DEFINITION:
For the purposes of the Neovedica Styles Distributorship Rules and Regulations, unless the context otherwise requires or unless repugnant to or inconsistent with such context, the following words or expression shall have the following meanings:-
“Distributor”
shall mean for the purpose of the Neovedica Styles Distributorship Rules and Regulations, a person who has applied under Clause 2 herein and whose application has been accepted by Neovedica Styles.
“Neovedica STYLES”
shall mean Company /Neovedica Styles LLP
“CV”
shall mean “Commissionable Volume” as ascribed to Neovedica Styles products for qualification and status.
“PCV”
shall mean “Personal Commissionable Volume”,i.e, total CV generated from all self repurchase personal cash bills transacted in a month.
“Product” or “Products”
shall mean products produced or distributed by Neovedica Styles or which bears the Neovedica STYLES label, logo or name
“Sponsor” shall mean an existing Distributor who after fulfilling the eligibility criteria of a sponsor, introduces a prospect to be a Distributor of Neovedica Styles and whose name appears on the new Distributor’s Application and Enrollment Form bearing an unique ID number, as Sponsor.
1. General Business Ethics
1.1 A Distributor agrees that he shall not make any misleading, unfair, inaccurate, or disparaging comparisons, claims, representations, or statements about Neovedica Styles, its Products, services, or commercial activities; other persons other companies (including competitors); their products; or their commercial activities.
1.2 A Distributor agrees that any claim or representation concerning the opportunity must be congruent with, and limited to those found in the materials and literature currently distributed by Neovedica Styles. Those claims and representations must also be advanced in accordance with any applicable laws, ordinances, and regulations, etc.
1.3 No Distributor shall represent that, any person can or will receive profits or revenues without substantial effort on his own behalf. Under no circumstances, the business opportunity would be portrait as a “Get Rich Quick Scheme”.
1.4 No Distributor shall make or advertise any unreasonable or misleading representations in respect of potential earnings.
1.5 All distributor incentive / commission paid by the company is inclusive of any service tax or other statutory taxes as may be levied by the government and payable in respect of the said distributor commission and no other additional amount is payable to the distributors by Neovedica Styles apart from the bonus or commission as already paid.
1.6 On signing the Distributor Application and Enrolment Form, the applicant / Distributor agrees to receive all communications forwarded by the Company to his mailing address, landline, mobile or email including all short messages sent via SMS to his mobile at any time during the day. The said communication shall not be construed as a violation of privacy. Distributors unwilling to receive such messages need to intimate the company in writing.
2. Application for Distributorship:
2.1 Only applicants aged 18 years and above may apply to become as a Distributor.
2.2 In order to become a Distributor of Neovedica Styles, an applicant is required to complete and sign the Distributorship Application Form and shall irrevocably agree to abide by the Neovedica Styles Distributorship Rules and Regulations, Code of Conduct, Neovedica Styles Marketing Plan and any of its policies including but not limited to any variation, amendment or modification. Any application for distributorship is subject to the approval of Neovedica Styles. The completed form can be handed over to the franchisee,stockist, branch or the head-office where registration receipt will be issued.
2.3 A Distributor is prohibited from submitting any false or inaccurate information to Neovedica Styles. A Distributor shall inform Neovedica Styles of any changes affecting the accuracy of the Distributor’s details. Neovedica Styles reserves the right to immediately terminate any distributorship in the event it determines that false or inaccurate information was provided by the said Distributor.
3. Status of Distributorship:
3.1 Application can be submitted for the following status:
(a) Husband and wife are allowed to hold two separate distributorship codes/ ID.
(b) Taking of multiple Distributorships in same name/proxy identity is strictly prohibited. Every applicant for Distributorship is required to tender/attach their photo identity,pan card proof along with the application.
(c) A corporation cannot be accepted as a Distributor of Neovedica Styles. Nevertheless, if a Distributor wishes to change his distributorship to a private company or a partnership, written approval from Neovedica Styles shall be obtained. In the event Neovedica Styles has approved the distributorship application by a corporation or private company or partnership etc., any change to the equity structure of the said corporation or private company or partnership must first obtain the approval of Neovedica Styles. In the event Neovedica Stylesdetermines that false or inaccurate information was provided or any change to the equity structure has been done without the approval of Neovedica Styles, Neovedica Stylesreserves the right to forthwith terminate the distributorship.
