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MEMBER AGREEMENT TERMS & CONDITIONS

I hereby apply to become a Blastoff Communications LLC, d/b/a Blastoff Network (hereinafter “Company”) Member. As a Member, I understand and agree that:
  1. I am of legal age in the state in which I enter this agreement.
  2. I shall become a Member upon acceptance of this application by the Company. As a Member, I shall have the right to purchase products and services through Blastoff Network, promote the sale of such services and products to other Members, sponsor others as Members (and thereby build a network), and earn bonuses and commissions in accordance with the Company’s Commission Plan, which may be amended and changed from time to time.
  3. I have carefully reviewed the Company’s Commission Plan and Policies and Procedures, both of which are incorporated into and made a part of these Terms & Conditions (these three documents shall collectively be referred to as the “Agreement”). I understand that I must be in good standing, not in violation of the Agreement, and the age of majority in my state of residence to be eligible for receipt of bonuses or commissions from Company. I understand that these Terms & Conditions, the Policies and Procedures, or the Commission Plan may be amended at the sole discretion of the Company, and I agree to abide by all such amendments. Notification of amendments shall be posted on Company’s website and mailed to all Members, and shall become effective 10 days after such notification. The continuation of my Membership or my acceptance of bonuses or commissions shall constitute my acceptance of any and all amendments.
  4. The term of this Agreement is one year, subject to prior cancellation or termination as provided in the Agreement. Members, who wish to continue their Memberships, must renew the Agreement annually. If I fail to annually renew the Agreement, or if it is canceled or terminated for any reason, I understand that I will permanently lose all rights as a Member. I shall not be eligible to purchase products or services through Blastoff Network, sponsor others as Blastoff Network Members, promote the sale of products and services through Blastoff Network, and will not be eligible to receive commissions, bonuses, or other income through the Commission Plan. In the event of cancellation, termination or non-renewal, I waive all rights I have, including but not limited to property rights, to my former downline network and to any bonuses, commissions or other remuneration derived through the purchases and other activities of my former downline network.
  5. A Member shall be entitled to cancel this Agreement at any time and for any reason upon written notice to the Company at its principal business address. The Company may cancel this Agreement as provided in the Policies and Procedures or for any reason upon 30 days prior written notice to Member.
  6. Upon acceptance of this application by the Company, I will be an independent contractor and not an employee, partner, legal representative, or franchisee of the Company. I agree that I will be responsible for paying all expenses incurred by myself related to my Membership, including but not limited to, travel, food, lodging, secretarial, office, telephone, and other expenses. I UNDERSTAND THAT I WILL NOT BE TREATED AS AN EMPLOYEE OF THE COMPANY FOR FEDERAL OR STATE TAX PURPOSES. The Company is not responsible for withholding, and shall not withhold or deduct from my bonuses and commissions, if any, FICA or taxes of any kind. It is my responsibility to pay all local, state, and federal taxes on any income generated through my participation in Blastoff Network.
  7. I will not use the Company’s trade name and/or trademarks except as provided in the Policies and Procedures.
  8. Member acknowledges that absolutely no fees or purchases have been or will be required from the Member for the right to fully participate in Blastoff Network.
  9. I agree to comply with all applicable federal, state, county and local laws, rules and regulations pertaining to this Agreement and my Membership and, at my own expense, make, execute or file all such reports and obtain such licenses as are required by law.
  10. I understand that if I fail to comply with the terms of the Agreement, the Company may, at its discretion, impose upon me disciplinary sanctions as set forth in the Policies and Procedures. If I am in breach, default or violation of the Agreement at termination, I shall not be entitled to receive any further bonuses or commissions, whether or not the sales for such bonuses or commissions have been completed.
