If you have been an avid fan of Sister Wives, it’s no secret that Meri and Christine’s employer LuLaRoe has always been somewhat of a controversy. According to recent happenings, the company was sued for its deceptive practices. Some new docuseries have exposed its scam. We already know that the company drives a huge portion of the revenue the Brown family makes. In fact, fans have seen multiple Facebook live sessions from Meri and Christine as they try to sell the merchandise.
A new docuseries named LuLaRich features the infamous company and exposes their scam targeting women who work from home. According to an exclusive reveal from The Sun, the company has to face a class-action lawsuit going to deceptive and unfair practices claims, endless chain schemes, violating the California corporations code, false advertising, and so on. Let us take a detailed look at this.
Sister Wives: LuLaRoe Retailer Sues The Company for Pyramid Scheme
Jessica Ponkey, a former LuLaRoe retailer, sued the company calling it a fraudulent pyramid scheme. Accusing them of targeting stay-at-home moms, she continued to call the brand unlawful. Adding to the details, she also stated that LuLaRoe promises these women that they can help them generate a decent income without disturbing their work-life balance. According to the claims, in place of product sales, LuLaRoe derives its primary income from the retailers’ ability to recruit others.
She agrees that along with other consultants, she has been doomed from the beginning itself. Even though they made consistent efforts, the plan allegedly rewarded consultants who recruited others over those making sales. Another claim suggested that the business model of LuLaRoe allowed some few people are the top to grab millions of dollars. According to the court papers, Stidham and Brady have amassed millions in profits at the expense of innocent women looking for a genuine business opportunity.
The range of onboarding fees started from $2000 to $9000. New consultants are mandated to pay the amount depending on the product. She also claimed that even when inventory was in demand, the company was unable to keep up with the orders. Plenty of customers received low-quality items and faced other problems such as that with size and matching.
LuLaRoe Files a Motion
Instead of responding to the complaint, they filed a motion for compiling arbitration. In other words, the case would go directly to arbitration for settling the dispute. But Jessica responded by stating that this is a means to get out of prison. Considering how Meri and Christine have thousands of followers on their Facebook group, this lawsuit might affect their business.
Redditors have accused the Sister Wives of using their fame to use others to make them rich. Christine’s daughter Mykelti came to the company’s defense by stating that most people don’t understand the effort it takes to succeed with LuLaRoe. Let us know your thoughts on this in the comments below.
