Policies & Procedures REV RASS2/September 12 ,2007
From this point forward NHT Global Europe S.r.l. will be referred to as “NHT Global” or “Company” while NHT Global independent distributors will be referred to as “distributors”.
These Policies and Procedures govern the way in which distributors conduct business with NHT Global. These Policies and Procedures along with the Distributor Application and Agreement and the Compensation Plan (collectively referred to herein as the “Agreement”), such as may now exist or hereafter be emended, constitutes the complete and binding agreement and understanding between an independent NHT Global distributor and NHT Global. Failure to comply with the provisions of any of these documents may result in the termination of the Agreement.
Should any portion of the Agreement, or any instrument published by NHT Global be declared invalid in a court of jurisdiction, the balance of such rules, applications, or instrument shall remain in full force and effect.
Residence of Distributor. Only individual or legal entity which are EU (European Union) resident in are eligible to become NHT Global distributor.
Independent Contractor Status. The distributor is not and could not under any circumstances be considered as an employee and therefore will not be treated as an employee also for tax purposes.
All distributors are independent contractors engaged in their own separate business pursuits. Distributors are not to be considered purchasers of a franchise, nor does the Agreement between NHT Global and its distributors create an employer/employee relationship, agency, partnership or joint venture. Distributors are considered as retail salespeople working on commissions on a non continuous basis . Italian Distributors are not resellers. Italian residents should be appointed as “Incaricato” and allowed to make “door to door” sales in Italy. Non Italian residents shall simply occasionally procure sales but could not be appointed as “Incaricato” and are not allowed to make “door to door” sales in Italy. Distributors are strictly prohibited from stating or implying, whether orally or in writing that their relationship is any other than as outlined above. Each distributor shall hold harmless NHT Global from any claims, damages or liabilities arising out of the distributor’s business practices. Distributors have no authority to bind NHT Global to any obligation. Each distributor is encouraged to set up his/her own hours and to determine his/her own methods, as long as he/she complies with the terms of the Agreement.
Business Conduct. Distributors will perform all of their business activities in a professional and ethical manner, which will enhance the distributor’s reputation and the positive reputation of NHT Global. Distributors will not engage in any conduct which would negatively reflect on NHT Global or any other distributor’s image. Distributors will be courteous and respectful of every person contacted including employees and executives of the corporate office of NHT Global, and will conduct their distributor status in a way as to respect the products and professionalism of NHT Global and its other distributors. A distributor will under no circumstance disparage or infringe upon the NHT Global name or reputation in connection with the marketing of NHT Global products or misappropriate any confidential or proprietary information or trade secrets (including distributor name and address lists) for use by the distributor or others.
PRODUCT LIABILITY. NHT Global maintains product liability insurance on all of its products. However, NHT Global maintains that it is prudent and recommended that all distributors carry appropriate business liability insurance for their personal business practices.
NO PROTECTION FOR IMPROPER USE. An example of liability for improper use is a violation of the health claims restrictions or usage recommendations. NHT Global covers only those uses and purposes specifically set forth on the container or in NHT Global literature. A distributor who attempts to change or modify the label or packaging, who misrepresents the product or who makes claims other than those set for in NHT Global literature is depriving himself or herself of the protection afforded by NHT Global’s insurance.
No Purchase Required. No distributor is required to purchase any NHT Global products, services or programs.
Distributor Enrollment. NHT Global provides the following services to its distributors; a personalized marketing website that includes web hosting. NHT Global also provides a back office that enables the distributor to manage his/her business, view online tools and download marketing material, review the calculation and payment of commissions, and access past records of distributor purchases.
For the above mentioned services, fees will be charged depending on the enrollment option chosen by distributor as specified in the Compensation Plan.
Distributor Rights. All distributors are authorized to buy and to promote the sale of NHT Global products and to participate in the NHT Global Compensation Plan. All NHT Global. Distributors may sponsor new distributors.
Legal Age. Distributors must be of legal age in their country or state or residence to operate a NHT Global entity.
Married Couples. Each participant or legal entity is limited to one distributorship. Spouses may each have their own distributorship with NHT Global. Spouses must be in the same line of sponsorship and a spouse may not be associated directly or indirectly with distributor positions in other downline organizations. The action of one spouse will be attributed to both spouses.
Corporations, Partnerships and Trusts. Corporations, limited liability companies, partnerships and/or trusts may be come distributors ONLY when the completed Application and Agreement is accompanied by notarized copies of the incorporation, articles of incorporation, articles of organization, partnership agreement or trust document or other charter or organic documents as filed with the state or organization (where applicable).
To ensure compliance with this Agreement, distributors must disclose a complete list of all directors, officers and shareholders involved in the corporation. That document is to be faxed or emailed to the Support Department of NHT Global. Limited liability companies must disclose a complete list of all members, officers and managers. Partnerships must disclose all general and limited partners. Trusts must disclose the trustee(s) and beneficiary/beneficiaries. If any shareholder, partner, member or manager of a distributor is itself an entity, then the information required above for the distributor shall also be required for such shareholder, partner, member or manager.
Shareholders, members, partners, beneficiaries and trustees, directors and officers as applicable, agree to remain personally liable to NHT Global and bound by all Policies and Procedures. A form acknowledging such personal liability and signed by each person must be on file with NHT Global. In any distributor position involving the efforts of more than one individual, whether as a corporation, partnership or trust, the actions of one participant shall reflect on the distributorship as a whole. If one member is found to have violated the terms and conditions of the Policies and Procedures of NHT Global then the distributorship as a whole will be considered to be in violation.
