Home Consultant G u i d eline s June 2014 Congratulations! You have not simply joined a Company you are now part of our extended Longaberger family. All of us welcome you and want to help you succeed. These Guidelines will help you on the road to success. Upon reading these Guidelines, if you find that you have questions, please contact your upline or Consultant Support at 1-844-262-0407, Monday Friday, 9:00 a.m. to 9:00 p.m. EST or via e-mail at careerandguidelinesupport@longaberger.com.
Company Guidelines We want you to be successful with The Longaberger Company. Outlined below are some Company policies intended to help you succeed, plus information about some other requirements regarding your business. These policies are: (a) effective immediately, (b) supersede and replace previous policies in previous Home Consultant Handbooks, and (c) may, along with the requirements on the www.longaberger.com incorporated by reference herein, be amended or modified from time to time by the Company. Direct Selling Association Code of Ethics We abide by DSA s Code of Ethics and all applicable federal, state and local laws and regulations, as well as being firmly committed to fairness and honesty in selling our products and in sponsoring new Home Consultants. Visit the DSA website for more information www.dsa.org. Advertising Advertising serves to heighten your visibility as an Independent Home Consultant. Because advertising your business involves the use of the Longaberger name, certain restrictions apply. Advertising of any type, telephone listings (yellow or white pages), business cards, checks and letterhead, outside of the Company s pre-approved items, must be submitted to Consultant Support at careerandguidelinesupport@longaberger.com for approval in advance. Please allow at least two business days for review. You may use the Longaberger name and marks only to promote Longaberger products and your Longaberger business. (sponsoring and promotions materials, newsletters, awards developed for your own use), see Company Trade Marks/Dress, and Personal Website/Online Advertising sections for additional restrictions. You may not print, draw or apply pictures of products that are clearly Longaberger on any objects or goods for sale, or produce anything for sale incorporating or pertaining to Longaberger products, or give permission to or knowingly allow anyone else to do the same. When advertising for fundraisers, the word Longaberger may not appear in the title, caption or heading of the advertisement. Instead, use the word fundraiser in titles, captions and headings. The following notice and disclaimer must appear at the bottom of the advertisement and tickets using the Longaberger name or marks, in a type of size no smaller than the second largest type size used in the ad: Longaberger and the other basket and collection names are the property of The Longaberger Company. This fundraiser is not sponsored by The Longaberger Company. 2
Personal Website/Online Advertising The use of the Internet and search engines serves to heighten your visibility as an Independent Home Consultant. Because advertising your business in this manner involves the use of the Longaberger name, certain restrictions apply and you need to exercise great care. All personal websites must contain the Home Consultant s first and last name and one form of contact information (e-mail address or phone number) on your personal website within the sticker area. Search engine listings (paid or free) may not list your business ONLY as www.longaberger.com. When registering your personal website or alias domain with Internet search engines you must contain your full domain name such as www.longaberger.com/janedoe or www.longaberger.com/peggy sbaskets. Domain alias, domain name, URL or e-mail address may not contain words that imply discounting or that business is being conducted directly with The Longaberger Company versus an Independent Home Consultant. It is very important that you provide instructions at the bottom of your e-mail on how someone can unsubscribe from receiving future e-mails sent by you. It is your responsibility to remove them from your e-mail distribution list, if requested. Always place the tag line: Independent Longaberger Home Consultant under your signature line on e-mails to customers and Home Consultants. This must include your personal website address or alias domain name, such as www.susansbaskets.com. You may not create a domain alias, domain name, URL or e-mail address that contains the Longaberger name, any licensed name (i.e. Collegiate, NFL, NCAA, Hershey, John Deere, 4-H, American Valor, or any other licensed products) or any other registered trademarks of The Longaberger Company. E-mail spamming is prohibited by The Longaberger Company. It may also be illegal and could violate your Internet service provider guidelines. You may not add, create or distribute content that is unlawful, harassing, libelous, slanderous, abusive, threatening, harmful, vulgar, obscene or otherwise violate any applicable local, state, national or international law or regulation. You may not represent another business in conjunction with your Longaberger business on any website or e-mail communication. You may not sell any licensed product (i.e. Collegiate, NFL, Hershey, John Deere, 4-H, American Valor or any other licensed products), current Host, current Booking Products, current Collectors Club, or current pre-campaign samples through any online auction service (e.g. ebay, Yahoo!, etc.). A Home Consultant may reprint/reproduce Longaberger pre-approved artwork or post Longaberger pre-approved information onto your personal website, including Facebook, MySpace.com, LinkedIn, blogs, etc., subject to any other restrictions in these Guidelines. Please know it is your responsibility to keep information on your personal website updated and current. However, a Home Consultant may not reprint/reproduce any Longaberger artwork, logo or other Longaberger trademark or copyrighted materials onto any secondary market website or any online auction service (e.g., ebay, Yahoo!, etc.). Home Consultants will immediately cease any use of any Longaberger artwork, logo and other Longaberger trademark or copyrighted materials, upon request by the Company. 3
