Global MLM, Affiliate Marketing & Direct Selling Lawyers

Legal Structuring • Compliance • Litigation

Don’t let hidden regulations, licensing traps, or cultural pitfalls derail everything you’ve worked for. With Finjuris’s 10+ years of global legal expertise, you can protect your business, your freedom, and your reputation, before it’s too late.

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Running MLM or Affiliate Plans in Crypto, Forex, or iGaming?

Stay compliant, avoid penalties & protect your business future.

Finjuris helps businesses like yours navigate the complex legal landscape of direct selling, affiliate marketing, and MLM across the globe, mainly Asia and the Middle East. Whether you’re expanding, protecting your network, or facing disputes, our team ensures you’re always on the right side of the law.

What Are The Major Legal Hurdles Faced By Affiliate Marketing, Mlm And Direct Selling Companies Across The World?

1
Risk of Being Labelled a Pyramid Scheme
2
Licensing Requirements Vary by Country
3
Cultural and Advertising Restrictions
4
Rual Regulators, Conflicting Rules
5
Data Privacy, Cookie Laws and Tax Complexity
6
Distributor Lawsuits and Litigation

Why should you not ignore legal compliance in mlm, affiliate marketing & direct sales?

Now imagine this: after all the effort you’ve put into carving out your business building your network, recruiting distributors, setting up affiliate deals, making connections across countries, you make one legal mistake. Suddenly, you’re not just fined, you’re facing lawsuits, government investigations, license cancellations, or even being shut out of an entire market.

Picture the humiliation of explaining to your team why the company collapsed. Distributors demanding refunds. Affiliates abandoning you. Regulators branding your model a pyramid scheme. Friends and family whispering that you “couldn’t make it.” Investors or partners in your home country wondering what went wrong.

Instead of being celebrated for expanding globally, you’re branded as someone who broke the rules, sometimes without even knowing those rules existed. And once your reputation is damaged, it doesn’t just end your income, it can end your credibility, your trust with customers, and maybe even your confidence to start again.

That’s not a risk you can afford to take.

End To End Legal Solution With Finjuris

Our Core Services Include:

Business Structuring & Licensing

Our legal professionals at Finjuris help you design a legally sound business model and secure the right licenses across multiple jurisdictions, ensuring your operations start on the right foundation.

Regulatory Compliance & Ongoing Advisory

Our legal professionals at Finjuris help you design a legally sound business model and secure the right licenses across multiple jurisdictions, ensuring your operations start on the right foundation.

Contract Drafting (Affiliates, Distributors, Networks)

From affiliate agreements to distributor contracts, our seasoned professionals draft and review documents that safeguard your interests and minimize disputes.

Content & Advertising Legal Review

From affiliate agreements to distributor contracts, our seasoned professionals draft and review documents that safeguard your interests and minimize disputes.

Litigation & Dispute Resolution

When conflicts arise, our legal team defends your business against lawsuits, regulatory actions, and distributor claims across borders.

Tax & Financial Compliance

We guide you through VAT, GST, and cross-border tax obligations, ensuring your payouts and financial flows are compliant and audit-ready.

Local Laws. Global Reach.

Every jurisdiction has its own maze of laws for affiliate marketing, direct selling, and MLM. Missing even one regulation can lead to fines, shutdowns, or even criminal action. Here’s how we protect you across key global markets:

United Arab Emirates (UAE)

Applicable Laws
  • Department of Economic Development (DED) licensing.
  • National Media Council (NMC) influencer/affiliate permits.
  • UAE Consumer Protection Law.
Compliance Risks
  • Running affiliate campaigns without a trade or influencer license can trigger fines up to AED 1 million.
  • Culturally sensitive advertising (alcohol, dating, lifestyle, financial promotions) risks immediate takedowns and penalties.
  • Dual oversight from DED (business) + NMC (content) creates extra complexity.
Consequences
  • Business shutdown, visa cancellation, or deportation for foreign owners.
  • Frozen bank accounts and blacklisting.
How Finjuris Helps:

We secure the correct trade/influencer licenses, draft proper disclosures, review campaigns for cultural and legal compliance, and defend your business in case of investigations or litigation.