Fictitious and/or Assumed Names. A person or entity may not apply for a distributorship using a fictitious or assumed name or use the identity of another person or entities that will not be associated with the distributorship. No one may enter a fiscal code number that was not assigned to the primary individual or entity on the distributorship.
VAT number. Distributor shall be required to provide NHT Global with his personal VAT number and a copy of his VAT registration certificate as soon as he:
Taxation. Distributors will be treated as independent contractors for Italian laws. Distributors are fully responsible for the observance of the laws in force. NHT Global is only responsible for tax and social contributions requirements regarding the distributors which are considered to be pertaining to NHT Global in accordance with the laws in force.
In accordance with the laws in force, NHT Global shall determine, withhold and pay withholding taxes and social contributions on commissions, bonuses, overrides and on all other considerations to be paid to the distributor by NHT Global.
Distributor is required to provide NHT Global with all the tax and social contributions information requested by NHT Global in order to determine his tax and social contribution correct position.
In case distributor does not provide NHT Global with the above requested information, NHT Global shall have the right to stop paying commissions to him/her and/or to suspend and/or terminate the Agreement.
Payment of commissions. Payment of commissions shall be effected on a weekly basis.
Invoicing. NHT Global is available to issue invoices for commissions on behalf of Distributors, when required by the law. Distributor must ask NHT Global to issue invoices on his behalf.
Legal Compliance. All distributors shall comply with all applicable laws and regulations and local ordinances and regulations concerning the operation of his/her business. All distributors are responsible for their own managerial decisions and expenditures, including all estimated income and self-employment taxes.. Since distributors are not NHT Global employees, NHT Global is not responsible for payment or co-payment of any employee benefits.
Distributor Personal Identification Number. NHT Global will issue a distributor Personal Identification Number (PIN) at the time of enrollment. The distributor PIN must be indicated on all correspondence with NHT Global, including paperwork for sponsoring, ordering products, requesting assistance, etc.
No Exclusive Territories. There are no exclusive territories for recruiting purposes, nor shall any distributor imply or state that he/she has any exclusive territory rights. There are no geographic limitations on distributor sponsoring except in those foreign countries that have not officially been opened by NHT Global.
Other Services and Products. Distributors are not restricted from selling the services and products of other companies however direct or indirect promotion of those products and services to NHT Global distributors is limited to those personally sponsored. A distributor found in violation of this rule risks the loss of buying privileges, possible suspension and/or termination of the Agreement and from participating in the NHT Global Compensation Plan, in addition to other remedies to which NHT Global may be entitled.
Crossline Recruiting. Recruiting others directly or indirectly whether through written, spoken or implied means from one (1) NHT Global distributor organization to another is strictly prohibited.
Representation of Government Endorsements. Federal and state regulatory agencies rarely approve or endorse direct selling programs or products. Therefore, distributors may not represent directly or indirectly that the NHT Global marketing program or products have been approved/reviewed/endorsed or otherwise backed by any governmental agency.
Medical Treatment, Approval and Therapy. Distributors understand that they will not say directly or indirectly that any NHT Global product is government approved, or discuss or suggest that any diagnosis, evaluation, prognosis, description, treatment, therapy, or management or remedy of illness, ailment or disease can be improved by consumption or application of the product. Distributors understand that NHT Global products are not offered, intended or considered as medicinal treatment of any disorder or disease, either mental or physical.
Sponsoring. Distributors are entitled to sponsor other distributors in Italy, Europe and other countries as officially opened by NHT Global into the NHT Global program. However, distributors are compensated only for the generation of sales of products, not for sponsoring new distributors into the program.
Sale/Transfer of Distributorship. A distributorship may be sold or transferred to a non-distributor only following a period of six (6) months in the name of the original distributor. A completed and notarized Sales/Transfer form is to be submitted to the Support Department. When such transfer/sales is approved and accepted any volume previously accumulated will be removed.
Multiple Applications. If one applicant submits multiple Applications and Agreement forms listing multiple sponsors, only the first completed form to be received by NHT Global will be accepted. NHT Global reserves the right, at its sole discretion, to make the final decision with respect to all such disputes.
Placement Changes/Corrections. Placement changes/corrections may be requested within a period of three (3) days from the date of enrollment. Such adjustments require written permission directed to the Support Department submitted from the personal back office of the sponsor as well as the distributor to be moved and in some cases the upline distributor.
Sponsor Correction. Sponsor changes are not permitted. However, sponsor correction can be made if they are reported to the Support Department within a period of three (3) business days. Sponsor corrections must be requested from the distributor back office of the current (original) sponsor, stating the reason that the correction needs to be made.
Acquisition of Business. A distributor desiring to acquire interests in another distributor’s business must first terminate his/her distributor status and wait a period of six (6) months from the date of resignation notice, before becoming eligible for such a purchase. All such transactions must be fully disclosed through the completion of a Sales/Transfer form submitted to NHT Global Support Department which is subject to approval by the Company.
