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Multipure Independent Distributor

Terms & Conditions

Subject to the terms and conditions set forth herein applicant hereby applies for Distributorship to Multipure International and agrees to read as soon as possible the guidelines and policies set forth in the Distributor Handbook and agrees to follow same.

 

1.The individual named in this agreement (hereinafter called Distributor) agrees to use his/her best efforts to promote the sale of Multipure International (herinafter called MPI) products in a manner favorable to Distributor and MPI.

 

2. Distributor serves as an independent contractor and as such is responsible for their own business; therefore, Distributor will pay all costs of marketing and distributing MPI products and agrees to hold MPI harmless from all costs.

 

3. Distributor's rights and responsibilities will be determined by the Distributor Handbook, website and other MPI publications. It is understood and agreed that the Company has the right to alter, modify or change the terms and conditions of this Agreement, including such items as discount level and commission provisions, at any time upon thirty (30) days prior written notice of such changes. Written notice of such alteration, modification or change may be given by the Company to the Independent Distributor by regular mail, email, or by posting a notice on the Company's Web site. The Independent Distributor is bound by such altered, modified or changed terms and conditions as reflected in the most current Independent Distributor Agreement, or as altered, modified or changed, from time to time as permitted herein. No oral modifications, additions, deletions or exceptions to the Independent Distributor Agreement are permitted.

 

4. Distributor neither has to make a financial investment nor maintain an inventory. To become a Distributor of Multipure International a person must pay the Independent Distributorship Fee and agree to abide by both the Distributor Handbook provisions and the provisions of this Agreement. Multipure recommends that each Distributor purchase their own drinking water system and consider having some systems on hand for immediate sales.

  a. Distributor is entitled to a 100% refund of the purchase price of Starter Kit tools and Multipure products within 30 days of enrollment
       as a Multipure Independent Distributor.
       i. Refund will be credited upon the return of the products and sales materials included in the Starter Kit.
       ii. Returned products and sales materials must be unopened or unused and currently marketable.
  b. Upon request, Multipure will repurchase qualified goods sold to the Distributor when they elect to terminate their
       Multipure Distributorship.
       i. The repurchase period is limited to 12 months from the date of Distributor termination.
       ii. Qualified goods must be in good condition and currently marketable by Multipure. Damaged or discontinued goods are not
           eligible for Multipure repurchase.
       iii. Qualified goods will be repurchased at a value equal to 90% of the amount paid by the Distributor.

 

5. All applicants for Distributorships must be 18 years of age or older.

 

6. Multipure® is a trademarked name and may not be used by Independent Distributors for any purpose without prior written consent of MPI. All sales aids, brochures, literature, etc. are the property of MPI and cannot be reproduced without prior written consent of MPI. Distributors are encouraged to advertise and promote Multipure products and Distributorship opportunities. All proposed promotions or advertisements must include only official Multipure claims, logos, trademarks, etc. as shown in the official MPI literature and sales aids. Distributors must submit proposed advertising and promotional materials to the Multipure Marketing Department for prior approval.

 

7. A Distributor may be terminated by MPI immediately if Distributor's actions discredit MPI or violate these terms and conditions, or if Distributor makes claims contrary to MPI's literature, labels, violates the provisions of the distributor handbook, or for other good cause.

 

8. Distributors accepted by MPI agree to comply with all governmental laws and regulations including Federal, State, County, and Municipal codes and regulations.

 

9. Distributors may sell Multipure Drinking Water Systems and sponsor new Distributors anywhere within the United States and its territories and Canada. Distributors are not limited to or given exclusive territories or markets within the United States and its territories and Canada.

 

10. Distributors may not sell or sponsor in other countries.

 

11. Distributors will represent Multipure products and Distributor Opportunity program completely and honestly without exaggeration to all potential customers and new Distributors. Distributors will not engage in deceptive or unlawful consumer practices nor make fraudulent claims about Multipure International, its products or its programs.