  11. The Company, its parent or affiliated companies, directors, officers, shareholders, employees, assigns, and agents (collectively referred to as “affiliates”), shall not be liable for, and I release the Company and its affiliates from, all claims for consequential and exemplary damages for any claim or cause of action relating to the Agreement. I further agree to release the Company and its affiliates from all liability arising from or relating to my promotion of Blastoff Network program and opportunity, and any activities related thereto (e.g., the presentation of the Company’s products, services, or Commission Plan, the operation of a motor vehicle, the lease of meeting or training facilities, etc.), and agree to indemnify the Company for any claims, demands, liability, judgments, damages, fines, penalties, attorney fees, or other awards arising from any conduct that I undertake in promoting Blastoff Network or building my network.
  12. This Agreement, in its current form and as amended by the Company at its discretion, constitutes the entire agreement between the Member and the Company. Any promises, representations, guaranties or agreements not expressly set forth in the Agreement are of no force or effect.
  13. I may not assign any rights or delegate my duties under the Agreement without the prior written consent of the Company. Any attempt to transfer or assign the Agreement without the express written consent of the Company renders the Agreement voidable at the option of the Company and may result in termination of my Member Agreement.
  14. Any waiver by the Company of any breach of the Agreement must be in writing and signed by an authorized officer of the Company. Waiver by the Company of any breach of the Agreement by me shall not operate or be construed as a waiver of any subsequent breach.
  15. This Agreement shall be governed by and construed in accordance with the laws of the state of Texas, without regard to principles of conflicts of laws. In the event of a dispute between a Member and the Company arising from or relating to the Agreement, or the rights and obligations of either party, the dispute shall be settled totally and finally by arbitration as more fully described in the Policies and Procedures.
  16. The parties consent to jurisdiction and venue before any federal or state court in Collin County, State of Texas, for purposes of enforcing an award by an arbitrator or any other matter not subject to arbitration.
  17. Louisiana Residents: Notwithstanding the foregoing, Louisiana residents may bring an action against the Company with jurisdiction and venue as provided by Louisiana law.
  18. If a Member wishes to bring an action against the Company for any act or omission relating to or arising from the Agreement, such action must be brought within one year from the date of the alleged conduct giving rise to the cause of action. Failure to bring such action

THE BLASTOFF NETWORK STATEMENT OF POLICIES AND PROCEDURES

  1. Introduction. Blastoff Communications LLC, d/b/a Blastoff Network (hereinafter referred to as “Blastoff Network” or the "Company") is a direct selling membership company that markets wireless plans and phones, electronics and technology products, TV Programming, VOIP and other internet-related services, and other consumer services and products to Independent Blastoff Network Members (hereafter “Member” or “Members”). The Policies and Procedures herein are applicable to all such Members.
  2. Policies and Procedures and Commission Plan. These Policies and Procedures, in their present form and as amended at the sole discretion of the Company, are incorporated into, and form an integral part of, the Blastoff Network Independent Member Application and Agreement. Throughout these Policies and Procedures, when the term “Agreement” or “Member Agreement” is used, it collectively refers to the Blastoff Network Independent Member Application and Agreement, these Policies and Procedures, and the Blastoff Network Commission Plan. These documents (in their current form and as amended by the Company) are incorporated by reference into the Blastoff Network Independent Member Application and Agreement. It is the responsibility of each Member to read, understand, adhere to, and ensure that he or she is aware of and operating under the most current version of these Policies and Procedures. When sponsoring or enrolling a new Member, it is the responsibility of the sponsoring Member to ensure that the applicant is provided with, or has online access to, the most current version of these Policies and Procedures and the Commission Plan prior to his or her execution of the Member Agreement.
  3. Becoming a Member. To become a Member, each applicant must: a. Be of the age of majority in his or her state of residence; b. Reside in the United States, a U.S. Territory, or any country that the Company has officially announced is open for business; c. Have a valid Social Security or Federal Tax ID number; and d. Submit a properly completed Member Application and Agreement to the Company either in hard copy or online format.
  4. Right to Refuse Application. The Company reserves the right to accept or reject anyone as a Member.
  5. No Purchase or Payment Required. No applicant is required to purchase Company products, services or sales aids, or to pay any charge or fee to become or to remain a Member.