4.Conditional Life Distributorship:
4.1 Distributorship with Neovedica Styles is for a lifetime and no yearly renewal of distributorship is necessary PROVIDED THAT the Distributor makes at least one (1) personal re purchase transaction with CV in each calendar year. Personal repurchase transaction refers to purchase of Neovedica Styles Product(s) with CV, regardless of amount, made in the Distributor’s own ID.
4.2 Failure to comply with the above requirement shall render the distributorship of the concerned distributor to lapse on 31st December of respective calendar year without need of further notice. If there is any reinstatement, it must be approved by Neovedica Styles.
4.3 Distributor whose distributorship has lapsed may re-register as a new Distributor under the same or another Sponsor; however, he will be considered and deemed as a new Distributor and therefore, not entitled to his former network.
4.4 The reinstatement would be effective upon due approval from Companymanagement. In other words, the reinstatement would not be backdated. Purchases, if any, made after lapse of distributorship would be accumulated and encoded according to marketing plan in the month of reinstatement.
4.5 A Distributor’s distributorship shall be terminated if he (or any one of the spouse / partner / party / member of the company including proxy) is directly or indirectly involved in any of the disciplinary cases such as:
(a) sponsoring other Distributors in an improper / invalid manner;
(b) changing the selling price of a product without obtaining prior approval of Neovedica Styles;
(c) involved in other direct sales companies or any company having competition with Neovedica Styles;
(d) in breach of Neovedica Styles Rules and Regulations, Code of Conduct, Neovedica Styles Marketing Plan or any of its policies;
(e) conducting any activities that directly or indirectly will bring negative effects to Neovedica Styles or affect Neovedica Styles’s goodwill;
(f) delivering, distributing or selling Neovedica Styles Products of one country to another country (in which Neovedica Styles market has been established) without written approval from Neovedica Styles;
(g) making false claims relating to the Product(s) or the Neovedica Styles Marketing Plan.
5. Distributor Agreement:
An Agreement between a Distributor and Neovedica Styles takes effect as soon as the Distributorship is approved by Neovedica Styles.
6. Registration Fee:
The registration fee for taking distributorship is determined by Neovedica Styles which is subject to change on issuance or announcement of any notice and takes effect immediately. Presently the registration of Distributorship is free of any charge. An interested prospect needs to fill-in and submit the completed Distributor Application and Enrollment form to any Neovedica Styles authorized franchisee/shoppy. On acceptance of the completed application form, the applicant will be enrolled as an Independent Distributor of Neovedica Styles with an unique identity code (ID) number.
7. Company Starter Up Gradation :
Every distributor is encouraged to repurchase the Starter Upgradation of minimum 250 CV.
8. Distributor’s Purchase Order:
Products can be purchased by cash (or by any mode of payment so accepted by Neovedica Styles) from Neovedica Styles franchisee/shoppyand its valid stockists. Cash bill will be issued for each repurchase (Distributor). All repurchases after the month end cannot be backdated from the date of purchase.
9. Entitlement toMonthly Bonus:
9.1 A Distributor is required to maintain a monthly PCV/self repurchasefor bonus qualification and commissions. Bonuses are paid according to Neovedica Styles’s Marketing Plan when and where a Distributor has maintained the required monthly PCV/self repurchase.
9.2 In addition,Neovedica Stylesreserves the right to recoup any bonuses paid to any Distributor on Products or services under the following circumstances:
(a) returned under Neovedica Styles’s buy back policy or exceptions thereto established by an authorizedfranchisee, shoppy,stockist;
(b) returned to an authorized franchisee, shoppy,stockist under any applicable law; or
(c) stolen or obtained by fraudulent means.
10. Discrepancy in Weekly, Monthly Bonus Statement:
Neovedica Styles shall be informed in writing within thirty (30) days from the date of receipt of the weekly monthly bonus statement of any discrepancy in the said statement after which at the end of the specified time period, all weekly monthly bonus statement shall be deemed as final and conclusive and Neovedica Styles shall not entertain any inquiry or complaint.