 

12. Personalized Multipure web pages are available for Distributors to use subject to certain terms and conditions. Distributors may use Multipure's trade names, trademark, logos, and copyrighted material in connection with Distributor's personalized Multipure web page in compliance with all of Multipure's rules. A Distributor may have a web site not affiliated with Multipure's corporate site; however, use of the Multipure® name, logo, photos, product codes, etc. requires written approval from Multipure's Marketing Department. Multipure® in any form, with or without a hyphen, may not be used by an Independent Distributor as a key word or meta tag in connection with any internet service.

 

13. It is acknowledged that Distributor is not required to install the Multipure Drinking Water Systems they sell. However, should Distributor choose to install units, they are solely responsible for their own installations and agree to hold MPI harmless from all costs. The MPI Warranty describes the extent of its liability. MPI shall not incur any obligation or liability for damages, including consequential damages, arising out of or in connection with installations of Multipure Drinking Water Systems by Distributor.

 

14.Personal Activity Requirement (PAR) is a quarterly requirement which enables distributors to receive commission and bonuses on their active downline sales and filter replacements when they make a sale/purchase of a drinking water system valuing $165 every four months. You will receive downline commissions and bonuses in the month you qualify plus the next three months.

 

15.There are three types of distributors: 1) An "Active" distributor who qualifies for PAR. Commissions and bonuses are paid to the first ten active (PAR-eligible) distributors in a network. 2) An "Inactive" distributor is not PAR-eligible; however, commissions will be paid on personal sales, including personal replacement filter sales. 3) A "Dormant" distributor has not been PAR-eligible for 36 consecutive months and is permanently removed from the distributor database; however, you will remain on file as a customer. If you are a "Dormant" distributor and would like to become an "Active" Distributor, you may: a) Become a brand new distributor (Junior Builder) by paying the Distributor Fee or b) Reinstate your previous achievement  level by paying the Distributor Fee and making a sale/purchase of a drinking water system valuing $165 in the same transaction.

 

16. As a Multipure distributor, your contact information may be provided to your upline distributors for purposes of supporting your Multipure business. Your contact information will not be given to any other parties for any other uses.

 

17. (Arbitration) - Any dispute, claim or controversy arising out of or relating to this Agreement or the breach, termination, enforcement, interpretation or validity thereof, including the determination of the scope or applicability of this agreement to arbitrate, shall be determined by arbitration in Las Vegas, NV., before one arbitrator. At the option of the first to commence an arbitration, the arbitration shall be administered and governed either by JAMS, pursuant to its Comprehensive Arbitration Rules and Procedures, or by ADR SERVICES pursuant to its Rules of Procedure, NRS 38.206 et.seq., (Nevada Arbitration Law) as existing at the time of signing this Agreement, or as later modified or replaced. Judgment on the Award may be entered in any court having jurisdiction. This clause shall not preclude parties from seeking provisional remedies in aid of arbitration from a court of appropriate jurisdiction. The arbitration shall be held before a single arbitrator and shall be binding with no right of appeal, other than as permitted by then existing State Law.

 

18. I acknowledge I have read and accept the above terms and conditions for becoming a Multipure Independent Distributor as indicted with my signature on the front page of this form.



Multipure Advertising Guidelines





Multipure encourages its distributors to promote their business. Some distributors like to advertise in newspapers, yellow pages, and other media like the internet or cable television. When advertising, distributors must follow the guidelines listed below. In addition, all advertising must be pre-approved by our Compliance Department prior to its distribution or posting on the web. Please allow 5-7 business days for approval of advertising. Some examples of advertising include:

- Flyers
- Business cards
- Signs
- Banners
- Posters
- Yellow page ads
- Door hangers
- Mailers
- Web pages/Blogs
- Magazine ads
- Newspaper ads
- Infomercials

The Following Terms Would Apply To All Forms Of Advertising:

Distributors will represent Multipure products and the Business Opportunity program completely and honestly without exaggeration to all potential customers and new distributors. Distributors will not engage in deceptive or unlawful consumer practices nor make fraudulent claims about Multipure International (MPI), its products, or its programs.

Multipure® is a registered trademark owned by Multipure Drinking Water Systems and may not be used by Independent Distributors for any purpose without prior written consent of MPI. The use of Multipure® in any for by an independent distributor on the internet, in print advertising, video presentations, or any other promotional materials is prohibited without the prior written consent of MPI.