  6. Term of Agreement. The term of the Member Agreement is one year from the date of its acceptance by the Company (subject to prior termination as provided herein). The Agreement may be renewed for successive one year terms upon the completion of an application for renewal by the Member. If the Agreement is not renewed within 30 days after the expiration of the current term of the Member Agreement, the Member Agreement will be canceled.
  7. Independent Contractor Status. Members are independent contractors and are not purchasers of a franchise, business opportunity, or a distributorship. The Agreement between the Company and each Member does not create an employer\employee relationship, agency, partnership, or joint venture between the Company and the Members. A Member shall not be treated as an employee for his or her services or for Federal or State tax purposes. All Members are responsible for paying local, state, and federal taxes due from all compensation earned as a Blastoff Network Member. Each Member shall hold the Company harmless from any claims, damages or liabilities arising out of Member's business practices. Members have no authority to bind the Company to any obligation.
  8. Member Ethics. In participating in the Blastoff Network program and opportunity, the Member shall safeguard and promote the reputation of the Company and its products and services, and shall refrain from all conduct that might be harmful to such reputation or that is inconsistent with the public interest, and shall avoid all discourteous, deceptive, misleading, unethical or immoral conduct or practices.
  9. Bonuses and Commissions. a. All Members have the right to participate in The Blastoff Network Commission Plan. The Commission Plan is built upon retail sales of products and services through The Blastoff Network web portals. A Member must be active and in compliance with the Agreement to qualify for bonuses and commissions under the Commission Plan. b. So long as a Member complies with the terms of the Agreement, the Company shall pay commissions to such Member in accordance with the Commission Plan. The minimum amount for which the Company will issue payment under the Commission Plan is $20.00. If a Member’s bonuses and commissions do not equal or exceed $20.00, the Company will accrue the commissions and bonuses until they total $20.00. Payment will be issued once $20.00 has been accrued. Notwithstanding the foregoing, all commissions owed a Member, regardless of the amount accrued, will be paid to the Member at the end of each fiscal year. c. Each merchant agreement specifies a holding period of varying length to validate transactions and allow for product returns or service cancellations. After the holding period, the merchant approves the commission for payment and initiates a payment cycle from the merchant to a commission aggregator to the Company. Blastoff Network will process payment to members 45 days after the end of the month in which the commission status is approved, subject to the Company receiving payment of the commission. In addition, Blastoff Network reserves the right to suspend commission payments flagged as irregular or unusual in pattern or amount pending completion of investigation and validation of transaction(s) with the merchant(s). Accordingly, commissions are accrued to a Member’s account between 75 days and 165 days after the sales transaction that generates the payment of a commission to a Member. Thus, if a sales transaction takes place on January 1, the commissions generated by that sale will not accrue to the selling Member and the Members in the Member’s Network until at least March 17 (75 days after the date of the sale), and may not accrue to said Members’ accounts until about June 17 (165 days after the date of the sale). d. Member commissions will be paid by check mailed to the Member’s mailing address and are subject to $2 per check fee to cover processing and mailing costs that will be deducted from the Member’s commission payment.
  10. Minors. A person who is recognized as a minor in his/her state of residence may not be a Blastoff Member. In no event may a minor under 13 years of age enroll as a Member.
  11. Returned Products or Cancelled Services. Members receive bonuses and commissions based on the actual sales of products and services to end consumers. When a product is returned to the vendor or supplier of the product and the purchaser receives a refund (or a service is cancelled and the customer or Member is entitled to a refund) the bonuses and commissions attributable to the refunded product or service will be deducted, beginning in the month in which the refund is given and continuing every pay period thereafter until the bonuses and commissions are recovered, from the future bonuses or commissions payable to the Members who received bonuses and commissions on the sales of the refunded product or cancelled service.