Adding of Co-Applicants. When adding a co-applicant (either an individual or a business entity) to an existing distributorship, NHT Global requires both a written request and a properly executed Application and Agreement containing both the applicant and co-applicant’s Tax Code and VAT number and signatures. The original applicant must remain a party to the original Application and Agreement. If the original distributor wants to terminate his/her distributor relationship with NHT Global, he/she must do so in accordance to NHT Global policy. If this is not followed, the business shall be terminated upon withdrawal of the original distributor. All bonus and commission checks will be sent to the address of record on the distributorship. A co-applicant may not under any circumstance be party to any other distributorship. Note that the modification permitted within the scope of this paragraph does not include change in sponsorship.
Personal Information. Personal information such as the distributor back office password, the distributor’s address, telephone number, etc. will be treated as confidential and will not to be shared with any other person(s) outside of NHT Global, unless required by law. In the event of an emergency the inquiring party may contact NHT Global Support Department who will advise the distributor that someone is attempting to contact him/her. Personal data of distributors will be processed by NHT Global in compliance with D.Lgs. n. 196/2003 (the Privacy Code) for purposes relevant to fiscal, accounting and legal obligations, management of the relationship and of the Agreement (orders, shipments, invoices, solvency control, litigation, assistance, payment of commissions) and for purposes related to the commercial activity (marketing and advertising, analysis and marketing research, promotion, customers’ satisfaction, campaigns and similar, statistical data’s analysis). Data will be processed also by the implementation and management of central archives, using papery or automatic means or computers accessible only by a qualified and authorised staff. The giving of the personal data essential for the fulfillment of law and/or to the execution and/or carry-on of the Agreement is mandatory and any lack, partially or incorrectness in providing of such data may prevent NHT Global from performing the contractual or legal obligations. The giving of the other personal data is optional and generally it is useful to supply a better service; a refusal will not have any negative consequence. Distributor’s personal data could be transmitted to other companies of NHT Global’s group also outside EU territory for the same above mentioned purposes or to third parties specialized in: (i) software management, hardware management, automatic and computers systems; (ii) elaboration and recording systems; (iii) printing, mailing, despatching, transport and sorting of the communications to the customers; (iv) financing, debt collecting and financial risks’ analysis. Distributor can always exercise the rights of article 7 of Privacy Code. The Data Controller is NHT Global with registered office in Via dei Tigli 6/D Opera (Milano) Italy. By the access to the website www.nhtglobal.com or contacting the office it is possible to know the updated list of Data Processors. By completing [and signing] the Distributor Application and Agreement, distributor acknowledges the above said information and consents to the processing of his/her personal data, including their communication and transfer outside EU territory.
Training Requirement. Distributors are required to assure the adequate training of distributors they sponsor. “Adequate training” shall include, but not be limited to, education regarding the Policies and Procedures, Compensation Plan, product information, sound business practices, sales strategies, and ethical business behavior. A sponsor must maintain an ongoing, professional leadership association with distributors in his/her organization and must fulfill the obligation of performing a bonafide supervisory, sales or distributive function on the sale or delivery of product and services to the ultimate consumer.
Resignation. Any distributor may voluntarily resign his/her distributor status by failing to renew when required or by sending written notice to NHT Global to the attention of Support Department. Resignation is in effect upon receipt of such notice. A distributor who resigns his/her distributorship may not reapply either individually or with financial interests in any other distributor entity for a period of six (6) months from the date of resignation.
Suspension. NHT Global reserves the right to suspend any distributor position at any time for cause when it is determined that the distributor has violated the provisions of the Agreement, including the provisions of the Policies and Procedures as they might be amended or the provisions of the applicable laws and standards for fair dealing. Such involuntary suspension shall be made by NHT Global at its discretion. NHT Global will notify the distributor either by postal delivery or email sent to the latest address listed with NHT Global for the distributor. In the event of a suspension a distributor agrees to immediately cease representing himself/herself as a distributor for NHT Global.
During the investigation period of the suspension any commissions, overrides or bonuses, which may be due, will be held in abeyance by NHT Global pending resolution. Should the infraction be deemed unsubstantiated or the appeal evaluated and accepted by NHT Global, the suspension shall be lifted and any commissions, overrides or bonuses will be credited to the distributorship. During the applicable suspension period, NHT Global products and services may be purchased by the suspended distributor at distributor cost. However, the suspended distributor does not have the right to represent himself/herself as a distributor, promote his/her distributor business or the products during the applicable suspension period. In any instance where applicable law is inconsistent with, or requires additional or other action than set forth in the foregoing, such procedure shall automatically be amended to conform to compliance for the residents of that particular state.
In the event that a distributor is suspended for wrongdoing for a determined period of time he or she will not be entitled to earn commissions or overrides for the period of the suspension.
Termination. A distributor and relevant Agreement may be terminated for violating any of the terms of the Agreement. Notice of the termination, citing the reason(s) for the action, shall be provided in writing to the distributor and delivered either through postal delivery or email. Termination shall be effective as set forth therein, if a timely appeal is not provided by the distributor in accordance with the appeal procedure set for below.
Appeal. A suspended or terminated distributor may appeal the action by submitting a letter to the Compliance Department of NHT Global stating the grounds of appeal. (Note: No telephone calls will be accepted under any circumstances). The letter of appeal must be received by NHT Global within ten (10) business days from the date of the NHT Global notice or as instructed in the notification. If NHT Global has not received the letter of appeal by the deadline date, the involuntary suspension or termination shall automatically become final.