Distributors may use Multipure's trade names, trademark, logos, and the copyrighted material in their advertisement in compliance with all of Multipure's rules. In addition, they may use the Multipure® name, logo, photos, product codes, etc. with prior written approval from Multipure's Marketing Department. In addition, the Distributor must list the words "Independent Distributor" along with their ID number with the name Multipure to ensure that the customer is clear that this is a distributor advertisement and not Multipure's. This information should be at the top of the advertisement.

The Following Applies To Internet Advertising:

Multipure offers two types of distributor webpages that are automatically linked to Multipure's web site, and as customers travel from the distributor's official Multipure webpage to our corporate site, the distributor's ID# and name will follow them. If the customer decides to place an order, the distributor's ID will automatically be associated with that order, giving credit to that distributor. In addition, distributors may develop their own website, independent of the corporate Multipure website, and with approval may link to our site (please contact our Marketing Department for details). All websites that contain the Multipure name, product, photos, or product codes must be approved by our Compliance Department (editor@multipure.com) and must follow the standard advertising guidelines. Multipure recommends against establishing any portal that links any other website or web page to Multipure's corporate web site because Multipure is not able to identify the originating site or page. Multipure® in any form, may not be used by an independent distributor for a domain name/URL or email address.

How To Use The Multipure Distributor Logo and Label Correctly:

There are certain rules for the use of the Multipure logo. Each and every time that an independent distributor uses the Multipure logo in self-generated advertisements, promotion, or literature, the registered trademark symbol (®) must accompany the logo. Note: The words "Independent Distributor" must appear below the logo in order to identify the advertisement, promotion, or literature as being produced by an independent distributor (i.e., not produced by Multipure/Multipure Drinking Water Systems). Even if a distributor uses language from a Multipure brochure, these guidelines regarding use of the logo must be adhered to.

Performance/Certification Claims:

Performance claims must conform to claims in the most current version of Multipure literature. Claims regarding Multipure Drinking Water Systems must be true and accurate. False, confusing, misleading, or implied claims will not be tolerated. Claims of contaminant reduction must be specific and not generic in nature.

• Claims professing that Multipure "removes" contaminants are not acceptable. The term "removes" implies that the contaminant is 100% removed, when the filter actually reduces the contaminant by 95 - 99.9%. You may use the words reduce, cleans, filters, virtually eliminates, etc.

• Pricing of products and shipping & handling prices must be consistent with the current prices of Multipure.

• Generic and absolute statements about the unit's performance cannot be used. You must be specific in your performance claims. Examples:
No = "Takes all cancer-causing contaminants out of your water"
Yes = "Certified to reduce many cancer causing contaminants that may be found in your water"

Explanation: Multipure is not certified to reduce EVERY contaminant so we can not make the absolute claim. In addition, there is no way for you to be sure what is in your customer's water so you should not imply that their water contains harmful contaminants. The performance of the Multipure Systems has been certified by NSF. This agency does not rate the system as "the best", they simply certify our claims with regards to the product's performance is true. Statements regarding certification should reflect this and not imply otherwise. You may not say, "certified by NSF to be the best." You can say, "Certified by NSF to reduce the widest range of contaminants."

Advertising Discounts Or Other Specials

New Text Advertising Discounts or Other Specials Distributors may only advertise to the general public the manufacturer's suggested retail price (MSRP) on any and all forms of advertising or marketing materials, including, but not limited to online advertisements, printed literature, and physical displays. The inclusion of non-sanctioned discounts or promotions, including, but not limited to shipping discounts, sales tax discounts due to Distributor Resale Certificates, gift cards, gift certificates, reward points, installation incentives, or rebates are also prohibited.

Discounts for new distributors: Distributors may advertise the Enrollment Incentive for people who wish to sign up to be Multipure distributors. The amount of the Enrollment Incentive may not be listed. The Enrollment Incentive is taken from the selling distributor's Distributor Incentive commission of the Drinking Water System or Drinking Water System Starter Kit.

Regarding Distributor Resale Certificates

Beginning July 16, 2014, Multipure is no longer able to honor Distributor Resale Certificates. As such, all sales must include any and all relevant state and local sales taxes in the final price calculation, and Distributor Resale Certificates cannot be applied.