11. Suspension and Termination of Bonuses, Incentives and Benefits:
Neovedica Styles reserves the full and absolute right, at any point of time, to withhold or suspend or terminate a Distributor’s benefits including but not limited to bonuses, incentives, commissions, benefits, entitlements, etc., in the event:
11.1 A Distributor has been issued with a Show Cause Notice for violating any provisions of the Neovedica Styles Distributorship Rules and Regulations, Code of Conduct, Neovedica Styles Marketing Plan or any of its policies; or
11.2 A Distributor who is currently in the process of due inquiry conducted by Neovedica Styles for allegedly violating any provisions of the Neovedica Styles Distributorship Rules and Regulations, Code of Conduct, Neovedica Styles Marketing Plan or any of its policies; or
11.3 A Distributor who has been found liable by Neovedica Styles for violating any provisions of the Neovedica Styles Distributorship Rules and Regulations, Code of Conduct, Neovedica Styles Marketing Plan or any of its policies; or
11.4 Pending the finalization of transfer of the distributorship to beneficiary; or
11.5 Any other causes/reasons deems necessary and fit by Neovedica Styles.
12.Rights of Company:
Neovedica Styles reserves the full and absolute right, at any point of time, even without any prior notice to change, vary or amend or modify the Neovedica Styles Distributorship Rules and Regulations, Code of Conduct, Neovedica Styles Marketing Plan and any of its policies and to withdraw or suspend or terminate the distributorship of any Distributor or person as and when necessary.
13. Responsibilities of a Distributor:
13.1 A Distributor is independent and is free to operate on his own. Therefore, a Distributor shall not claim or represent as an employee of or having employment relationship with Neovedica Styles. A Distributor is strictly prohibited from representing himself as such. Disciplinary action shall be taken on those who have breached this regulation.
13.2 A Distributor shall represent the Products, services, and opportunity of becoming a Distributor ethically and professionally.
13.3 No representation or sales offers may be made relating to Products and services, which are inaccurate as to price, grade, quality,and liability.
13.4 No unreasonable, misleading, or unrepresentative earnings claims may be made. No income guarantees of any kind shall be made.
13.5 A Distributor may not solicit or persuade any other Distributor to sell or purchase Products or services other than those offered by Neovedica Styles. A Distributor agrees that a violation of this rule inflicts irreparable harm to Neovedica Styles and agrees that injunctive relief is an appropriate remedy to prevent it.
13.6 A Distributor is responsible for his own business decisions and expenditures.
13.7 A Distributor shall comply fully with the Neovedica Styles Distributorship Rules & Regulations,Code of Conduct, Neovedica Styles Marketing Plan and any of its policies.
13.8 A Distributor is personally responsible and accountable for compliance with all applicable national, state, municipal and local laws and regulations.
13.9 A Distributor shall comply with all laws, regulations and codes of practice applying to the operation of his distributorship and shall not engage in any activity which may bring disrepute to themselves or to Neovedica Styles.
13.10 A Distributor shall not make any representation to a prospective recruit and/or customer which cannot be verified or make any promise which cannot be fulfilled. A Distributor shall not present any information to the customer/prospect in a false or deceptive manner.
14. Restriction/Right to Area:
14.1 A Distributor is not allowed to have any right or impose any restriction to a particular area and are strictly prohibited to declare that they have any specific right on a particular area.
15. Restriction on Products:
15.1Neovedica Styles Products are strictly prohibited from being sold or exhibited in grocery shops, stores, mini- markets / supermarkets, military stores or trade fair or online portals.
16. Manner of Selling and Selling Price:
16.1 The selling price of any Neovedica Product is determined by Neovedica Styles and no Distributor shall be allowed to reduce or increase the price including by way of tampering with the selling price as affixed or determined by Neovedica Styles on the label or packaging of the Product. Breach of this regulation shall result in having their distributorship suspended or terminated by Neovedica Styles.
16.2 Neovedica Styles reserves the right, at any point of time to revise the selling price including but not limited to CVof the Product without any prior notice, and the revised price so determined or fixed shall have immediate effect upon its official announcement.
16.3 A Distributor is not allowed to deliver, distribute or sell any Products by way of discounts, free gifts, promotion that in aggregate or in any how are confirming the Products are distributed or sold below or above the selling price so determined and permitted by Neovedica Styles, unless the discounts, free gift or promotion is organized and approved by Neovedica Styles.
