In early October of this year, Neora emerged victorious from its almost seven-year battle with the Federal Trade Commission (FTC). The judge overseeing the case (Fed. Trade Comm’n v. Neora LLC, Civil Action 3:20-cv-01979-M (N.D. Tex. Aug. 9, 2022)) ruled that the FTC’s allegations against the company are invalid.
While Neora’s win was a decided victory, there was still question as to whether the FTC would choose to appeal the ruling. As of this week, the deadline for submitting a notice of appeal has now passed, solidifying Neora’s victory and the new legal precedent their case now presents.
“This is the first time that a direct selling company has ever defeated the FTC’s pyramid scheme claims in a court trial.” declared Ed Burbach, Chair of Foley & Lardner’s State Attorneys General Practice.
“Neora’s resounding victory against the FTC is an important, preliminary win for the industry that rejects many of the FTC’s theories for attacking legitimate direct selling companies,” said Katrina Eash, Partner at the Winston and Strawn Law Firm. “Neora fought the battle for direct sellers everywhere, proving that when you build an ethical company and you’re willing to give everything you’ve got to defend that company and its distributors, you can do direct selling right.”