Multipure Sponsored Sales Promotions

Distributors may advertise via flyers, displays, Internet sites, etc. Multipure sponsored promotions that are available to all distributors; advertisement is allowed only during the applicable promotion effective dates. EXAMPLE: Buy a drinking water system between July 1 and September 30, and receive a FREE shower filter. Customers must pay any fees associated with the promotions. The fees cannot be paid by the selling distributor.

Enforcement Of Advertising Guidelines

Infractions to these guidelines should be reported in writing (fax, US mail or email) to Multipure's Compliance Department (editor@multipure.com). The distributor in question will be contacted via e-mail or telephone and asked to make the necessary changes to bring their advertisement into compliance . If we do not receive a response from the e-mail/telephone call within 10 business days, a letter will be sent via certified mail. Those in violation have 5 business days to comply and make the necessary changes to their advertisement/website. If they have not made the necessary changes by the end of this time period, Multipure will not accept orders from this distributor until the violation has been corrected.

This distributor, if still not in compliance, will then receive another letter informing them that their orders will not be processed until their advertisement/website has been brought into compliance. They will be given 30 days from the date of this letter to comply with our published advertising guidelines. Failure to meet this deadline will result in the termination of their Multipure distributorship.

A Distributorship may be terminated by Multipure immediately if a distributor's actions discredit Multipure Corporation or if the distributor makes claims contrary to Multipure's literature, labels, or for other good cause.

Replacement Filters

Replacement filters may be sold by distributors. Distributors are not required to sell replacement filters. We encourage distributors to simply provide a link to the Multipure website as a convenience to their customers or they can provide them with our toll-free number. Commissions on replacement filters will be paid to the distributor who originally sold the customer their drinking water system. Customers are encouraged to purchase directly from Multipure to ensure that they are purchasing genuine Multipure filters, and that they are maintaining the Lifetime Warranty on their Multipure System.



New Distributor Policy Updates





These key policy changes will be in effect as of Monday, July 1, 2013.


I. Distributor Incentive Pricing and Commissions:
   1. The option of Distributor Incentive discounting will no longer be available on the sale of Drinking Water Systems (DWS); this means
       that all products must be sold at full retail price.
   2. Distributors will continue to earn percentage commissions based on their Achievement Level. This is computed on the
       commissionable net of the product, not on the retail price.
   3. Distributors will continue to earn the Distributor Incentive (if applicable) in addition to their percentage commission.

EXAMPLE A: Master Builder John Doe sells a below-sink Aquaversa. Its full retail price is $429.95, the Distributor Incentive is $59.95, and its commissionable net is $370. John Doe will receive $59.95 plus 35% of the commissionable net, for a total earnings of $59.95 + $129.50 = $189.45.

What this means beginning July 1, 2013: This means that all retail sales products must be sold at full price. You will receive the Distributor Incentive (if applicable) plus percentage commission on the commissionable net of the product.

II. New Distributor Signup Incentive*:
   1. Although the option to discount the Distributor Incentive Pricing is eliminated, customers are eligible to receive a $40 Enrollment
       Incentive discount in one of the following ways:
       a. When the customer purchases a basic Drinking Water System Starter Kit (i.e., Aquadome Starter Kit, Aquaversa Starter Kit, or
           Aquaperform Starter Kit) and they sign up as a Distributor at the time of purchase.
       b. When the customer purchases a Starter Kit Tools with a Drinking Water System (i.e., Aquadome, Aquaversa, Aquaperform,
           or AquaRO) and they sign up as a Distributor at the time of purchase.
   2. The Enrollment Incentive, if given, will be taken out of the Distributor Incentive portion of the system price (i.e., the Distributor
       Incentive is reduced from $59.95 to $19.95).

*The Enrollment Incentive does NOT apply if the customer does NOT sign up as a new Distributor at the time of purchase of either a basic Drinking Water System Starter Kit (i.e., Aquadome Starter Kit, Aquaversa Starter Kit, or Aquaperform Starter Kit) or at the time of purchase of a Starter Kit Tools and a Drinking Water System (i.e., Aquadome, Aquaversa, Aquaperform, or AquaRO).

