59-1729 Marketing plan; earning potential claim; substantiated by data. - Nebraska Statutes

59-1729. Marketing plan; earning potential claim; substantiated by data.In selling, leasing, or offering to sell or lease a seller-assisted marketing plan in this state, sellers of such plans shall not represent that the seller-assisted marketing plan provides income or earning potential of any kind unless the seller has data to substantiate the claims of income or earning potential and discloses this data to the purchaser at the time the claim is made, if made in person, or if made through written or telephonic communication, at the first in-person communication thereafter and, when disclosed, the data is left with the purchaser. A mathematical computation of the number of sales, multiplied by the amount of profit per sale to reach a projected income figure is not sufficient data to substantiate an income or earning potential claim. The data left by the seller must at least disclose:(1) The length of time the seller has been selling the particular seller-assisted marketing plan being offered;(2) The number and percentage such number represents of the total number of purchasers who form the basis for the income or earning potential representation; and(3) The number of purchasers known to the seller to have made at least the same sales, income, or profits as those represented. SourceLaws 1979, LB 180, § 29.