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  "documentTitle": "Herbalife, Ltd. (HLF)",
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  "authorName": "William Ackman",
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  "notes": "Includes a highlighted excerpt from a 2002 academic paper by Dr. Peter J. Vander Nat.",
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      "text": "In 2002, Dr. Peter J. Vander Nat, a senior economist at the FTC, defined a pyramid scheme:",
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      "text": "the organization is deemed a pyramid scheme if the participants obtain their monetary benefits primarily from recruitment rather than the sale of goods and services to consumers",
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      "text": "The FTC settlement orders reached in Equinox, Jewel-Way, and World Class Network may be viewed as a certain refinement of Webster v. Omnitrition (1996). The FTC settlements reflect the following position: If an organization sells goods or services to the public and the participants in the organization obtain monetary benefits from (1) recruiting new members and (2) selling the organization’s goods and services to consumers, the organization is deemed a pyramid scheme if the participants obtain their monetary benefits primarily from recruitment rather than the sale of goods and services to consumers (see order provisions and language in FTC v. World Class Network Inc. 1997; FTC v. JewelWay International Inc. 1997; FTC v. Equinox International Inc. 1999).",
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      "text": "If an organization sells goods or services to the public and the participants in the organization obtain monetary benefits from (1) recruiting new members and (2) selling the organization’s goods and services to consumers, the organization is deemed a pyramid scheme if the participants obtain their monetary benefits primarily from recruitment rather than the sale of goods and services to consumers — Dr. Peter J. Vander Nat, Senior Economist at the FTC",
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      "text": "Vander Nat, Peter J and Keep, William W.: (2002). Marketing Fraud: An approach for differentiating Multi-level Marketing from Pyramid schemes. Journal of Public Policy and Marketing. Vol 21-1, 139-151.",
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