Code of the Argentine Chamber of Direct Selling (hereafter CAVEDI) adopts the present Code of Conduct as a regulatory measure containing rules of ethical conduct for direct selling companies that are members of the Chamber and for all companies that are admitted as members in the future. They take the pledge to abide by its measures as a condition to be admitted in the Chamber and to continue as members.
The present CAVEDI Code of Conduct has as its main objective the adoption of general rules to regulate the relations between direct selling companies, between companies and their direct sellers and towards consumers, as well as the satisfaction and protection of consumers and the promotion and publicizing of the earning opportunity offered by direct selling.
1.2 Glossary of Terms
For the purposes of the Code, the terms used have the following meanings:
Direct Selling: the marketing of products and services directly to consumers, generally in their homes or in the homes of others, in their workplaces and in other places away from permanent retail stores, usually with explanations and demonstrations of the products or services by a direct seller.
Companies: Direct Selling Companies are business entities that utilize the direct selling system to market their products and carry a logotype that identifies them as members of CAVEDI.
Direct Sellers: They are persons that are members of a selling system of a Direct Selling Company. They can be independent commercial agents, independent direct sellers, independent dealers, independent distributors or representatives. franchisees or other similar sales representatives of a company.
Products: Tangible and intangible consumer goods and services.
Recruiting: Any activity conducted for the purpose of assisting a person to become a direct seller.
Code Administrator:Independent person or body appointed by CAVEDI to monitor its member companies compliance with the Code and to resolve complaints caused by its non-compliance.
Each CAVEDI member company pledges to comply with this Code as a condition of admission and continuing membership in the Chamber.
1.4 Direct Sellers
Direct sellers are not bound directly by this Code, but, as a condition of membership in a company's distribution system, shall be required by the company with whom they are affiliated to adhere to rules of conduct that meet the standards of this Code.
This Code is a self-regulation measure of the Direct Selling industry. It is not a law and its provisions can require a level of behavior that exceeds existing legal requirements. Non-observance of this Code does not create any civil law responsibility or liability. With the termination of its membership in CAVEDI, a company is no longer bound by this Code. However, the provisions of this Code remain applicable to events or transactions that occurred during the time a company was a member of CAVEDI.
Companies and direct sellers must comply with all requirements of the law. Therefore, this Code does not decrease any existing legal obligations.
The Code contains standards of ethical behavior for direct selling companies and direct sellers. CAVEDI may vary these standards provided that the substance of the Code is preserved or as is required by National Law. It is recommended that the Code be used as evidence of industry standards.