Were you victimized by doTerra? Tell us about your experience.
Have you heard of doTERRA and now you want to know more about them? Are you struggling to get a response and now you wonder if they are a pyramid scheme? You are not alone.
doTERRA is based out of Utah and they sell essential oils and related essential oil products. These products can be diffused or applied directly to the skin with topical benefits and aromatic benefits. They have a range of different products for different feelings such as essential oils that can help with headaches, encourage relaxation, reduce anxiety, induce sleep, and more. The products are sold by individual distributors who can recruit other people to sell the products as well and distributors are given not only products to sell but colorful, informational books they can use to showcase which essential oils can be used for what conditions.
The FDA inspected the company and found that many of the claims they made for certain products were in direct violation of new drug laws. In a published letter they stated,
“your products are “new drugs” under section 201(p) of the Act [21 U.S.C. § 321(p)] because they are not generally recognized as safe and effective for use under the conditions prescribed, recommended, or suggested in their labeling. Under sections 301(d) and 505(a) of the Act [21 U.S.C. §§ 331(d) and 355(a)], a new drug may not be introduced or delivered for introduction into interstate commerce unless an FDA-approved application is in effect for it. Your sale of these products without approved applications violates these provisions of the Act.”
The FDA in 2014 sent the inspections and warning letters to the company because many of their products words said to treat conditions including viral infections like Ebola, bacterial infections, cancer, brain injury, autism, endometriosis, Alzheimer’s disease, tumors, and ADHD, all conditions which an individual cannot self-diagnose and are not advised to treat without a legal medical practitioner. There is no science or evidence to back up the claims that these essential oils can be used to treat things like Ebola or reduce the size of tumors.
There was another lawsuit between a competing company, Young Living which stipulated that doTERRA had infringed upon contracts and exploited trade secrets from Young Living Essential Oils, but the courts dismissed the case and rejected the allegations against doTERRA.
doTERRA is not considered a pyramid scheme because they do not meet the FTC definition of one. They sell essential oils and in many cases purport benefits that can’t be backed by scientific evidence so consumers should be aware of that. There are also complaints that their Compensation Plan isn’t that viable, but the company doesn’t tell their distributors that they can achieve significant income like a pyramid scheme would. doTERRA doesn’t force their distributors to purchase extra products on a monthly basis nor do they require additional fees beyond the startup to attend required training or events. There is a stronger emphasis on selling the product line over recruiting which is what makes them a regular MLM.
If you have dealt with this company, either as a seller or a consumer, and you have an issue with them that they haven’t resolved in spite of your attempts, you still have options including consumer arbitration. We can help.
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