLM) companies to prevent deceptive practices. It prohibits recruiters from making false claims about income or company details, requires disclosure of potential recruiting profits, and bans misleading advertising (like unproven health claims or fake before/after images). The Division of Consumer Affairs must create a public web page about MLM risks and establish a complaint system. Companies violating the law face fines starting at $500 for first offenses (up to $50,000 for repeat violations), with penalties paid to fund future investigations. The bill directly affects MLM companies operating in New Jersey, not individual participants.
Bill status
in committee
1 of 4 stages cleared
Introduction
Feb 2024
Committee Review
Floor Vote
Governor
Introduced Feb 22, 2024
Last action Feb 22, 2024
Floor votes
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Full legislative history
Actions timeline
Total actions
1
Key actions
0
Committee
0
Feb 22, 2024
Introduced
Introduced in the Assembly, Referred to Assembly Financial Institutions and Insurance Committee
lower
2 primary · 0 co-sponsors
Sponsors
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