If a distributor files a timely appeal, NHT Global will, at its sole discretion, review and notify the distributor and the complaining party of its decision. The decision of NHT Global shall be final and will not be subject to further review.
If the appeal is denied based upon the documentation and evidence presented against the distributor, the suspension or termination shall remain in effect as of the date of NHT Global original notice.
Succession. Notwithstanding any other provisions of this section, upon the death of a distributor, the distributor entity shall pass to his/her successor in interest as provided by law, provided that the successor in interest has submitted a completed Sales/Transfer form to NHT Global Support Department together with certified copies of the death certificate and will, trust or other instrument. The successor shall thereafter be entitled to all the rights and subject to all the obligations as any other distributor. In addition, the successor-in-interest must be of legal age in his/her country of residence.
Divorce or Dissolution. During the pendency of divorce or entity dissolution, both parties must adopt one of the following methods of operation:
Similarly, under no circumstances will NHT Global split commissions and bonus checks between divorcing spouses or members of dissolving entities. NHT Global will recognize only one (1) downline organization and will issue only one (1) commission check per NHT Global business per commission cycle. Commission checks shall always be issued to the same individual or entity. In the event that parties of a divorce or dissolution proceedings are unable to resolve a dispute over the disposition of commissions and ownership of the business, the Agreement shall be involuntarily cancelled.
If a former spouse or former entity affiliate has completely relinquished all rights to his/her original NHT Global business he/she is therefore free to enroll under any sponsor of his/her choosing, so long as he/she meets the waiting period set forth by NHT Global. In such case, however, the former spouse or party shall have no rights to any distributor in his/her organization or any former distributor.
Confidentiality Agreement. Distributors may gain access to confidential information through the NHT Global website. Specifically, without limiting the foregoing, the information contained in any genealogical or downline report provided or accessible to a distributor by NHT Global is proprietary and confidential belonging to and owned by NHT Global, and is transmitted or available to the distributor in strict confidence. The distributor agrees that he/she will not disclose any such confidential or proprietary information to any third party directly or indirectly, or use the information to compete with NHT Global. This information is to be used only for the promotion of the NHT Global program. The distributor and NHT Global agree that, but for this agreement of confidentiality and non-disclosure, NHT Global would not provide the information or make it accessible to the distributor. Any distributor who is found, or reported to be in violation of this rule, may not only risk loss of buying privileges, but possible suspension from participating in the Compensation Plan, termination of the Agreement and NHT Global may seek injunctive relief and/or remedy for damages to the fullest extent that the law allows. It is agreed that this provision shall survive the termination or expiration of this Agreement.
Product Testimonials. Any distributor is encouraged to share his/.her excitement as the result of product consumption and use. NHT Global reserves the right to use statements and photographs voluntarily submitted to its Support Department from distributors and customers in its promotional material without any financial or other compensation. Upon signing the Agreement, each distributor agrees to release his/her testimony by NHT Global.
Non-Solicitation. During the term hereof and for a period of five (5) years after the termination or expiration of the relationship between a distributor and NHT Global, for any reason whatsoever, the distributor shall not on his/her own behalf or any other person, partnership, association, corporation or other entity, hire or solicit any employee, other distributor, customer, manufacturer, or supplier of NHT Global or any of its affiliates, or in any manner attempt to influence or induce any employee, other distributor, customer, manufacturer or supplier of NHT Global or any of its affiliates, to alter their employment or business relationship with NHT Global or its affiliates nor shall any distributor use or disclose to any person any information of NHT Global obtained while the Agreement was in effect concerning names and addresses of NHT Global or any of its affiliates, employees or distributors. It is agreed that this provision shall survive the termination or expiration of the Agreement.
Non-Competition. During the term of the Agreement, each distributor agrees not to compete with the protectable business interests of NHT Global by selling or promoting other product or opportunities competing with NHT Global products and services (with respect to the sale or promotion of non-competing services or products see the limitation detailed under Other Services and Products). The distributor acknowledges and recognizes these restrictions are necessary for NHT Global to protect its valuable interests and agrees that any injunction and/or other remedy is necessary and appropriate for NHT Global to protect such interests.
Vendor Confidentiality. NHT Global business relationship with its vendors, manufacturers and suppliers are confidential. A distributor shall not contact, directly or indirectly, speak to, or communicate with any representative or any supplier, manufacturer, or vendor except at a NHT Global sponsored event at which the representative is present at the request of NHT Global. Violation of this regulation may result in the termination of distributor benefits and possible claims for damages of the vendor/manufacturer/supplier relationship is compromised by the distributor contact.
Trademark. The name of NHT Global, and the name of all the NHT Global products, services and programs are the trademark of and owned by NHT Global. Only NHT Global is authorized to produce and market products and literature under these trademarks. This includes but is not limited to slides, overheads, brochures, videos, domain addresses, email addresses, and other training and/or marketing materials and all promotional materials such as but not limited to t-shirts, caps, pins, magnetic signs, etc. Use of the NHT Global name on any item not produced or authorized by NHT Global is prohibited, except in the manner described below:
Mary Jones
NHT Global Independent Distributor
OR
NHT Global Independent Contractor
Note: No other variation may be used to describe the distributor’s association with NHT Global.
