Page 17 - MY_English HandBook

Qualifications to Become an
Independent Distributor / Direct Selling Organization

4) If the termination of the agreement or the return of products by the Independent Distributor affects his or her or the Sponsor’s
advancement, qualification or other benefits in kind, the Company shall have the right to revoke or deduct or cancel the
qualification or rights to commissions or benefits in kind of the Independent Distributor as well as his or her Sponsor. In this
regard, the Independent Distributor and his or her Sponsor shall be responsible to return all the excess commissions or benefits
in kind to the Company, and if they have been advanced, shall be restored to his or her previous pin title and if the original
advancement factors are eliminated and cannot be maintained, the Independent Distributor and his or her Sponsor shall be
automatically restored to his or her previous pin title with effect from the first day of the following month prior to the effective
date of termination.
5) In the event the Independent Distributor breaches this Business Handbook which results in rescission or termination of the
agreement, unless with the approval from the Company, the Company will not accept any returned products; when the
Independent Distributor returns the products to the Company with the approval of the Company, the returned products shall be
subjected to the procedures in this Business Handbook and Exchange of Non-Defective Products. However, the products cannot
be returned after six (6) months from the date of purchase or after the product is off the shelf. If the Independent Distributor
wishes to re-apply after the rescission or termination of the agreement, he or she shall abide by the following rules; the
Independent Distributor can only apply after six (6) months of the rescission or termination of the agreement, and shall be
ranked as a Consultant and he or she shall resubmit the Independent Distributorship Agreement (together with a copy of
identity documents, and passbook or bank statement), and purchase a Distributor Kit. For those who have violated Chapter 2
(Principles of Direct Selling Business) and Chapter 4 (Rules of Conduct) of the Business Handbook which resulted in termination
and those who have returned products shall not be entitled to reapply.

1.7 Reapplying for and Reinstating Distributorship

1.7.1 Reapplying for Distributorship
• Upon rescission or termination of the agreement with the Company, the Independent Distributor may reapply for
distributorship, based on the following rules:
- Upon six (6) months after the rescission or termination of agreement (effective date of termination), the Independent
Distributor is entitled to reapply for distributorship; except for those who have been disqualified due to a violation of
Chapters 2 and 4 of this Business Handbook, return of goods, engaged in illegal transactions, engaged in making false or
fraudulent information, shall not be entitled to reapply as an Independent Distributor.
- In terms of pin title, he or she shall restart as a Consultant.
- He or she shall resubmit the Independent Distributorship Agreement (together with a copy of identity document and
passbook or bank statement) with a purchase of Distributor Kit.

1.7.2 Reinstating Distributorship
• For Independent Distributor who was suspended before 2014, he or she is required to reapply for reinstatement in order to
enjoy the rights of an Independent Distributor. He or she must submit the Distributor Reinstatement Application and purchase
products under his or her distributorship with a value of RM250 and above or pay a system operation fees of RM50.

16