16.4 A Distributor is required to sell products to end users/consumers only under a valid customer receipt wherein details of the sales transactions are mentioned along with the product refund policy/buyback guarantee provided by the company. Such Receipt Books in prescribed formats are available at the authorized sales outlets. Distributors have the option to print their own Receipt Book in the same format/template as made available by the company.
17. Product Claims:
17.1 A distributor shall be held liable and responsible for false claims, misrepresentation etc of the Product quality, quantity, content, usage or benefits other than those mentioned in authorized product literature specified by Neovedica Styles and all such acts shall lead to disciplinary action including suspension or termination of distributorship.
17.2 No Distributor should or attempt to state or intimate that any Product is approved by or bears special sanction of the Ministry of Health or any other governmental authority.
18. Breach of the Company Distributorship Rules and Regulations, Code of Conduct, Company Marketing Plan and Any of its Policies.
18.1 If a Distributor breaches any provisions of the Neovedica Styles Distributorship Rules and Regulations, Code of Conduct, Neovedica Styles Marketing Plan or any of its policies, the Distributor’s distributorship may be suspended or terminated immediately.
18.2 During the period of Neovedica Styles investigation or issuance of SCN or suspension notice for the alleged violation of the Neovedica Styles Distributorship Rules and Regulations, Code of Conduct, Neovedica Styles Marketing Plan and or any of its policies, the following shall be applied:
(a) Neovedica Styles may provide verbal warning or issue a Warning Notice to the Distributor for the violation of the Neovedica Styles Distributorship Rules and Regulations, Code of Conduct, Neovedica Styles Marketing Plan or any of its policies;
(b) In the event of a SCN is issued to a Distributor, the Distributor shall within fourteen (18) days from the date of the same provide his written explanation relating to the allegations for consideration by Neovedica Styles. Neovedica Styles reserves the right to suspend the said Distributor from participating or carrying out activities which includes but not limited to placing orders, making sale or purchase, dealing with Neovedica StylesProducts, dealing with networks, sponsoring, modifying Distributors information, attend training, participate in Neovedica Styles ’s activities, participate in promotional activities or incentives campaigns, receiving bonuses, commissions or incentives until a final decision is made by Neovedica Styles.
(c) In the event of the Distributor failing to provide any written reply to the said SCN within the said period, Neovedica Styles shall have the right to impose such action as it considers proper.
(d) On the basis of any information obtained from collateral sources or from Neovedica Styles ’ investigation of the statements and facts taken together with information submitted to Neovedica Styles during the response period, Neovedica Styles shall make a final decision regarding the appropriate remedy, which includes the termination of the Distributor’s distributorship. Neovedica Styles reserves the right to impose any remedies for similar violations of Neovedica Styles Distributorship Rules and Regulations, Code of Conduct, Neovedica Styles Marketing Plan or any of its policies on a case-by-case basis. Neovedica Styles will notify the Distributor of its decision and all remedies will be effective forthwith as of the date on which notice of Neovedica Styles decision is served.
(e) In the event of termination of the Distributor’s distributorship, the Distributor’s distributorship /status and all benefits pursuant to the Neovedica Styles Marketing Plan including but not limited to benefits on promotion activities, incentives campaigns and entitlements shall be forfeited. Henceforth, the terminated Distributor is automatically prohibited from dealing in whatsoever manner with Neovedica Styles Products, networks and activities.
(f) Any Distributor so terminated may apply for new distributorship from Neovedica Styles after a period of six (6) months. However, acceptance of the application is subjected to the verification and approval by Neovedica Styles.
19. Improper Sponsoring of Distributor and Penalty:
19.1 Improper sponsoring: Improper ways of sponsoring Distributors in the following context are prohibited:- Sponsoring a Distributor who is already a Distributor of another group;
19.2 The following actions will be taken if improper sponsoring is proven to have occurred:
(a) Distributorship shall be terminated with immediate effect. If the distributorship is terminated; all Distributors who were improperly sponsored will be transferred to their original Sponsors.
(b) Penalty letters will be issued to all those who are involved.
(c) No arrears of bonus will be considered
19.3Proxy and its Penalty:
If a Distributor establishes a group not under his hierarchy but has self-interest in the development of the group, the Distributor is deemed to have been involved in this activity and his distributorship will be suspended or terminated and the group established by proxy will be transferred to the Sponsor.
