Delaware General Assembly

Out of Committee 5/21/25

Legislation has been voted out of Committee; now placed on the Ready List

5/14/25

Ross Levin

Sen. Hansen

Reps. Bush, Carson, Gorman, Heffernan, K. Johnson, Lambert, Morrison, Snyder-Hall, Wilson-Anton
Sen. Lockman, Sokola, Sturgeon

AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO MULTILEVEL DISTRIBUTION COMPANIES.

This Act defines a multilevel distribution company and multilevel marketing program for purposes of this Subchapter. It sets forth mandatory disclosures that must be made by a multilevel distribution company to any potential purchaser that discloses details about the company, sometimes based on certain representations that the company makes. It sets forth that a multilevel distribution company may not require a participant in its marketing program to buy a good or service or pay any other consideration to participate in the marketing program unless it agrees to repurchase the goods, under certain conditions. It permits a civil penalty to be imposed for violations of the required disclosures. It provides a private right of action for violation of the repurchase requirement, including treble damages, attorneys’ fees and costs to be awarded for a prevailing plaintiff.

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Takes effect upon being signed into law

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