Multi-Level Marketing Company Threatens Blogger Who Writes Critical Post

from the just-because-you-don't-like-it,-doesn't-mean-it's-illegal dept

Over and over and over again, we hear stories of companies that simply dislike what others are saying about them online, and send over threatening legal letters with no legal basis. These cease-and-desist letters are mostly designed to scare users into giving in, because there's no law against someone criticizing you or saying something bad about you (assuming it's not untrue). The latest, sent in by Davis Freeberg involves the Everyday Finance blog. The blogger there was approached by a company called "Shop to Earn," which offers a multi-level marketing (MLM) system. The blogger wrote a post about it, which Davis Freeberg describes as "well balanced," though the blogger explained the weaknesses of the system and why he chose not to participate.

So what happens? Yes, of course, Shop to Earn got upset and sent Everyday Finance a legal nasty-gram demanding the posts get taken down. As Everyday Finance notes, it's likely this had something to do with the fact that the posts had made it up the Google search results list. The blogger at Everyday Finance tried to adjust the post, taking out things like the phrase "fatal flaw," but Shop to Earn said that wasn't good enough and Everyday Finance needed to take down the entire site. This is, quite clearly, bullying through cease-and-desist. It's about trying to shut up a negative review of their business model because they didn't like what it said.

And, it appears that Shop to Earn isn't just focused on the blogger at Everyday Finance. The company has also sent cease-and-desist letters to other blogs, which were also extremely critical of Shop to Earn's program (though, that link is also quite well-balanced, pointing out the key flaws to Shop to Earn's program). Apparently, Shop to Earn seems to think that any review of its program that is negative is somehow libelous, and will threaten bloggers with legal action. What it may quickly learn is that (a) someone giving you a negative review and pointing out the obvious flaws of your program is not defamation and (b) trying to threaten bloggers into taking down their site will simply call much more attention to all of those negative reviews.
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Filed Under: cease and desist, defamation, everyday finance, mlm, multi-level marketing, streisand effect
Companies: shop to earn

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  1. identicon
    S J P, 19 Sep 2008 @ 12:47pm and ponzi fraud

    Wow, I was researching and (plus all the other names they used) for my business law degree and they are truly awful.

    Have the leaders finally been indited? They will be facing long terms for:

    Not correctly registered as a company internationally.

    Operating illegally, without licence, when banned from Gibraltar.

    Using proceeds of crimes (previous failed companies) to set up these companies.

    Not declearing their true business model when opening up in various states. (there are 26 US states that would not allow them anyway) but bet they have been daft enough.

    Money laundering charges, both in the past and currently.

    Fraudulant advertising claims.

    Mr Fitzpatrick and Mr Singh, both in violation of their disqualified directorship bans in the UK.

    No business address on the websites.

    Plus numerous vilaltions of pyramid selling laws, despite how they try to dress it up (deceipt)

    Finally our government seems to be acting strongly against pyramid / ponzi scams and other white collar crime in general.

    Were they arrested in UK? Should not be a problem with current extradition treaties.

    I will try to find out more, we have spoken to many victims worldwide and there are many more, but most are too embarressed to admit they were brainwashed and conned.

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