Emily Sortor  |  September 4, 2018

Category: Consumer News

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A class action lawsuit says that Nerium, a company that sells anti-aging cream, is a fraudulent, multi-level marketing scheme that unfairly profits off of those who participate.

Plaintiff Kimberly Gerdo filed the Nerium marketing scheme class action lawsuit against Nerium and its owner, Jeff Olson in a California state court. The Nerium marketing scheme class action lawsuit was recently removed to federal court.

Gerdo says that the company misrepresents the costs of the Brand Partner Launch Kits it requires each new Brand Partner to purchase.

According to the Nerium class action lawsuit, the company claims that the costs only cover the cost the company incurs to train new Brand Partners, when in reality, the Brand Partner Launch Kits are a source of profit to the company.

Gerdo says that she became a sales representative, or “Brand Partner” for the company in February 2013, and was charged $499.95 for a “Brand Partner Launch Kit.” The plaintiff states that she canceled her Brand Partner account, then re-started it around Jan. 15, 2018.

She says that at this point, she purchased another Brand Partner Launch Kit, and discovered that the kit was not sold “at company cost,” as advertised, but was sold to profit the company and its owner, Olson.

Additionally, the Nerium class action lawsuit states that Olson and the company unlawfully receive kickbacks from the sale of Brand Partner Launch Kits. According to the plaintiff, Texas marketing company Success Partners produces the kits. Allegedly, Olson negotiated an inflated purchase price of Brand Partner Launch Kits from Success Partners, and gets a kickback with each sale of a Brand Partner Launch Kit to a new Brand Partner.

The Nerium business model class action lawsuit says that Nerium engages in unfair business practices by deceiving new Brand Partners about the value of the Brand Partner Launch Kits, and deceiving Brand Partners about the profits gained by the company from the sale of the kits.

Gerdo argues that these misrepresentations were knowing and deliberate on the part of Nerium and Olson, and that they represent violations of California Business and Professions Code. Additionally, she says that the company’s act of obtaining money from the Brand Parners under false pretenses is a violation of California Penal Code.

The plaintiff aims to represent herself and all other similarly affected individuals who purchased Brand Partner Launch Kits from the company and were misled as to the nature of the cost, and the value of the kits.

She seeks damages on behalf of herself and putative Class Members to compensate for the financial injury sustained by the company. She also wants the company to be forced to disgorge profits that it gained from the sale of the Brand Partner Launch Kits, and requests an indictment requiring the company to stop the alleged misrepresentation of the Brand Partner Launch Kits.

Gerdo is represented by James G. Bohm, Klaus Heinze and Christopher J. Green of Bohm Wildish & Matsen LLP.

The Nerium Multi-Level Marketing Scheme Class Action Lawsuit is Kimberly Gerdo v. Nerium International LLC, Case No. 5:18-cv-01834-DSF-SHK, in the U.S. District Court for the Central District of California.

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15 thoughts onNerium Class Action Lawsuit Says Consultant Launch Kits are Marked Up

  1. Linda Velez says:

    I also was scammed by this company – spent loss of money and never earn a penny back
    This should be a class action lawsuit-Nerium should repay everyone that lost money on this useless product scheme

  2. Tony Clements says:

    I also joined Nerium worked it really hard only to lose my500$ and got a 1099 tax form as income for all the alleged free product. To add insult to injury after repeated calls to Nerium I never did get my earned commissions! Ugh what a joke NERIUM. You SUCK!

  3. Norma Hufnagel says:

    I also was a brand partner. I love the products but had problem with a few and received others that were useless to me. I could not get anyone to join me so I went belly up! You really have to work at it and was not an idea seller. I am disabled and should of never started this program. So mad for the lose of $500.00.

  4. Leah says:

    How do you join the lawsuit?

    I was also a BP dragged into it quickly without doing my due diligence as I was young as misinformed. Lost a lot of money and was extremely pressured, felt brainwashed by all the daily group calls, leader calls and events. Wish you all the best!

    1. Rubi Pratt says:

      I feel you! Went through the excat same thing.

  5. DENISE BENEDICT says:

    If you suck at selling, this company is not for you. Some of you think that just because you buy a kit, you don’t have to work at being a brand partner. It’s a JOB…you don’t work and sell, you don’t get paid. Simple as that.

  6. Trinity says:

    I was also a BP. I was told to make a goal. My goal was to pay my $400 car payment. They said they would help me and work with me to achieve my goal every single month. This was a great “idea”. What’s too good to be true probably is, unless you want to talk to strangers multiple times a day 7 days a week about products you sale and push them on people. I signed up with the $500 package which is taxed to $546.92. I only got my family to buy and after that I contacted several people a day, blind messaging, parties every single week inviting people for no one to show up to the party, etc. no one wanted the product. So I got $265 commission and $140 free product. Which I still haven’t received my free product. So 60 days later haven’t made my money back or my car payment. My bad choices. Be aware of this company.

  7. Michelle says:

    I worked as a brand partner for almost 5 yrs . It’s cut and dry they are at fault or not – stop drinking too much Koolaid!

  8. Denise O'Kane says:

    You have a choice, to give or not give your money. And i like the products as well and the results i have received. SOMEONE got me and Olivia to join and buy their products, obviously myself as well as Olivia have not had any luck. It depends on how much effort you put into it and i dont. but i do like the product. i also think they are a bit pricey but comparable to other high dollar similar products, much of the same. Change the choices you make if you don’t like. Cancel your account. We have so many options in our privileged first world country, but don’t have a clue…..

  9. Tomi George says:

    Same here. :-/

  10. Nichole Zimmerman says:

    I was also a brand partner who invested lots of money and gained nothing after being mislead and robbed for my money!!!

    1. Olivia Savage says:

      Yeah, me too. I liked the product, I just couldn’t get anyone to join me.

    2. Estrellita Patino says:

      Myself also. Even went to seminar in Texas. Spent a lot of money and worked hard. Sold 2 bottles to my sister in law and she was charged for 5. Spent months trying to correct problem and got the run around. She was out $500.00, and could not use product because she had a reaction. She was allergic to it so she mailed them back to me. I paid her back out of my own pocket the $500.00 and said I AM DONE WITH THIS COMPANY. They talk a Big Talk / Game, but it is all a BIG SCAM.

    3. James Davis says:

      I Also lost a Ton of money, with product And seminar trips iver 10k. Before i got out and Never sold 1 product.

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