20. Involvement in other Direct Sales Company:
20.1 A Distributor who has achieved the status of ‘Emerald President’ and or monthly total income of Rs.45,000/-and above is not allowed to be involved directly or indirectly (including by proxy) in any activities of other direct sales companies or other activities that will bring negative effects to Neovedica Styles. Any Distributor who commits such offence shall have his distributorship terminated immediately by Neovedica Styles.
20.2 A Distributor shall not directly or indirectly and whether on his own behalf or with or for any other person solicit, promote or recruit any member of their downline organization to join or participate in any other direct selling or network marketing business or to distribute, sell or promote any Products or services competitive with Neovedica Styles.
21. Beneficiary:
21.1 A Distributor may appoint any person of the same nationality as his beneficiary. If no beneficiary is named in the distributorship form, the beneficiary shall be the next of kin. However if there is a dispute relating to the beneficiary after the death of a Distributor, the appropriate court shall decide the beneficiary. Neovedica Styles reserves the right to suspend any benefits including but not limited to bonuses and commissions until a final decision is made by the Court.
21.2 A Distributor shall not transfer, allocate, or otherwise transfer any right conveyed under his distributorship to any person without the written approval from Neovedica StylesA Distributor may delegate his responsibilities but he is ultimately responsible for ensuring compliance with the applicable laws and regulations.
22. Properties of Company:
22.1 Neovedica Styles logos, trademarks, service marks, Product names, and other tangible or intangible commercial assets, registered or otherwise, videotapes, stationeries, printed materials, provided and related to Neovedica Styles are the properties of Neovedica Styles. They are not to be used, extracted or reproduced by any Distributor without prior written approval from Neovedica Styles.
22.2 All promotional materials including but not limited to flyers, business cards, pamphlets, brochures, books prepared in accordance with the sub-clause below, may be distributed through personal contact only. They may not be posted in public places, mass mailed, put in mail boxes, or disseminated by any other non-personal contact means. Materials may not be disseminated through unsolicited fax or E-mail message.
23. Transfer of Distributorship:
Transfer of distributorship is divided into two categories:
23.1 DEATH:
If a Distributor passes away, the beneficiary will automatically take over the distributorship. If no beneficiary is named, the transfer of distributorship will be determined as per the law prevailing in the country. Simultaneously, Neovedica Styles reserves the right to suspend any and all benefits including but not limited to bonuses, commissions until the issue is resolved.
23.2 INDISPOSITION:
A Distributor who has reached the age of 65 years or unable to continue the Neovedica Styles business due to health complications which, if accepted by Neovedica Styles shall be allowed to transfer the distributorship to anyone as he wishes or to his beneficiary.
24. Double Registration:
24.1 In the event that a double registration has been detected and confirmed as such, Neovedica Styles reserves the right and shall terminate the newer distributorship code ID with immediate effect without further reference or notice.
24.2 Disciplinary action such as suspension or termination shall be initiated against any Distributor or Sponsor who is directly, indirectly or accidentally found to be involved in double registration.
25. Request for Changing Sponsors:
25.1 Application for change of Sponsor is not allowed by Neovedica Styles.
25.2 If a Distributor insists on changing his Sponsor, he can write to Neovedica Styles to terminate his existing distributorship and wait for six (6) months before re-applying for distributorship under a new Sponsor.
25.3 For a Distributor whose distributorship has lapsed may request to change his Sponsor by re- registering as per following the procedure stated in Clause 4.
25.4 A Distributor shall not directly or indirectly encourage, persuade, involve or assist another Distributor to transfer to a different Sponsor. This includes the act of offering financial or other tangible or intangible incentives or benefits to induce the Distributor to terminate his existing distributorship and then re-register under a different sponsor. Any Distributor found liable to be involved in such practice may result in his distributorship to be suspended or terminated immediately.
26. Buy Back Policy:
26.1 Neovedica Style spractices Buy Back Policy to ensure maximum satisfaction to its end users/ consumers or Distributors. This policy allows every Distributor or consumer to return unsold Neovedica Styles Products in its original condition and of merchantable quality within 30 days from the date of purchase to the seller. Product in the “original condition and of merchantable quality” means the products which are still in the market (the production has not yet stopped), with the price label still intact and clean, unopened box and in good condition. Neovedica Styles reserves the right to reject any returned Product that does not meet such specification or condition. The distributor must fill the distributor buy back forms and submit the same to any of the Neovedica Stylesoffices, outlets or branches under acknowledgment.