  12. Tax ID Number. All Members are responsible for paying local, state and federal taxes due on earnings from commissions or any other earnings generated as a Blastoff Network Member. The Company is obligated to report the earnings of each Member who receives $600 or more in commissions in a calendar year to the IRS In addition, the Company is required to issue an IRS Form 1099 to each such Member. In order to comply with these legal requirements, the Company must request the Social Security Number or Federal Tax ID Number of such Members. Therefore, as soon as a Member has earned at least $500 in a calendar year, the Company will notify the Member that he, she or it needs to complete an IRS Form W-9 (Request for Taxpayer Identification) and provide it to the Company. The Form W-9 may be downloaded from the IRS website at: http://www.irs.gov/pub/irs-pdf/fw9.pdf?portlet=3. If a Member is required to submit a Form W-9 to the Company and fails to do so, the Company may, at its election, a) cease paying commissions to the Member on future sales, b) perform backup withholding as required by law from future commission payments, or c) cancel the Member Agreement.
  13. Advertising. Members shall not advertise the Blastoff Network except as specifically approved by the Company or as otherwise provided in these Policies and Procedures. Members agree to make no false or fraudulent representations about the Company, the products or services available through it, the Commission Plan, or income potentials.
  14. Trademarks, Trade Names, Advertising. a. The name of the Company and other names as may be adopted by the Company are proprietary trade names and trademarks of the Blastoff Network. As such, these marks are of great value to the Company and are supplied to Member for Member's use only in an expressly authorized manner. Member agrees not to advertise the Blastoff Network, the products and services available through it, or the Blastoff Network opportunity in any way other than the advertising or promotional materials made available to Member by the Company. Member agrees not to use any written, printed, recorded or any other material in advertising, promoting or describing the Blastoff Network, the products or services available through the Blastoff Network, or the Blastoff Network marketing program unless such material has been supplied by the Company for Member’s use or has been submitted to the Company and approved in writing by the Company before being disseminated, published or displayed. b. Member, as an independent contractor, is fully responsible for all of his\her verbal and written statements made regarding the Blastoff Network, the products and services available through it, and its marketing program, which are not expressly contained in writing in the current Member Agreement or advertising or promotional materials supplied directly by the Company. Member agrees to indemnify the Company its directors, officers, employees, and agents, and hold them harmless from any and all liability including judgments, civil penalties, refunds, attorney fees, court costs or lost business incurred by the Company as a result of Member's unauthorized representations or actions. This provision shall survive the termination of the Member Agreement. c. The Company will not permit the use of its copyrights, designs, logos, trade names, trademarks, etc. without its prior written permission. d. All Company materials, whether printed, on film, video or digital media, or produced by sound recording, or on the Internet, are copyrighted and may not be reproduced in whole or in part by Members or any other person except as authorized by the Company. e. A Member may not produce, use or distribute any information relative to the Company, its products and services, or its marketing program which has not been provided directly by the Company or previously approved by the Company in writing. This prohibition includes but is not limited to print, audio or video media. f. A Member may not produce, sell or distribute literature, films or sound recordings, which are deceptively similar in nature to those produced, published and provided by the Company for its Members. Nor may a Member purchase, sell or distribute non-Company materials which imply or suggest that said materials originate from the Company. g. Any display ads or institutional or trademark advertising copy, other than covered in the foregoing policies, must be submitted to the Company and approved in writing by the Company prior to publication. h. All advertising copy, direct mailing, radio, TV, newspaper and display copy that promotes the Company’s products, services or marketing program must be approved in writing before being disseminated, published or displayed. This provision applies to blind ads (ads that make no reference to the Company, its products, services or marketing program). i. Business Cards and Stationery. Any printed materials, including business cards and stationery, must be approved by the Company in advance. Criteria for approving these materials will include a judgment regarding the quality of the materials as well as properly setting forth the independent status of the Member. j. Telemarketing. Members must not engage in telemarketing in the promotion of the Blastoff Network or the Blastoff