EXAMPLE B: Master Builder John Doe sells an Aquaversa Starter Kit to a new customer. Its full retail price is $659.95, the Distributor Incentive is $59.95, and its commissionable net is $600. Normally, John Doe would receive $59.95 plus 35% of the commissionable net, for a total earnings of $59.95 + $210 = $269.95. The customer signs up as a new Distributor under John Doe with the Starter Kit purchase, and is eligible for the Enrollment Incentive. If the Enrollment Incentive is given, the customer receives a $40 discount, making the retail price $659.95 - $40 = $619.95. The $40 discount is taken from the Distributor Incentive portion of the price ($59.95), so John Doe receives $59.95 - $40 plus 35% of the commissionable net, for a total earnings of $19.95 + $210 = $229.95.

EXAMPLE B2: Master Builder John Doe sells a Starter Kit Tools set and an Aquadome to a new customer. The Starter Kit Tools retails for $49.95 (no commission), and the Aquadome retails for $259.95 (the Distributor Incentive is $59.95 and its commissionable net is $200). Normally, John Doe would receive $59.95 plus 35% of the commissionable net, for a total earnings of $59.95 + $70 = $129.95. The customer signs up as a new Distributor under John Doe, and is eligible for the Enrollment Incentive. If the Enrollment Incentive is given, the customer receives a $40 discount, making the total price $49.95 + $259.95 - $40 = $269.90. The $40 discount is taken from the Distributor Incentive of the Aquadome ($59.95), so John Doe receives $59.95 - $40 plus 35% of the commissionable net of the Aquadome, for a total earnings of $19.95 + $70 = $89.95.

What this means beginning July 1, 2013: This gives you the option to provide a discount to customers for registering as a Distributor with a qualifying purchase, while still offering you a portion of the Distributor Incentive earnings. It also creates an even pricing field for all Distributors, allowing all to earn more from each sale.

III. Allocation of Commissions for Direct Sales (sales made without a selling Distributor), a.k.a. the CASH program:
   1. All Active (PAR** qualified) Back Office Distributors may register for the Company Allocated Sales Handler (CASH) program for
       the allocation of commissionable unit purchases made without a selling Distributor or for new Distributor signups made without a
       sponsoring Distributor. Distributors may pre-register for the CASH program in the Back Office on June 1, 2013.
       a. Allocations will progress sequentially through the CASH roster.
       b. Distributor placement on the CASH roster is on a first-come-first-served basis, determined by the time of CASH registration in the
            Back Office.
   2. Any customer drinking water system (DWS) purchase made without a selling Distributor will be allocated for commission to the
       in-turn Active Distributor in the CASH roster.
       a. The in-turn Active Distributor in the CASH roster is allocated 25% of the DWS commission that the Distributor would normally
           earn on a personal sale. This percentage increases to 50% for Founders' Circle Distributors and 75% for Executive Council
           Distributors.
       b. If the purchasing customer also signs up as a new Distributor at the same time, they will be assigned to the 2nd Level of the
            same Distributor that receives the product commission.
       c. CASH commissions will be allocated to the 1st-level in-turn Active Distributor ONLY. Upline or downline commissions are NOT
           allocated through the CASH program.
   3. Orders allocated through the CASH program do not count toward ALV, MALV, PAR, EC/FC qualification, or contest points.

**Personal Activity Requirement (PAR) is a requirement which enables Distributors to receive commissions on their network sales and filter replacements. To be PAR qualified, Distributors are asked to make a personal sale or purchase of a Drinking Water System with a minimum $165 value every four months. PAR qualified Distributors, a.k.a. Active Distributors, are eligible to receive commissions on sales and replacement filter purchases made in their ten level network. Distributors who are not PAR qualified can only earn commissions on their personal product sales and personal replacement filter sales (Senior Builder or higher).