Malaysia

Applicable Laws
  • Direct Sales and Anti-Pyramid Scheme Act (DSAPSA) 1993.
  • Consumer Protection Act 1999.
Compliance Risks
  • Direct selling companies require a government-issued license.
  • Compensation structures resembling pyramids face immediate scrutiny.
  • Earnings claims without proof invite fines and reputational harm.
Consequences
  • Fines, criminal prosecution, and loss of license.
  • Seizure of distributor commissions and reputational collapse.
How Finjuris Helps:

We handle licensing applications, structure MLM/affiliate compensation to avoid DSAPSA violations, draft distributor agreements, and represent you against pyramid scheme allegations.

Vietnam

Applicable Laws
  • Law on Competition 2018 (applies to MLM).
  • Ministry of Industry & Trade (MOIT) approvals.
Compliance Risks
  • MLM businesses must register with MOIT and meet strict capital & reporting requirements.
  • Distributor training and code of conduct rules are mandatory.
  • Improper commission structures or foreign ownership violations invite MOIT action.
Consequences
  • Suspension of business.
  • Revocation of license, heavy fines, and criminal exposure.
How Finjuris Helps:

We guide you through MOIT approvals, structure distributor systems, draft compliance documentation, and provide defense in case of inspections or disputes.

India

Applicable Laws
  • Consumer Protection (Direct Selling) Rules 2021.
  • Prize Chits and Money Circulation Schemes (Banning) Act 1978.
  • Goods & Services Tax (GST) laws.
Compliance Risks
  • Direct selling entities must register and disclose operational details.
  • Strict bans on pyramid/money circulation schemes.
  • Misleading income promises invite regulator and consumer lawsuits.
  • GST misclassification on commissions leads to tax disputes.
Consequences
  • Fines, criminal charges, reputational damage.
  • Tax liabilities and frozen operations.
How Finjuris Helps:

We ensure compliance with India’s new Direct Selling Rules, draft airtight distributor contracts, handle GST compliance, and defend you in consumer court or regulator-led litigation.

Indonesia

Applicable Laws
  • Law No. 7/2014 on Trade.
  • Consumer Protection Law.
Compliance Risks
  • MLM companies are routinely investigated for pyramid elements.
  • Strict distributor rights protections → frequent disputes.
  • Heavy enforcement on misleading claims and unlawful commissions.
Consequences
  • Revocation of licenses.
  • Civil lawsuits and criminal liability for executives.
How Finjuris Helps:

We structure compliant MLM and affiliate models, draft consumer-proof distributor agreements, manage disputes, and provide litigation defense if regulators intervene.

Brazil

Applicable Laws
  • Brazilian Consumer Defense Code (Law No. 8.078/1990)
  • Tax Laws (PIS/COFINS, ICMS, ISS)
  • ANVISA regulations (for health & wellness products)
Compliance Risks
  • Distributor lawsuits over unfair contracts or unpaid commissions.
  • Consumer protection actions for misleading advertising or income claims.
  • Complex tax obligations on MLM/affiliate payouts.
Consequences
  • Heavy fines and penalties from consumer authorities.
  • Suspension of operations or frozen bank accounts.
  • Costly litigation with distributors and consumers.
How Finjuris Helps:

We localize contracts for Brazilian law, build compliant compensation structures, ensure ad/content compliance with consumer regulations, and guide you through Brazil’s complex tax rules.