Network opportunity. The term “telemarketing” means the placing of one or more telephone calls to an individual or entity to induce the purchase of a product or service, or to recruit them for the Blastoff Network opportunity. “Cold calls" made to prospective customers or Members that promote either the Blastoff Network’s products or services or the Blastoff Network opportunity constitute telemarketing and are prohibited. However, a telephone call(s) placed to a prospective customer or Member (a "prospect") is permissible under the following situations: i) If the Member has an established business relationship with the prospect. An “established business relationship” is a relationship between a Member and a prospect based on the prospect’s purchase, rental, or lease of goods or services from the Member, or a financial transaction between the prospect and the Member, within the eighteen (18) months immediately preceding the date of a telephone call to induce the prospect's purchase of a product or service. ii) The prospect’s personal inquiry or application regarding a product or service offered by the Member, within the three (3) months immediately preceding the date of such a call. iii) If the Member receives written and signed permission from the prospect authorizing the Member to call. The authorization must specify the telephone number(s) which the Member is authorized to call. iv) Members may call family members, personal friends, and acquaintances. An “acquaintance” is someone with whom a Member has at least a recent first-hand relationship within the preceding three months. Bear in mind, however, that if a Member engages in “card collecting” with everyone the Member meets, and subsequently calling them, the FTC may consider this a form of telemarketing that is not subject to this exemption. Thus, if a Member engages in calling “acquaintances,” The Member must make such calls on an occasional basis only and not make this a routine practice. v) In addition, Members shall not use automatic telephone dialing systems relative to the promotion of the Blastoff Network products, services or opportunity. The term “automatic telephone dialing system” means equipment which has the capacity to: (a) store or produce telephone numbers to be called, using a random or sequential number generator; and (b) to dial such numbers.
  15. Internet and Website Policy. No Member may independently design a website that uses the names, logos, or product descriptions of the Company, nor may a Member use "blind" ads on the internet making product or income claims which are ultimately associated with the Blastoff Network. Any person using Company names, logos, trademarks, etc. on the Internet or any other advertising medium, except as permitted by these Policies and Procedures, shall be subject to immediate discipline, including termination of the Member Agreement.
  16. No Spam or Unsolicited Faxes Policy. It is specific Company policy to prohibit unsolicited email (spamming) or information by facsimile relating to the Company's opportunity and products. The Company has a zero tolerance policy of spamming practices. Members who violate the Company's "no spam or unsolicited faxes policy" are subject to termination, suspension or disciplinary action.
  17. Trade Shows. With written authorization from the Company, the Blastoff Network membership program and opportunity may be displayed at trade shows by Members. Request for participation in trade shows must be received in writing by the Company at least two weeks prior to the show. Written authorization from the Company must be received before participating in the trade show. The Company’s products, services, and opportunity are the only products, services, and/or opportunity that may be offered in the trade show booth. Only Company produced marketing materials may be displayed or distributed. No Member may sell or promote the Company's products, services, or opportunity at flea markets, swap meets, or garage sales.
  18. International Sponsoring. a. Because of critical legal and tax considerations, presentation of the Blastoff Network must be limited to prospective Members located within the United States, U.S. Territories, and those other countries that the Company has announced are officially opened for business. b. Accordingly, Members are authorized to sponsor other Members only in the countries in which the Company is authorized to conduct business, as announced in official Company literature. No Member may, in any unauthorized country: (a) conduct enrollment or training meetings; (b) enroll or attempt to enroll potential Members; or (c) conduct any other activity for the purpose of establishing a Marketing Organization or promoting the Company opportunity. c. Members who choose to sponsor internationally may do so only in countries in which the Company has registered to operate its business and must comply fully with the any Blastoff Network policies, procedures or rules applicable to such country or countries. Any violation of this policy constitutes a material breach of this contract and is grounds for immediate termination of the Member Agreement.
  19. Member Right to Cancel. The Member Agreement may be canceled at any time and for any reason by a Member notifying the Company in writing of the election to cancel.