EXAMPLE C: A customer purchases a below-sink Aquaversa without a selling Distributor. Its full retail price is $429.95, the Distributor Incentive is $59.95, and its commissionable net is $370. The purchase is assigned to the next in-turn Distributor in the CASH program, Master Builder John Doe. John Doe would normally earn $189.45 on a personal sale (See EXAMPLE A). Because he is not EC or FC, the value of the allocated purchase is 25% of $189.45, or $47.36. If the purchasing customer signs up as a new Distributor, the new Distributor is assigned to the 2nd Level of John Doe’s network.

What this means beginning July 1, 2013: The CASH program provides an additional incentive to utilize the Back Office and maintain PAR; it provides additional potential revenue through commissions from purchases made directly through Multipure, and it increases network growth through additional downline members from new Distributor signups made directly through Multipure.

IV. Policy on Unpaid Commissions:
   1. Dormant Distributors (Distributors that have been Inactive/non-PAR-qualified for 36 months or more) with earned but unpaid
       commissions remaining on their account will receive a commission check from Multipure at the time of their removal from
       Multipure's list of Distributors. Unpaid commissions occur when earned commissions remain below the $25.00 minimum value for
       Multipure to issue a commission check.
   2. A $5.00 check processing fee will automatically be deducted from this commission check. If the check processing fee reduces
       the value of the unpaid commission check to zero or below, then the commission check will not be paid out.

EXAMPLE D: Distributor John Doe has not been PAR qualified for 35 months, and as such has been classified as an Inactive Distributor. Upon reaching his 36th month as an Inactive Distributor, he becomes classified as a Dormant Distributor, and will be removed from the Multipure Distributor list. Although he possessed $15.00 in earned commissions, they remained unpaid because the value fell below the $25.00 minimum to issue a commission check. Upon his removal from the Distributor ranks, he is issued a check for any unpaid commissions on his account, less a $5.00 check processing fee. John Doe is no longer considered a Distributor, and is issued a check for $10.00 ($15.00 - $5.00).

What this means beginning July 1, 2013: The Unpaid Commissions policy serves to clear out any earned but unpaid commissions from a Distributor's account when they are removed as a Dormant Distributor.

V. Policy on Third-Party Fulfillment
   1. Multipure Distributors may not use any third-party fulfillment service, freight/shipping forwarder, or warehouse/distribution service,
       including, but not limited to, Fulfillment by Amazon (FBA), ProLog Fulfillment, or any other similar service.
   2. Multipure products can only be shipped directly to end-users/customers for personal use, and/or directly to Distributors for
       a) personal use or b) inventory purposes.
   3. Multipure Distributors found in violation of this policy will be subject to punitive measures, including, but not limited to, immediate
       termination of their Distributorship and forfeiture of all Distributor rights and commissions from the date of termination.
   4. By continuing as a Multipure Distributor, you agree to this policy update and waive any rights to a) dismiss, circumvent, or
       contest the terms and limitations of this policy, and b) contest any punitive measures that may result as a violation of this policy.

EXAMPLE E: Distributor John Doe uses a third-party fulfillment service located within the United States to process overseas customers' product orders and ship from there. Because Multipure does not allow international orders or shipping, John Doe uses this third-party service to create domestic orders and circumvent Multipure official policy, letting the third-party service ship the products overseas. By using this third-party fulfillment service, John Doe may be subject to immediate termination of his Distributorship or other punitive actions by Multipure. What this means for Distributors: Distributors can no longer use third-party fulfillment services.