Japan

Applicable Laws
  • Specified Commercial Transactions Act (SCTA)
  • Consumer Contract Act
  • Act on Specified Commercial Transactions
Compliance Risks
  • Aggressive recruitment practices considered illegal.
  • Misleading product or income claims strictly banned.
  • Cooling-off rights for consumers must be respected.
Consequences
  • Orders to halt business activities.
  • Penalties for deceptive recruitment.
  • Class-action style consumer lawsuits.
How Finjuris Helps:

We draft contracts that comply with Japan’s SCTA, review marketing practices to prevent violations, and ensure distributors follow proper consumer disclosure protocols.

China

Applicable Laws
  • Regulations on Direct Selling (2005)
  • Anti-Unfair Competition Law
  • Cybersecurity Law (data compliance)
Compliance Risks
  • Only government-approved companies can operate direct selling.
  • MLM compensation plans under heavy scrutiny for pyramid-like features.
  • Foreign companies face licensing and data localization hurdles.
Consequences
  • Immediate shutdown of unlicensed entities.
  • Seizure of assets and blacklisting from Chinese markets.
  • Criminal penalties for executives in severe cases.
How Finjuris Helps:

We guide foreign companies through licensing barriers, adapt MLM structures for Chinese regulations, and ensure compliance with advertising and data privacy laws.

Germany

Applicable Laws
  • Unfair Competition Act (UWG)
  • German Civil Code (BGB)
  • EU Consumer Protection & GDPR
Compliance Risks
  • Aggressive distributor recruitment considered unfair competition.
  • Misleading income or product claims banned under UWG.
  • Strict GDPR requirements for handling distributor/customer data.
Consequences
  • Cease & desist orders from competition authorities.
  • Hefty GDPR fines for mishandling personal data.
  • Civil lawsuits from consumers or competitors.
How Finjuris Helps:

We structure fair recruitment practices, review ad campaigns for EU compliance, draft GDPR-proof privacy policies, and defend businesses in competition law disputes.

United States

Applicable Laws
  • Federal Trade Commission Act (FTC Act)
  • Securities Act (if investment products involved)
  • State consumer protection laws
Compliance Risks
  • MLM and affiliate companies easily flagged as pyramid schemes by FTC.
  • Class action lawsuits from distributors or consumers.
  • Misleading earnings claims = enforcement action.
  • State-by-state differences in compliance.
Consequences
  • FTC shutdown orders (e.g., Advocare case).
  • Billion-dollar settlements and refunds to consumers.
  • Permanent injunctions against company operations.
How Finjuris Helps:

We design FTC-compliant MLM/affiliate models, review advertising for earnings claims, handle litigation defense against class actions, and manage state-level compliance.

Why You Can’t Afford To Wait

Every day you delay, the risks stack higher. Right now, you might already be operating without the proper license, using a compensation plan that regulators view as a pyramid, or running ads that breach consumer laws — and the truth is, authorities across the world rarely warn before they act.

Fines & Penalties

In the U.S., the FTC has shut down MLMs with billion-dollar settlements. In Malaysia, unlicensed direct selling attracts criminal charges. In the UAE, unlicensed affiliate activity can cost you up to AED 1 million.

Licensing & Business Closure

In Vietnam and China, operating without proper approvals can lead to immediate suspension and seizure of assets.

Visa & Cross-Border Risks

In markets like the UAE or Indonesia, non-compliance doesn’t just hurt your business — it can put your visa, residency, and reputation at risk.

Constantly Changing Laws

From India’s new Direct Selling Rules 2021 to evolving EU consumer and GDPR regulations, what felt “safe” last month may already be illegal today.

The worst part? Most MLM, affiliate, and direct selling firms don’t realize they’re in violation until it’s too late, when the regulator’s notice, a lawsuit, or a bank freeze is already in motion.

That’s why the smartest move is to book a consultation today, before a small oversight escalates into a business-ending problem. In just one conversation, you’ll know exactly where you stand, what needs fixing, and how Finjuris can protect your business so you can grow without fear.

Don’t wait for regulators, competitors, or disgruntled distributors to make the first move.

Contact Us

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+971 561 365 987