Yellow and White Page Listings. Distributors are not permitted to use the NHT Global trade name in advertising their telephone and fax numbers in the white or yellow page section of the telephone book or on the Internet telephone directory without identifying themselves as independent distributor or independent contractors.
“Toll Free” Telephone Number Listings. NHT Global distributors are not permitted to list their “toll free” telephone numbers under the NHT Global trade name without first submitting a request to the Support Department for approval. If approval is obtained for a toll free listing, it must be stated in the following manner:
John Jones
NHT Global Independent Distributor
OR
John Jones
NHT Global Independent Contractor
Please note: No other variation may be used to describe the distributor’s association with NHT Global.
Imprinted Checks. NHT Global distributors are not permitted to use the NHT Global trade name or any of its trademarks on their business or personal checking accounts.
Imprinted Business Cards or Letterheads. NHT Global independent distributors are not permitted to create their own business cards or letterhead graphics of the NHT Global name and/or trademark. Only approved NHT Global versions and wording are permitted.
Company Literature. Only official NHT Global literature may be used in presenting NHT Global products and/or the NHT Global Compensation Plan. Company literature may not be duplicated or reprinted without prior written permission from NHT Global which may be obtained through email communication, mail or fax directed to the Compliance Department. Banners, trade show materials, and other related promotional material, must be approved in advance and in writing by NHT Global. Items on the Corporate website and the replicating distributor website may be downloaded for promotional purposes.
Advertising. Only Company approved materials may be used in the placement of any advertising in any print, radio, television, Internet, electronic or other media. No person shall use the NHT Global name, logos, trademarks or copyrighted material in any advertising nor produced by NHT Global or without express written permission from the Compliance Department of NHT Global. For approval, mail, fax or email a copy of the proposed advertising material to the Support Department or the Compliance Department. Include a description of the placement (publication, month, year, etc). NHT Global will email, mail or fax edits/approvals with an approval code. Approval codes must be visible on the lower right hand side of any approved material. Once approval is obtained, no text may be amended or changed. If any change is made whatsoever, the material must be re-presented for approval. Allow approximately forty-eight (48) hours from receipt for processing.
Internet and Website Policy. Distributors wishing to advertise on the Internet must fully comply with the Policies and Procedures and any Internet advertising is subject to prior written approval by the Compliance Department which, in its sole discretion may disallow any advertising material for any reason, including without limitation, any material published or sought to be published on the Internet.
The following statements must be included in each distributor’s website:
Domain Names. Distributors may not use or attempt to register any NHT Global trade names, trademarks, service marks, product names, the Company name or any derivative thereof, for any Internet domain name.
E-Mail and Newsgroup Marketing. Distributors emailing or employing other services to email unsolicited and unapproved email flyers are fully responsible for all information regarding the product and marketing program which is not expressly contained in advertising and promotional material supplied directly by NHT Global. “Spamming” as well as telephoning or faxing without consent in compliance with various laws is strictly prohibited. Any and all information representing NHT Global or its products other than which is provided by the NHT Global must be approved in writing by NHT Global.
Auction Sales. Distributors may not sell or promote NHT Global products via live, silent, Internet or any other type of auctions even if offered at the Company’s suggested retail price.
Trade Shows. With written authorization from NHT Global, Company products and opportunity may be displayed at trade shows by distributors. Request for participation in trade shows must be received in writing by NHT Global at least two (2) weeks prior to the show. Written authorization from NHT Global must be received before participating in such events. Company products and opportunity are the only products and opportunity that may be offered in the trade show booth. Only Company approved marketing materials may be displayed or distributed.
Income Claims. Distributors may not display in any manner for recruiting purposes or any other reason commission checks or make specific income claims or representations.
Media Interviews. Distributors are prohibited from granting radio, television, newspaper, tabloid or magazine interviews or using public appearances, public engagements, or making any type of statement to the public media to publicize NHT Global, its products or their individual NHT Global business without express, prior written approval from NHT Global which can reasonably be withheld. All media contacts are inquiries must be coordinated through NHT Global and must contain a complete description of the interview format and venue.
Endorsements. No endorsements by any NHT Global officers or administrators or third parties may be alleged, except as expressly communicated in NHT Global literature and communications.
Independent Communications. Distributors as independent contractors are encouraged to distribute information and direction to their respective downline organizations. NHT Global encourages the prudent distribution of newsletters, training manuals and workshops, and other organizations programs. However, distributors must identify and distinguish between personal communication and the official communication of NHT Global and must comply with these policies.
Distributor Training. Distributors are responsible for participation in the training of the distributors they sponsor. Training assistance is provided in NHT Global literature and in additional training tools as well as on the Internet. Further, distributors may attend local and regional training workshops for distributors.
Distributor Services. NHT Global provides every distributor who generates any income as a NHT Global distributor with management and training communications, timely delivery of products and sales materials, and access on the Internet to reports of sales made by their sales organization for the calendar period in which commissions and overrides are earned and paid.
Re-Packaging Prohibited. The repackaging of NHT Global products for resale is strictly prohibited under any circumstance.
Recordings. Distributors shall not produce or reproduce NHT Global produced audio or video taped materials detailing the NHT Global opportunity or products. Distributors shall not audiotape any NHT Global function.
Telephone Answering. Distributors may not answer the telephone or create recordings saying “NHT Global” or in any manner which could lead the caller to believe that he or she has reached the Corporate Offices of NHT Global.