Company Marks/Trade Dress It is very important that the Company s name and other marks are correctly used; otherwise, we could lose some of our legal protection. This would be detrimental to your business and to the Company. Trademarks must be used correctly and with the appropriate symbols. Use an asterisk by each prominently displayed mark of the Company with footnote stating Trademark owned by The Longaberger Company. Phrases or names must be accompanied by the appropriate mark, such as or, the first time it appears on a page, or where it appears prominently. You may not use the Company name or other marks on any materials that are to be sold to anyone. You may not use the Company name in the title or heading of any promotional materials. Please refer to the Company s literature to ensure that you have properly referenced each of the feature products in any business materials you produce. Many basket collection and fabric names, as well as many past and upcoming features, will have a trademark symbol in the upper right hand corner of the title. Many trademarked names eventually become federally registered trademarks. Some of our products are protected by patent or are patent pending when introduced. Please mark the business materials appropriately. The distinctive combination of product shapes, sizes, weave designs, fabric designs, colors and patterns all contribute toward trade dress that belong solely to the Company. The names and likenesses of Dave, Grandma Bonnie, Tami, Claire and other family members are subject to a right of publicity and are the exclusive property of the Company. You may never suggest that family members endorse or sponsor anything, and you may not authorize anyone to use any family member s name or likeness for any purpose. Upon request, the Company may require that samples of any communication or business materials that bear the Company s name, trade dress or Company-specific information be submitted for inspection. Should changes be necessary after review, the Home Consultant must promptly make those changes to comply with Company standards. If, for any reason, you cease to be a Home Consultant, the limited license automatically terminates and you must immediately cease all use of the Company s name and marks. Note that all advertisements, outside of our pre-approved ones, and any public communications of any type must be pre-approved by Consultant Support (See Advertising section for additional restrictions). A Home Consultant may not provide authorization to anyone, including retailers, to use in any way any Longaberger artwork, logo or other Longaberger trademark or copyrighted materials, without prior written permission from the Company. 4
Media Contact Any media coverage must include your status correctly as an Independent Longaberger Home Consultant and speak about your independent business. If the reporter is looking for more detailed information about the Company, please have the reporter contact Consultant Support at 740.322.7800. Non-Compete/Confidentiality You agree to refrain from, directly and indirectly recruiting Longaberger Consultants or contacts you have obtained through your Longaberger business for any other direct selling company and you agree that you will not represent another business in conjunction with your Longaberger business on any website, e-mail communication or at any event, open house, show, etc., excluding any Direct Selling Companies under CVSL. During the term of your Agreement, the Company may share confidential information including, but not limited to, customer, prospect or Home Consultant lists; business reports; financial, manufacturing or supplier information; product developments and sales reports. This information may not be disclosed, published, sold or licensed to any third party. It also may not be used in connection with any other businesses, to compete with the business of the Company, or to sell or promote any products other than Longaberger products, excluding any Direct Selling Companies under CVSL. Upon request or resignation or expiration or termination of your Home Consultant Agreement, all such confidential information must be returned to the Company. This covenant shall survive the expiration or termination of the Agreement. Assignment You agree to being filmed or photographed in connection with attendance at Company sponsored events, including, but not limited to, conventions, meetings, training programs, focus groups, gatherings, and other events held either on Company property or at remote locations. You also agree to the use of the resulting photographs and films, including any performance, voice, or other aspects of your persona embodied therein, by the Company for any purpose. In addition, you assign to the Company any copyright interest and right of publicity that may arise as a result of such filming or photography. You agree that this permission continues after your death or disability, or the expiration or termination of your Agreement with the Company. You hereby assign to the Company all rights including the entire copyright interest, in any creative work, including, but not limited to, writings, presentations, photography, videos, ideas, and plans, prepared by you and submitted to the Company for use by the Company for educational, promotional or other business purposes. Games of Chance (Door Prizes, Raffles, Bingo, etc.) It is your responsibility to ensure that all your activities comply with applicable laws. 5
Product Sales To support your sales efforts as well as reward and recognize your Party Host, you may not sell current Host, current Booking Products, Collectors Club or pre-campaign samples when offering cash and carry or use them as a door prize. To protect our licensing agreements, you may not sell a licensed product to a business or individual for the purpose of re-sale (i.e. Collegiate, NFL, Hershey, John Deere, 4-H, American Valor or any other licensed products). Longaberger at home and Longaberger Homestead You have a unique opportunity to increase your earning potential by participating in activities at the Longaberger at home showrooms. Longaberger at home showrooms help Home Consultants to develop confidence and connect uniquely with customers. Creating an engaging experience that generates interest for customers to know and see more of Longaberger will lead to increased business opportunities for you. Prior to participating in an activity at a Longaberger at home showroom, Home Consultants must first sign a Participant Agreement. A new Agreement (completed for each calendar