THE HONORABLE WALTER T. McGOVERNUNITED STATES DISTRICT
COURT
WESTERN DISTRICT OF WASHINGTON
AT SEATTLE
| FEDERAL TRADE
COMMISSION, Plaintiff, v.
FORTUNA ALLIANCE, L.L.C., et al.,
Defendants.
|
|
Civ. No. C96-799M STIPULATED
FINAL JUDGMENT AND ORDER AS TO MONIQUE DELGADO
|
Plaintiff, the Federal Trade Commission
("FTC" or "Commission"), has filed a
complaint for a permanent injunction and other relief
pursuant to Section 13(b) of the Federal Trade Commission
Act ("FTC Act"), 15 U.S.C. 53(b), naming as a
defendant Monique Delgado and alleging violations of
Section 5 of the FTC Act, 15 U.S.C. 45.
Monique Delgado and the Commission, by and through
their respective counsel, have agreed to entry of this
Order by this Court in order to resolve all matters in
dispute between them in this action. Monique Delgado has
consented to the entry of this Order without trial or
adjudication of any issue of law or fact herein. NOW,
THEREFORE, Monique Delgado and the Commission having
requested the Court to enter this Order, IT IS
HEREBY ORDERED, ADJUDGED, AND DECREED as
follows:
FINDINGS
A. This Court has jurisdiction of the subject matter
of this action and the parties consenting hereto.
B. Entry of this Order is in the public interest.
C. Monique Delgado has waived all rights to seek
judicial review or otherwise challenge or contest the
validity of this Order.
D. This Order does not constitute and shall not be
interpreted to constitute either an admission by Monique
Delgado or a finding by the Court that Monique Delgado
has engaged in violations of the FTC Act.
DEFINITIONS
For purposes of this Order the following definitions
apply:
A. "Multi-level marketing program" means any
marketing strategy in which participants pay money to the
program promoter in return for which program participants
obtain the right to (1) recruit additional participants,
or to have additional participants placed by the promoter
or any other person into the program participant's
downline, tree, cooperative, income center, or other
similar program grouping; (2) sell goods or services; and
(3) receive payment; PROVIDED the payments received by
program participants are derived primarily from the sale
or purchase of the goods or services, and not from
recruiting additional participants nor having additional
participants placed into the program participant's
downline, tree, cooperative, income center, or other
similar program grouping. For purposes of this Order, the
phrase "goods or services" does not include a
membership or opportunity to participate in another sales
or marketing program.
B. "Chain or pyramid marketing program" is a
sales device whereby a person, under a condition that he
or she make a payment, is granted a license or right to
recruit for consideration one or more additional persons
who are also granted a license or right upon condition of
making a payment, and may further perpetuate the chain or
pyramid of persons who are granted a license or right
upon such condition. A limitation as to the number of
persons who may participate, or the presence of
additional conditions affecting eligibility for the above
license or right to recruit or the receipt of profits
therefrom, does not change the identity of the program as
a chain or pyramid marketing program.
C. "Person" means a natural person,
organization or other legal entity, including a
corporation, partnership, proprietorship, association,
cooperative, government or governmental subdivision or
agency, or any other group or combination acting as an
entity.
D. "Assisting" means providing the means and
instrumentalities for or otherwise facilitating any
conduct that a defendant knows or should know violates
any provision of Paragraph I or II of this Order. This
includes, but is not limited to, formulating or providing
or arranging for the formulation or provision of written
or electronic promotional materials.
ORDER
I.
IT IS THEREFORE ORDERED that Monique Delgado, whether
acting directly or through any business, entity,
corporation, subsidiary, division, or other device, in or
affecting commerce, as "commerce" is defined in
the FTC Act, 15 U.S.C. 44, is permanently enjoined from
engaging, participating, or assisting in any manner or
capacity whatsoever in the advertising, promoting,
offering for sale, or sale, of any chain or pyramid
marketing program, except that Monique Delgado is not
enjoined from engaging, participating, or assisting in
multi-level marketing programs.
II.
IT IS FURTHER ORDERED that Monique
Delgado, whether acting directly or through any business,
entity, corporation, subsidiary, division, or other
device, in connection with the advertising, promoting,
offering for sale, or sale of any marketing or investment
program, in or affecting commerce, as
"commerce" is defined in the FTC Act, is hereby
permanently restrained and enjoined from making, or
assisting another in making, directly or by implication,
orally or in writing, any misrepresentation about any
material fact, including, but not limited to,
misrepresentations about earnings that program
participants have actually made or can potentially make.
III.
IT IS FURTHER ORDERED that Monique
Delgado shall fully cooperate with the FTC and Fortuna
Alliance L.L.C., Augustine Delgado, Libby Gustine Welch,
and Donald R. Grant, in obtaining complete termination of
the actions pending in any foreign courts, including
Antigua. Neither party shall assert claims for fees,
costs, or damages against any other party to the foreign
actions for claims arsing out of those actions.
IV.
IT IS FURTHER ORDERED that for a period
of three years from the date of entry of this Order,
Monique Delgado shall notify the FTC in writing of any
affiliation or employment with any new marketing or
investment business, in commerce, as "commerce"
is defined in the FTC Act, within 21 days of the
commencement of that affiliation. Each notice shall
include the defendant's then-current business and home
address and phone number, and a statement of the nature
of the new business or employment along with a
description of her interest, duties, and responsibilities
in the business or employment.
V.
IT IS FURTHER ORDERED that Monique
Delgado shall, within 180 days after the date of entry of
this Order, file with the Court a report, in writing,
setting forth the manner and form in which she has
complied with this Order.
VI.
IT IS FURTHER ORDERED that all notices
required of defendant by this Order shall be made to the
following address:
Regional Director
Federal Trade Commission
915 Second Avenue, Suite 2896
Seattle, Washington 98174
VII.
IT IS FURTHER ORDERED that this Court
shall retain jurisdiction of this matter for all
purposes.
SO ORDERED, this _____ day of , 19__, at
Seattle, Washington.
______________________________
Hon. Walter T. McGovern
UNITED STATES DISTRICT JUDGE
The parties hereby consent to the terms
and conditions set forth above and consent to entry of
this Order without further notice to the parties. Monique
Delgado hereby waives any right that may arise under the
Equal Access to Justice Act, 28 U.S.C. 2412.
FEDERAL TRADE COMMISSION
Randall H. Brook
Eleanor Durham
Maxine Stansell
Charles A. Harwood
Regional Director
Attorneys for Plaintiff Federal Trade
Commission
DEFENDANT
Monique Delgado
PERKINS COIE
By:
Ronald M. Gould, WSBA #6458
James F. Williams, WSBA #23613
Perkins Coie
1201 Third Avenue
Seattle, WA 98101
JUDD & SAILER, P.L.L.C.
By:
Robert O. Sailer, WSBA #5430
Attorneys for Monique Delgado
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