Liability. Violation of any of the Policies & Procedures may be grounds for suspension and/or termination of that individual’s distributorship. The violator also may be subject to civil or criminal liability resulting from violation of the Application and Agreement of Distributorship, the Code of Professional Ethics, the Policies and Procedures of NHT Global, or law. Additionally, NHT Global may withhold payment to any NHT Global distributor in an effort to offset any damages suffered by NHT Global as a result of a distributor’s violation of the Application and Agreement of Distributorship, the Code of Professional Ethics, the Policies and Procedures of NHT Global, or law.
Distributor Application and Agreement. Bonuses and overrides cannot be paid until a completed Distributor Application and Agreement has been received and accepted by NHT Global through the Internet. Bonuses are paid ONLY on the sale of NHT Global products. No bonuses are paid on the purchase of any sales materials, sales aids or for the recruitment of distributors.
Commission Checks. The minimum amount of payment of commissions checks is € [__] (____ Euro) or as mandated in any foreign country. If the earned amount is less than that amount, it will be accumulated until such time that the amount exceeds € [__] (____ Euro).
No Purchase Required to Become a NHT Global Distributor. No product purchase is required to become a NHT Global distributor. / NHT Global distributors are entitled to purchase products from NHT Global at a discounted price.
Stockpiling Prohibited. The success of NHT Global depends upon retail sales to the ultimate consumer; therefore, all forms of stockpiling are discouraged. NHT Global recognizes that distributors may wish to purchase certain products in reasonable quantities for their own use, and for the purpose of provisioning new distributors as they are sponsored. However, NHT Global strictly prohibits the purchase of products solely in an attempt to qualify for advancement in the Compensation Plan.
Back Order. Should any product or sales material be unavailable for any period of time, NHT Global distributors will be given the option of placing the order and waiting for availability or canceling the order with full reimbursement without penalties until those items are ready for shipping.
Shipping Address. NHT Global will only accept street addresses for shipping purposes. Orders are shipped by TNT in order that they may be tracked and, if necessary replaced in a timely manner. Post office boxes are accepted for the mailing of commission checks only.
Direct Purchase. NHT Global distributors may purchase product needs directly from NHT Global. In the event that a distributor obtains product from his/her sponsor or upline distributor, and a replacement product is not placed through NHT Global, the commissions associated with the purchase will be attributed to the sponsor or upline.
Note: NHT Global distributors in good standing may personally place orders through the NHT Global website purchased at distributor cost using their own PIN (personal identification number).
Credit Card Purchases. Credit card purchases may only be made by the individual whose name and address are on the credit card. Any distributor who uses another individual’s credit card to pay for purchases risks having his/her distributorship placed on suspension pending investigation and resolution of any complaints regarding unauthorized charges. NHT Global considers such transactions fraudulent and will report them to the proper authorities for settlement.
Under no circumstance will any distributor charge back any credit card purchases. Any distributor who does so will immediately lose all credit card ordering privileges until the charges are replaced with certified funds. If an erroneous charge is applied to a distributor’s credit card, the distributor should immediately contact the Support Department of NHT Global to initiate an investigation and resolution.
Commission Adjustments. Any upline distributor affected by returned products to NHT Global will accordingly be subject to adjustments in his/or her commissions, overrides and bonus accounts, personal volume, etc. based upon all commissions and bonuses paid on the returned product.
Bonus Buying. Bonus buying includes (1) the enrollment of an individual or entity as a NHT Global distributor without the knowledge of and/or execution of a Distributor Agreement by such individual or entity, (2) the fraudulent enrollment of an individual or entity as a distributor; (3) the enrollment or attempted enrollment of non-existent individuals or entities as distributors (phantoms), or (4) the use of a credit card on behalf of a distributor when the distributor is not the account holder of such a credit card. Bonus buying constitutes a material breach of these Policies and Procedures, and is strictly prohibited.
Payment Options. Purchases may be paid by money order, cashier’s check, or any applicable credit card.
Shipping Costs. It is the ordering distributor’s sole responsibility to indicate (a) method and means of shipping, and (b) destination address. The methods available are stated on each order form and on the NHT Global website along with prepaid costs. Shipping costs will be automatically calculated.
The method of shipping packages will be determined by NHT Global based upon various factors such as weight and destination unless there are specific shipping instructions made by the distributor.
Note: Should the receiving party of an order shipped from NHT Global refuse delivery and the shipment is then returned to NHT Global, the ordering distributor’s status will be made ‘inactive’ pending resolution of the delivery refusal. Return delivery charges will be deducted from the distributor’s account.
Returned Packages. In the event that a package is returned due to a distributor’s error or if the package was not picked up in a timely manner and therefore returned, NHT Global will charge the distributor a re-shipping fee.
Timely Product and Material Delivery. Upon clearance of payment, NHT Global processes for shipment the product(s) and material(s) selected. If an item is temporarily unavailable due to high demand the consignee will be notified by way of the packing slip included with the shipment. Should a back order occur, the item(s) will be shipped as soon as available, usually within ten (10) days of the date the original order and payment were received.
Special Orders. NHT Global will not ‘hold” orders or delay shipments of products that have been processed. Once payment has been received, all orders must be released for shipping.