year) may be obtained by downloading and printing from www.longaberger.com, My Account. All Agreements must be returned prior to participating in a scheduled event. In order to participate in activities at the Longaberger at home showrooms, a Home Consultant must be in good standing with the Company. Consultants participating in events at the showrooms are representatives of their own business and stewards of the values and ethics of The Longaberger Company. Floor Time Bookings are handled through Guest Relations: If you are unable to work a scheduled shift, please call Guest Relations 72 hours in advance to reschedule your time if any open shifts are available. A 72 hour notice needs to be given both to Guest Relations and the Showroom you are scheduled to work. At that time, the shift will be filled by the showroom Manager using the on call list that each showroom maintains. No show/no calls, arriving late, leaving your shift early or taking a longer than normal break period will be documented and after 3 occurrences you will forfeit any remaining shifts and will need to sit out for the remainder of the booking period or 2 months (whichever comes last). If you would like to be placed on the on call list let the showroom Manager know your contact information. The Home Consultant who books floor time must be the one who works the scheduled time. In the event you cannot work, the showroom will use the on-call list (in rotation) to fill the floor time. Dress Code: Dress code for the showrooms is business casual. We want you to be comfortable; however, you should present a professional image. Khaki or dark pants, neatly pressed, and a pressed, long-sleeved buttoned solid shirt are safe for both men and women. Polo/golf shirts are appropriate based on the season and activity. Clothing should be clean, unwrinkled and should not be too revealing. Footwear is to be closed toe and heel. Casual clothing and footwear that you would wear to the beach (including beach sandals), to exercise, or to run errands isn t suitable for the showroom. Consultants scheduled for Floor time must wear their Home Consultant name badge (available through Personalized Supplies) at all times during their shift. Showroom Guest Service: Creating a pleasant, no-pressure experience for all guests is important to the long-term engagement of customers in your business and their loyalty to Longaberger. While participating in a scheduled event, your first priority is the guest. Use of cell phones and computers on the showroom floor should be limited to tasks associated with assisting guests. Personal food and beverage also need to be kept off the showroom floor. 6
Shopping Tours: Shopping tours are booked through Guest Relations. Showrooms may open an hour before posted opening times to allow you and your guests a private showroom experience. All guests must arrive at the same time and sign the guest register at the start of the tour. You may want to consider booking the floor time shift during your tour. This is the only event/activity that is eligible for the Tour Perks Program. Open Houses/Meetings and Home Shows: Open Houses/Meetings and Home Shows will be booked in partnership with the showroom Manager. Each showroom is unique in what facilities it has to offer. Meeting rooms, seating, display tables, current core samples and food and beverage options differ by location. The showroom managers will be able to help you plan and facilitate a unique and rewarding Longaberger at home experience. More information regarding the Longaberger at home showrooms can be found on www.longaberger.com or by contacting Guest Relations. Military The Longaberger Company supports our reservists who are activated and military personnel and families who relocate in service to our country. Contact Consultant Support at careerandguidelinesupport@longaberger.com for details on our Military Opportunity. Partnerships/Corporations The Longaberger Company does not accept agreements from partnerships, teams or corporations. Only one individual is permitted per Home Consultant Agreement. Renewal A Home Consultant must have at least $ 1 in personal sales points for the sales year (July 1 June 30) to have their contract renewed for the following year. Should you choose to cancel your Home Consultant Agreement at anytime, you will need to submit your resignation request in writing to Consultant Support. You may contact them via e-mail at careerandguidelinesupport@longaberger.com. 7
Business Tool Fees In order to maintain and support your Business Tools as a Longaberger Home Consultant, there is a fee of $ 3.99 per month. Home Consultants have an opportunity to have the monthly fee waived each month based on reaching $ 350 in sales points the prior month. Business Tools include: Personal Website 24/7 Shopping 24/7 Recruiting Opportunity www.longaberger.com Back Office Training Online The Business Tool fee will be deducted on the 1st of the following month from your ACH bank account on file. If you do not have an ACH bank account on file, your Longaberger Activity Statement will be billed and payment is due promptly. Transfer Option The direct sales business model rewards individuals who work hard in sponsoring and sales. Therefore, we do not allow transfers from your original sponsor or Leader(s). If you feel it necessary to change sponsors, you must resign from the Company and refrain from conducting any form of Longaberger business for six months. After six months, you may submit a new Home Consultant Agreement with a new sponsor, purchase a new Business Kit and re-qualify with $ 1,000 in sales points. Returns Longaberger provides a 90 day return policy if the customer is not satisfied with the product, as well as a 90 day limited warranty. Returned Payments Payments returned for insufficient funds and other reasons, such as closed account or stopped payment, will be returned directly to The Longaberger Company. In addition to any fees your bank may charge you for returned payment, a $ 35 processing fee will be charged to your Longaberger activity statement for each payment returned to the Company. The amount of the returned payment and processing fee will already be considered past due. Tax Please see www.longaberger.com for information regarding sales tax collection, which may affect you depending on the state where you reside, and income tax reporting for certain levels of sales and compensation. 8