26.2 Distributors on resignation/termination of distributorship are entitled to return all unsold products purchased by them during the preceding 90 days prior to resignation as long as the said products are in sealed condition, merchantable quality and within reasonable shelf life, as determined by Neovedica Styles.
26.3 Neovedica Styles reserves the right to deduct any bonus paid on the product returned to it by its distributors to the extent it has been paid/enjoyed by the said Distributor who returns the products. Otherwise, the bonus paid on the returned products will also be recovered from the other distributors who have enjoyed the same.
26.4 Products returned should be accompanied with the following documents:
(a) Relevant cash bills/invoices (only original copy is considered valid);
(b) Filled in Buyback form
26.5Neovedica Styles will send the full refund against the product returned by a crossed cheque/fund transfer to Bank Account subject to any deduction mentioned under Clause 26.3 Thecheque /fund transfer will be made within Thirty (30) days from the returned date.
26.6 Distributors are advised not to over purchase. Purchase of Products should be made based on realistic estimation of the customer’s orders.
27. Distributor Website Regulations:
27.1 Any distributor who wish to establish link to Neovedica Styles website or any of its subsidiary companies must submit application, stating its purposes and be approved by Neovedica Styles prior to posting the link.
27.2 No site references of Neovedica Styles, its Products or link to Neovedica Styles or Neovedica Styles website to make unsubstantiated income or Product claim.
27.3 No site should make it appear that it is Neovedica Styles subsidiary or that the site is in any way sanctioned or endorsed by Neovedica Styles.
27.4 All sites linked to Neovedica Styles or any of its subsidiary companies must clearly state in a highly visible location that they are operated by independent distributor.
27.5 The Distributor’s website must not display Neovedica Styles logo, trademark, or its Products. Any text related to or describing the link to Neovedica Styles website or any of its subsidiary companies must be in strict accordance with specifications approved by Neovedica Styles.
27.6 A distributor is fully responsible, accountable and liable for any misuse or misrepresentation of the website. Any violation of this clause and its sub-clauses thereto shall lead to disciplinary action such as suspension or termination of the distributor’s distributorship.
28. Promotion Activities and Incentive Campaigns:
28.1 Distributors shall abide with the respective rules and regulations governing all promotion activities and incentives campaigns.
28.2 At any point of time of the promotion activities or incentive campaigns, if any Distributor is under investigation for disciplinary cases or has been or about to be issued a SCN for violation of Neovedica Styles Distributorship Rules and Regulations, Neovedica Styles reserves the absolute right, at any point of time, to suspend or disqualify any Distributor from any and all promotion activities or incentive campaigns.
29. Litigation and claims:
In the event any Distributor is charged with any infringement of any, proprietary right of any 3rd party arising from any of Neovedica Styles’s proprietary assets, or if the Distributor becomes the subject of any claim or suit related to that Distributor’s business-related conduct or any other action that directly or indirectly negatively affects or puts Neovedica Styles, its reputations, or any of its tangible or intangible assets at risk, the affected Distributor shall immediately notify Neovedica Styles. Neovedica Styles may, at its own expenses and upon reasonable notice, take whatever action it deems necessary (including, but not limited to, controlling any litigation or settlement discussion related thereto) to protect itself, its reputations, and its tangible and intangible property. A Distributor shall take no action related to that claim and suit, unless obtained Neovedica Styles’s written consents.
30. English Version Shall Prevail:
In the event of doubt as to the true meaning concerning this Neovedica Styles Distributorship Rules and Regulations, or any portion thereof in relation to its translated versions, the English version shall prevail.
31. Arbitration:
Should any dispute arise between Neovedica Styles and a Distributor, the parties shall attempt to resolve such dispute in good faith by direct negotiations and conciliation. Should the parties fail to resolve the dispute, the dispute shall be submitted to arbitration in accordance with the provisions of the Arbitration and Conciliation Act 1896, but subject to the following:
(a) the place for arbitration shall be Mumbai;
(b) there shall be one (1) arbitrator;
(c) the arbitrator shall be appointed either by mutual consent or by Neovedica Styles.
32.I acknowledge that I have read and understood and agree to the terms set forth in this agreement.