Damaged Goods. The shipping company is responsible for damage, which occurs after it takes physical custody of the goods. A distributor who receives damaged goods should follow this procedure:
Short Shipments. NHT Global takes pride in fulfilling orders in an accurate and timely manner however, in those rare instances where they may occur, a correction will be handled quickly to avoid further delay to the recipient. Any distributor is provided with a period of five (5) business days following receipt of shipment to report any shortages. Once notified and verified, NHT Global will ship missing items to the address on the original order.
Price Changes. All NHT Global products and literature prices are subject to change without prior notice.
Retail Pricing. Distributor is not permitted to advertise any price below NHT Global retail price. This includes but is not limited to ‘free’ products or any other special pricing that would fall below the retail price. No NHT Global product may be offered along with the products of any other company.
Retail Sales. Distributors who order through the Internet for themselves or for retail customers will receive email confirmation of acceptance and shipping in addition to the packing slip, which will be inside the package.
Retail Stores. NHT Global is a direct sales company. Our success is based upon selling directly through our distributors (one-on-one) to the consumer, in a personal and caring manner. In order to maintain this personal contact with our customers and to provide equal opportunity to all distributors to sell NHT Global products to consumers, NHT Global places certain restrictions on the sales of its products to or through commercial establishments.
No distribution of products is permitted through stores unless the prior written approval is given by NHT Global.
NHT Global will be the sole judge of whether a commercial enterprise violates the policies, spirit or intent of its guidelines and reserves the right to modify, amend or rescind its approval as current business conditions may dictate.
Consignment. In order to protect the NHT Global business and the integrity of the Company, NHT Global products may not be delivered to another party on consignment. Only authorized NHT Global distributors may sell NHT Global products to an outside party.
NHT Global will not ship products on consignment to any NHT Global distributor.
Inactive Distributor Positions. Any distributor position that has not been activated within a period of 14 (fourteen) days from the enrollment date with paid product order(s) and/or back office service will be considered voluntarily resigned and will not be eligible for reinstatement at a later date. In addition, inactive positions, showing no orders with BV and no back office service will be terminated by NHT Global after 90 (ninety) days from the inactive date.
Retail Customer Returns. NHT Global offers a 30 (thirty) day 100% (one hundred percent) unconditional money back guarantee on products to all retail customers. Every NHT Global distributor is bound by his/her Agreement and the Policies and Procedures to honor this guarantee. Prior to the completion of any retail sale a distributor must make a disclosure of the right to cancel, which, in any event, is provided for in NHT Global order forms and literature. If a retail customer is dissatisfied with any NHT Global product for any reason, then the retail customer may return the unused portion of the product, subject to term and conditions specified in the order form, within 30 (thirty) days for either a replacement, exchange for another product or a full refund of the purchase price of the product.
Return Product Authorization. Before any product may be returned to NHT Global, whether it is a shipping error, retail customer return, damaged products or resignation, the distributor must contact the NHT Global Support Department either by fax, postal delivery or email to obtain a Return Merchandise Authorization Number (RMA). Any package received without such identification clearly visible on the package exterior will be refused.
Quality Control (QC). NHT Global will replace, within the mandatory time limits provided for by the applicable law, any product found to be defective. However, no product(s) should be returned to NHT Global prior to the approval to do so from the Support Department wither through telephone, fax or email request. In order to assure that replacement product will be issued, strict compliance to the following procedure is required:
Resignation Returns. If the distributor has purchased products while the Agreement was in effect, all product in a CURRENT, REUSABLE AND RESALABLE condition could be returned by the distributor within 30 days from the date of termination of the Agreement for whatever reason, and, subject to such return, NHT Global shall refund to distributor not less than 90% (ninety percent) of the original net cost minus commissions paid to the distributor. Note: Can only offset commissions earned as a result of the product return. Any such requests will be considered as the resignation of the distributorship.
Should the distributor resign by sending written notice to NHT Global within ten (10) working days from the signing of the Distributor Application and Agreement, distributor at his/her own costs shall have to return intact and in good conditions all products and materials purchased and/or received by the Company and subject to such return the Company shall refund to distributor all amounts paid.
In the event that inventory is returned that does not meet the above conditions for return, such merchandise will be held for a period of thirty (30) days during which time the distributor has the right to request return of those items,. Distributors will pay for all shipping charges. Should this request not be received by the Support Department of NHT Global in the time period noted above, NHT Global will reserve the right to destroy such inventory without further compensation to the distributor who submitted it for review. In order to ensure that a refund issued in a timely manner the following steps should be followed:
A written request must be submitted, either by fax or email to NHT Support Department, clearly citing the reason for the resignation and for the return of product and/or sales materials.
Refunds will be issued in the same manner that payment was received. This means that if a credit card was used initially, that same card will be issued the reimbursement.
Unauthorized Returns. Should a distributor refuse delivery of any NHT Global shipment or request to return any previously purchased product for refund, such a request will be deemed as a voluntary resignation.
Exchanges. NHT Global will not accept product exchanges from distributors.
Record Keeping. NHT Global encourages all of its distributors to maintain complete and accurate records of their business transactions. NHT Global may exercise its option to request records relating to retail sales or other matters as described herein or as required by applicable law.
