- 5 - commissions based on the products that his or her downline distributors are able to sell. If a downline distributor then recruits additional individuals to sell, the original upline distributor receives commissions on sales by both downline distributors. The additional commissions received by the upline distributor are not, however, determined by the profitability of the downline distributors, only by their sales. Mrs. Smith was recruited in this fashion to become a downline distributor for Susan Walsh, first for Espial in 1999, and in subsequent years for Renaissance and Cyberwize. The record does not reflect who introduced Mrs. Smith to 24/7 Internet Marketing. Ms. Walsh provided Mrs. Smith with product training and sales organization training and advised her on how to teach and train other potential downline distributors. With the exception of Cyberwize, Mrs. Smith created nominal business plans for each of the companies for which she marketed. These plans included vague goals about the number of customers Mrs. Smith would attract and the sales that she would achieve. For instance, Mrs. Smith’s Espial business plan is an undated, one-page document which states: “I will build a sales force and retail products to derive income that will exceed employment in the corporate arena, and I will have become a highly visible sales organization known as a leader in sales, sponsorship, team support, and residual income.” With respect to her market, Mrs.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 NextLast modified: November 10, 2007