  20. Cancellation of Member Agreement. a. If a Member cancels or elects not to renew his\her Member Agreement, or if the Member’s Member Agreement is involuntarily canceled as provided herein, the former Member shall have no right, title, claim or interest to the Network which he or she built, or any commission or bonus from the sales generated by the Network. A Member whose business is cancelled will lose all rights as a Member. This includes the right to purchase products or services through the Blastoff Network and the right to receive future commissions, bonuses, or other income resulting from the sales and other activities of the Member’s former Network. In the event of cancellation, Members agree to waive all rights they may have, including but not limited to property rights, to their former Network and to any bonuses, commissions or other remuneration derived from the sales and other activities of his or her former Network. b. A Member whose Member Agreement is canceled shall receive commissions and bonuses only for the last full payment period he or she was active prior to cancellation (less any amounts withheld during an investigation preceding an involuntary cancellation). c. If a Member was paid a bonus or commission based on a product or service that he or she purchased, and such product is subsequently returned for a refund (or the service is canceled and a refund issued), the commission that was paid to the Member based on that product or service purchase will be deducted from the amount of the refund.
  21. Compliance with Laws and Regulations. Each Member shall comply with all federal, state, and local laws, ordinances, and regulations relative to his or her participation in the Blastoff Network.
  22. Competing Products and Services. Member shall not sell, or attempt to sell, any competing non-Company programs, products, or services to other Members, other than personally sponsored Members. Any program, product, or services in the same generic categories as Company products or services is deemed to be competing, regardless of differences in cost, features, or other distinguishing factors.
  23. Non-Solicitation. Members are free to participate in other multilevel or network marketing business ventures or marketing opportunities (collectively “network marketing”). However, during the term of this Agreement, Member may not directly or indirectly recruit other Members for any other network marketing business, except those Members that Member personally sponsored. Following the cancellation of a Member’s Member Agreement, and for a period of six calendar months thereafter, with the exception of a Member who was personally sponsored by the former Member, a former Member may not recruit any Member for another network marketing business. Members and the Company recognize that because network marketing is conducted through networks of independent contractors dispersed across the entire United States and internationally, and business is commonly conducted via the internet and telephone, an effort to narrowly limit the geographic scope of this non-solicitation provision would render it wholly ineffective. Therefore, Members and the Company agree that this non-solicitation provision shall apply to all markets in which the Company conducts business. For purposes of this non-solicitation provision, the term “recruit” means the actual or attempted sponsorship, solicitation, enrollment, encouragement, or effort to influence in any other way, either directly, indirectly, or through a third party, another Member to enroll or participate in another multilevel marketing, network marketing or direct sales opportunity. Such conduct constitutes recruiting even if the Member’s actions are in response to an inquiry made by another Member.
  24. Reports; Confidentiality. a. On a periodic basis, the Company will supply data processing information and reports (referred to in this section as “Reports”) to the Member which will provide information to the Member concerning the other Members in Member's Network (downline organization). Member agrees that the information contained in such Reports is proprietary and confidential to the Company and is transmitted to the Member in confidence for the sole purpose of assisting the Member in the operation of his or her Blastoff Network business. Member agrees that he or she shall not, on his or her own behalf, or on behalf of any other person, partnership, association, corporation or other entity: i. Use the information contained in Report to compete with Company or for any purpose other than promoting or supporting his or her Blastoff Network business; ii. Recruit or solicit any Member listed on any Report, or in any manner attempt to influence or induce any Member to alter their business relationship with the Company; or iii. Disclose any information contained in any Report to any third party directly or indirectly. b. The Member and the Company agree that, but for this agreement of confidentiality and nondisclosure, the Company would not provide the above confidential information to the Member. Upon demand by the Company, any current or former Member will return the original and all copies of all Reports to the Company.
  25. Vendor Confidentiality. The Company's business relationship with its vendors, manufacturers and suppliers is confidential. A Member shall not contact, directly or indirectly, or speak to or communicate with any representative of any supplier or manufacturer of the Company except at a Company sponsored event at which the representative is present at the request of the Company. Violation of this regulation may result in termination and possible claims for damages if the vendor/manufacturer's association is compromised by the Member contact.
