Former Director Robin Blackmon-Dunda Suing Mary Kay

lauraryan, says:

Directors in Mary Kay can be terminated for a number of reasons including not making minimum production for 2 months in a row; leaving the country a total of 90 days per year (not consecutive either); submitting fraudulent info to the company, etc etc.

As more and more women speak out from personal experience, it is COMMON for directors to commit fraud by activating recruits inactive accounts with their own funds so they can maintain prizes or attain status. Directors knowingly coach recruits, DIQ's (when finishing directorship) to put in their own funds to make up the shortfall in production by distributing it amongst other recruits. They teach to not have all the phony orders shipped to the same address and will gladly pick up the order they placed under another consultant's ID just to make it look legitimate. Those directors take it a step further by telling the recruits to lie to corporate about whose funds were used (as corporate randomly calls members of new units).

Many sites have been created offering support to those who have been "stung by the bee" as a place of refuge to share their stories and heal from the deception they endured. In addition to those listed above, check out www.thepinkingshears.org which will have a fresh new face in a couple of weeks!

The termination clause of the Director's Agreement follows:

Section 10. This agreement regarding Sales Director's activities may be terminated effective immediately at Company's option if Sales Director shall fail to comply with any of the terms and conditions of this Agreement or in the event of any of the following specific acts or occurrences:

(i) If Sales Director knowingly submit false or fraudulent information to Company to receive any prize, award, bonus or commission based upon Wholesale Purchase Volume, recruiting or personal sales or knowingly make any material misrepresentation of fact in connection therewith; or

(ii) If Sales Director shall knowingly submit or participate in the submission of any order which is not a bona fide order placed by the named purchaser for subsequent retail sale as a Beauty Consultant; or

(iii) If Sales Director should do any act detrimental to the reputation of Company or it's products or should do any act detrimental to any trademark, trade name or the goodwill connected therewith or any copyright owned by the Company; or

(iv) If Sales Director should fail to pay when due any indebtedness to Company, to other Sales Directors, Consultants or customers, or engage in other credit practices deemed detrimental to the image and goodwill of Company and it's associates; or

(v) If Sales Director should become physically or mentally incapacitated (incapacity being determined in the sole judgment of the Company), or withdraw voluntarily or involuntarily from active participation in the conduct of her business as a Sales Director; or

(vi) If Sales Director should engage in any activity or conduct in violation of the provisions of Section 8.10; or

(vii) If any dispute, disagreement or controversy should develop between Sales Director and fellow Sales Directors or between Sales Director and Beauty Consultant's in Sales Director's Sales Unit, which in the sole judgment of the Company may adversely affect the reputation of Company, the reputation of MK products or the goodwill related to the trademarks or trade names owned by the Company; or

(viii) If the Wholesale Purchase volume of Sales Director's Sales Unit for two (2) consecutive calendar months should be less than the Minimum Sales Unit Production defined in the Schedule of Commissions and Bonuses and no extenuating circumstances, as determined in the sole judgment of the Company, be present. (If company shall determine that extenuating circumstances DO exist, it shall, by written notice, advise SD of the particular month or months, during and at the end of which, total monthly Wholesale Purchase Volume of the Sales Unit must again meet the monthly Minimum Sales Unit Production); or

(ix) If, for any reason, SD shall leave and remain outside the US for a total of 90 days or more during any period of (12) consecutive calendar months. Termination under this section 10.2 shall be effective at Company's option upon mailing to Sales Director written notice of termination or at such other subsequent date as may be specified in such notice, except in the case of termination for failure to maintain Minimum Sales Unit Production, in which case termination maybe made effective by Company as of the last day of the last full calendar month that Sales Director's Sales Unit failed to meet Minimum Sales Unit Production.

Section 8:10 states:

8,10 In consideration of the commission compensation provided under this Agreement and the other rights and benefits provided hereunder, Sales Director agrees to continuously and faithfully employ Sales Director's best efforts to promote the sale of Mary Kay products in the United States market during the period this Agreement is in effect. Sales Director further agrees not to engage, directly or indirectly, in soliciting or recruiting Mary Kay Beauty Consultants or Mary Kay Sales Directors to sell products or services other than those sold by Company during the period this Agreement is in effect and for a period of two (2) years after its termination. Sales Director further agrees not to utilize, or knowingly permit any other person to utilize, any names, mailing lists or other non-public business infonnation which Sales Director obtains during Sales Director's association with Company for recruiting or for promotion of the sale of any other company's products in the United States during the period that this Agreement is in effect and for a period of two (2) years after its termination. Sales Director further agrees that during the period of Sales Director's business relationship with Company as a Sales Director and for a period of two (2) years following date of any termination of such status for any reason, that Sales Director will refrain from directly or indirectly soliciting or inducing any Sales Director or Beauty Consultant to terminate their business relationship with Company, whether such solicitation or inducement be for Sales Director's own account or that of others. Sales Director further expressly agrees to refrain, during the period of Sales Director's relationship with Company as a Sales Director and for a period of two (2) years following the date of any termination of such status, from seeking, receiving or accepting, directly or indirectly, any fee, commission, ovenide commission, financial benefit, contract right, monetary or non-monetary reward or other form of compensation from any other company or business organization based on or associated with the solicitation, recruitment, enrollment or association by employment, contract or otherwise for such company or business organization of any person whom Sales Director knows or has reason to believe is then under contract as a member of the Mary Kay independent sales organization. Sales Director agrees that Company may have, in addition to any other remedies available at law, an injunction restraining Sales Director from any violation of the terms of this Section 8.10, and that a temporary restraining order may be issued, without prior notice to Sales Director, upon sworn application therefor being made by Company setting forth the facts constituting any such alleged violation.