VI. Policy on Personal Activity Requirement (PAR)
   1. DEFINITION: Personal Activity Requirement (PAR) enables Distributors to receive commission and bonuses on their active downline
       network's sales and filter replacements. The sales volume of PAR-eligible products sold in a single month counts toward PAR
       for three months; after three months, the sales volume for the initial month no longer counts toward PAR. When the cumulative
       sales volume reaches $165 or more in a month, the Distributor qualifies for PAR for that month. Distributors cannot PAR-qualify for
       longer than the current month plus the next three months.
   2. PAR-ELIGIBLE PRODUCTS: Products that count toward PAR include Drinking Water Systems, Starter Kits (excluding Starter Kit Tools),
       Bottleless Water Coolers, wriggles, and Multipure Home Essentials (i.e., the Aquagrow, Aquashower,
       or Aquasplash).
   3. TO BE PAR-QUALIFIED FOR THE CURRENT MONTH, Distributors must reach a cumulative total of $165 or more in personal sales or
       purchases within a specific four-month time period. This time period is equal to the current month plus the previous three months.
   4. TO BE PAR-QUALIFIED FOR THE NEXT MONTH, Distributors must reach a cumulative total of $165 or more in personal sales or
       purchases within a specific three-month time period. This time period is equal to the current month plus the previous two months.
   5. TO BE PAR-QUALIFIED FOR THE NEXT TWO MONTHS, Distributors must reach a cumulative total of $165 or more in personal sales or
       purchases within a specific two-month time period. This time period is equal to the current month plus the previous month.
   6. TO BE PAR-QUALIFIED FOR THE NEXT THREE MONTHS, Distributors must reach a cumulative total of $165 or more in personal sales or
       purchases within a specific one-month time period. This time period is equal to the current month.
   7. Distributors who are not PAR-qualified earn commissions only from their personal sales and from the filter replacements by their
       personal customers.
   8. 36-MONTH ACTIVITY REQUIREMENT: Distributors who are not PAR-qualified for 36 consecutive months (3 years) are automatically
       changed in status with Multipure from a Distributor to a customer, and reclassified as Dormant Distributors. Dormant Distributors
       are no longer entitled to their downline network and customer base and are no longer eligible for commissions. To regain Active
       Distributor status (and their old Achievement Level), Dormant Distributors need to reregister and either purchase or sell $165 or
       more in PAR-eligible products.
   9. DISTRIBUTOR CLASSIFICATION
       a. Active Distributors are Distributors who qualify for their Personal Activity Requirement (PAR). Commissions and bonuses are
            paid on the full ten levels (if eligible) of active Distributors in the downline network.
       b. Inactive Distributors are NOT PAR-qualified, and therefore cannot receive commissions from their downline network sales;
            however, commissions are still paid on personal sales, including personal replacement filter sales (Senior Builder or above). To
            regain Active Distributor status, Inactive Distributors must become PAR-qualified.
       c. Dormant Distributors are those who have not been PAR-qualified for 36 consecutive months; as a result, they are removed from
            the Distributor database, but remain on file as a customer. To regain Active Distributor status (and their old Achievement
            Level), Dormant Distributors need to reregister and either purchase or sell $165 or more in PAR-eligible products.

EXAMPLE F1: Distributor John Doe sells $100 in January, $30 in February, and $35 in March. He has not sold anything yet in April. He is PAR-qualified in April because his cumulative sales volume in April plus the previous 3 months equals $165. He is NOT PAR-qualified for May because his cumulative sales volume in April plus the previous 2 months only equals $65. If he sells $100 or more in April, his cumulative sales volume equals $165 and he becomes PAR-qualified for May.

EXAMPLE F2: Distributor Jane Doe did not make any sales or purchases in January, February, or March. Because of this, she is not PAR-qualified at the beginning of April. She then sells $165 in the month of April. Because of this, she becomes PAR-qualified for April plus the next three months of May, June, and July. If she does not sell $165 or more in PAR-eligible products in May, June, or July, she will not be PAR-qualified at the beginning of August.

What this means for Distributors: This clarification on the existing PAR policies is designed to make it easier for Distributors to understand their PAR status and predict whether they will be PAR-qualified in future months. For questions about PAR and PAR-qualification status, please contact the Multipure Commissions Department at 800.622.9206, or check your Multipure Back Office.

VII. Resale Certificates
Beginning July 16, 2014, Multipure will be changing our policy regarding Distributor Resale Certificates. Although Distributors serve as a critical point-of-contact for consumers, from a legal perspective, Multipure is responsible for all sales tax. Because of this, all sales must include any and all relevant state and local sales taxes in the final price calculation, and Distributor Resale Certificates cannot be applied. As such, Multipure will no longer be able to honor Distributor Resale Certificates as of July 16, 2014.

Understand that these changes to Distributor Policy have been discussed and supported by your peers in the field, and are being enacted for the mutual benefit of all of our Distributors. If you have any questions about these changes, please contact us by telephone at 800.622.9206.

Click Here For PDF Of New Updates