The FTC sought for a three-week extension of their scheduled trial against Neora on July 27th.
The court refused the request on August 5th, putting the parties on course for a judicial confrontation unless a compromise is struck.
The FTC requested a stay of proceedings.
because of recent extensions to the summary judgment briefing schedule and hearing date, which put further strain on an already strained pre-trial timetable
As a result of the extensions, the parties’ pre-trial documents, which were due on September 19, are now due nine days before the Court hears oral argument on the parties’ summary judgment applications on September 28.
That means the parties must submit, and the Court may review, updated copies of their pre-trial papers that include the Court’s summary judgment determinations, such as new pre-trial orders, witness lists, exhibit lists, deposition designations, findings of fact, and conclusions of law.
The new papers would have to be filed within the time frame between any summary judgment finding and trial, which is now set at nineteen days.
As a result, the FTC asks just a brief delay to alleviate the scheduling problems generated by the recent extensions.
The court was unconcerned and ordered the trial to proceed as planned.
The bench trial in this matter will commence at noon on October 17, 2022, and will continue in accordance with the trial schedule provided.
Each side will be given a total of 20 hours, which includes opening remarks, direct and cross questioning, and closing arguments.
The FTC claims Neora (previously Nerium) is a pyramid scam in a case filed in 2019.
The FTC enters the trial knowing that even if they win, Neora and owner Jeff Olsen (right) would not be required to repay its victims.
This is unknown ground, but I believe the FTC is looking at a granted injunction at best. Neora will be compelled to quit functioning as a pyramid scheme as a result of this.
Vemma reached a similar settlement with the FTC. Vemma as a brand never recovered after it was unable to operate as a pyramid scheme.
Alternatively, Neora wins the lawsuit and is free to continue inflicting customers damage.
According to the FTC, retail sales account for less than 1% of Neora’s sales income. According to the regulation, almost 95% of Neora distributors lose money each month.
This is due to a business model that, as previously discussed on BehindMLM, is centered on distributor autoship recruitment.
Despite numerous failed settlement attempts over the years, a settlement may still be in the works. The court remanded the case to mediation on August 9th.
2nd October 2022 – Update Just a quick update on the summary judgment motions: they were dismissed on September 29th as moot.
As of this update, we’re still on track for an October 17th trial start date.
Update 2nd October 2022: The FTC v. Neora trial began on October 17th, according to BehindMLM.
3rd November 2022 – Update On October 25th, the FTC v. Neora trial concluded. A decision is expected after November 23rd.