- 3 -
14, 16, 21, and 24 years of age at the time of trial (January 22,
2001).
For convenience and clarity, additional findings of fact and
the applicable law are discussed together with respect to each
issue.
Background Concerning Amway
Prior to the years in issue, petitioners had three separate
experiences with Amway, beginning in 1974. Mr. Landrum was a
corporal in the Marine Corps and was stationed in Hawaii in 1974.
His Amway activity consisted of purchasing cases of wax from an
Amway distributor at wholesale, selling “a case or two a month to
[his] friends,” and keeping the difference between the wholesale
and retail prices. He ceased his activities with Amway in 1976
when he was transferred from Hawaii and then released from active
duty with the Marine Corps. After their marriage in 1977,
petitioners participated in an Amway distributorship. Their
experience with Amway was unprofitable, and they terminated it
after 2 years. Petitioners became involved with Amway a third
time in 1985, while Mr. Landrum was employed at Goodyear.
Although petitioners had about 50 persons reporting to them,
directly or indirectly, in the pyramid structure of Amway, there
were insufficient sales for profit. Petitioners’ third Amway
venture lasted approximately 2 years, and again, petitioners
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011