Amendments. In order to maintain a viable Marketing Program in changing economic conditions and/or to comply with changes to federal, state or local laws, NTH Global at its discretion reserves the right to amend the Policies and Procedures as set forth therein, its distributor prices or suggested retail prices, product availability and formulations, and Compensation Plan, as it deems appropriate without prior notice. Such Policies and Procedures and Compensation Plan modifications and all changes thereto, shall become a binding part of the Agreement upon publication on the official NHT Global website. It is the distributor’s responsibility to stay abreast of current and updated information and NHT Global is in no way liable for any distributor’s ignorance of the correct and current information if he or she fails to do so. In the event of any conflict between the Agreement and any such amendment, the amendment shall control. If Company brochure, product catalogs, price lists, literature, website, fax on demand information, etc. are revised; only the most current version is authorized for use by NHT Global distributors.
Non-Waiver Provisions. No failure of NHT Global to exercise any power under these Policies and Procedures or to insist on strict compliance by a distributor with any obligation or provision herein, and no custom or practice of the parties at variance with these Policies and Procedures, shall constitute a waiver of NHT Global right to demand exact compliance with these Policies and Procedures. Waiver by NHT Global can be affected only in writing by an authorized officer of NHT Global.
NHT Global’s waiver of any particular default by a distributor shall not affect or impair NHT Global’s right with respect to any subsequent default, nor shall it affect in any way the right or obligation of any other distributor, nor shall any delay or omission by NHT Global to exercise any right arising from default affect or impair NHT Global right as to that or any subsequent default.
Reporting Policy Violations. Distributors observing a policy violation by another distributor should submit a written report of the violation to the Compliance Department of NHT Global either through fax, mail or email. Such documents must bear the writer’s signature and distributor identification number. Anonymous complaints will not be accepted. Note: No telephone calls will be accepted with such matters as documentation must be presented in writing, both from the complaining parties and ultimately from the individual(s) cited for policy violation. Details of the incident such as dates, number of occurrences, persons involved, witnesses and any other supporting documentation should be included in the report.
Governing Law. The Agreement shall be governed by and construed in accordance with Italian substantive laws.
Arbitration. All disputes and claims relating to NHT Global, the Agreement, or its products, the rights and obligations of a distributor of NHT Global, or any claims or causes of actions relating to the performance of either a distributor or NHT Global under the Agreement, and/or a distributor’s purchase of products shall be settled totally and finally by arbitration under the Rules of Arbitration of the “Camera Arbitrale Nazionale ed Internazionale di Milano” by three (3) arbitrators, who shall be appointed and be operating in accordance with said Rules. The arbitrators shall apply Italian substantive law and shall render their award “secondo diritto”. The venue of the arbitration shall be Milan, Italy. All proceedings of the arbitration, including arguments and briefs, shall be conducted in Italian and governed (to the extent not provided for by the above mentioned Rules of Arbitration) by Italian procedural rules applicable to international arbitration.. 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 for arbitration shall survive any termination or expiration of the Agreement.
Notwithstanding the foregoing, the arbitration shall have no jurisdiction over disputes relating to the ownership, validity or registration or any mark of other intellectual property or proprietary confidential information of NHT Global without NHT Global’s written consent. NHT Global may seek any applicable remedy in any applicable forum with respect to these disputes and with respect to money owing to NHT Global. In addition to monetary damages, NHT Global may obtain injunctive relief against a distributor in violation of the Agreement, and for any violation of misuses of NHT Global trademark, copyright or confidential information policies.
Nothing in this rule shall prevent either party from applying to and obtaining from any court having jurisdiction a writ of attachment, a temporary injunction, preliminary injunction and/or other injunction during or following any arbitration or other proceeding or pending the handling of a decision awarded in connection with any arbitration or other proceedings
The existence of any claim or cause of action of a distributor against NHT Global, whether predicated on the Agreement or otherwise, shall not constitute a defense to NHT Global enforcement of the covenants and agreements contained in the Agreement.
Entire Agreement. This Agreement (comprised of these Policies and Procedures, the Distributor Application and Agreement and the Compensation Plan) as may exist or hereafter be amended, constitutes the entire agreement of the parties regarding their relationship, the subject matter hereof and related hereto. In the event of any conflict among provisions of Policies and Procedures, Distributor Application and Agreement and Compensation Plan, the provisions of the Distributor Application and Agreement shall prevail and control.
Severability. If under any applicable and binding law or rule of any applicable jurisdiction, any provision of the Agreement, including these Policies and Procedures, or any specification, standard or operating procedure which NHT Global has prescribed is held to be invalid or unenforceable, NHT Global shall have the right to modify the invalid or unenforceable provision, specification, standard operating procedure or any portion thereof to the extent required to be valid and enforceable. A distributor shall be bound by any such modification. The modification will be effective in the jurisdiction on which it is required.
Limitation of Damages. To the extent allowed by law, NHT Global and its affiliates, officers, directors, employees and other distributors shall not be liable for and each Distributor hereby releases the foregoing from, and waives any claim for loss of profit, incidental, special, consequential or exemplary damages, which may arise out of any claim whatsoever relating to NHT Global’s performance, non-performance, act or omission with respect to the business relationship or other matter between the Distributor and NHT Global whether in contract, tort or strict liability. Furthermore, it is agreed that any damage to the Distributor, save for the case of fraud or gross negligence, shall not exceed and is hereby expressly limited to, the amount of unsold NHT Global product owned by the Distributor, which was directly purchased thereby from NHT Global and any commissions or bonuses due.
Last update: Posted Oct 27, 2007 v81306