Is it illegal to sell merchandise in a retail location when the products are intended to be sold at home parties?

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Is it illegal to sell merchandise in a retail location when the products are intended to be sold at home parties?

The seller of the home party products are not affilliated with the direct sales company. The seller has purchased the products from an independent consultant

Asked on April 15, 2012 under Business Law, Missouri

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

The terms "legal" and "illegal" really are terms of are with respect to a criminal matter. The question that you are writing about would not be a criminal issue. Rather it could be subject to a presumed contract assuming there is one by the retailer mandating that the items be sold solely at home parties and not in a retail environment.

If the seller has purchased the items from a vendor and there is no contract prohibiting how the items can be re-sold signed by the seller, he or she can do whatever she wants to do with the product such as selling them in a retail store location.

 


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