  26. Death or Incapacity. Upon the death or incapacity of the Member, his or her rights to bonuses and marketing position, together with Member responsibilities, shall pass to his or her successors in interest upon written application and approval by the Company. The successor Member must fulfill all responsibilities of the Member.
  27. Sale, Transfer or Assignment of Membership. A Member may not sell, assign or otherwise transfer his or her Member Agreement, marketing position or other Member rights without written application and approval by the Company. If a Member wishes to sell, transfer or assign his or her Membership, the Member must submit a written request to the Company and provide all information reasonably requested by the Company. The Company will, in its sole and absolute discretion, approve or deny the sale, transfer or assignment within 30 days after its receipt of all necessary documents from the parties. If the parties fail to obtain the Company’s approval for the transaction, the transfer shall be voidable at the Company’s option. The purchaser, transferee or assignee of the Membership will assume the obligations and position of the selling, transferring or assigning Member. No changes in line of sponsorship can result from the sale, transfer, or assignment of a Member Agreement.
  28. Entire Agreement. The Member Agreement (which includes the Policies and Procedures and the Commission Plan), as it currently exists or as amended by the Company, constitutes the entire agreement of the parties regarding their business relationship.
  29. Amendment. The Company expressly reserves the right to alter or amend its prices, these Policies and Procedures, the Member Agreement, products and services availability, and the Commission Plan. Members will be given ten (10) day's notice of any amendments by email and/or by posting to the Company’s website. The continuation of a Member’s Member Agreement or a Member’s acceptance of bonuses or commissions constitutes acceptance of any and all amendments.
  30. Business Entities. A partnership, limited liability company (LLC), trust or corporation (referred to in this section as a “business entity”) may apply to be a Member. A Member may change status under the same sponsor from individual to a business entity or from one type of business entity to another with proper and complete documentation as requested by the Company. In the event a corporation, partnership, LLC or trust enrolls as a Member, the business entity agrees that any actions of corporate shareholders, members, trustees, officers, directors, agents or employees and the actions of partnership partners, agents or employees, which violate the Agreement shall be attributable to the business entity.
  31. Divorce or Separation of a Business Entity. a. Members sometimes enroll as husband-wife partnerships, regular partnerships, LLCs, corporations, or trusts. At such time as a marriage may end in divorce or a corporation, LLC, partnership or trust (the latter four entities are collectively referred to herein as “entities”) may dissolve, arrangements must be made to assure that such occurrence does not adversely affect the interests and income of other Members up or down the line of sponsorship. If the separating parties fail to provide for the best interests of other Members and the Company in a timely fashion, the Company will involuntarily terminate the Member Agreement. b. Unless otherwise agreed by the Company and the Member, during the divorce or entity dissolution process, all compensation paid by the Company will be paid according to the status quo as it existed prior to the divorce filing or dissolution proceedings. c. Under no circumstances will the Network of divorcing spouses or a dissolving business entity be divided. Similarly, under no circumstances will the Company split commission and bonus checks between divorcing spouses or members of dissolving entities. In the event the parties to a divorce or dissolution proceeding are unable to resolve a dispute over the disposition of commissions and ownership of the business in a timely fashion as determined by the Company, the Member Agreement shall be involuntarily canceled. d. If a former spouse or entity affiliate has completely relinquished all rights in the original distributorship pursuant to a divorce or entity dissolution, he or she is thereafter free to enroll under any sponsor of his or her choosing without waiting six calendar months. In either case, the former spouse or business affiliate shall have no rights to any Members in their former Network. They must develop the new business in the same manner as would any other new Member.
  32. Disciplinary Sanctions. a. Violation of the Agreement (including these Policies and Procedures) or violation of any common law duty, including but not limited to any applicable duty of loyalty, or any illegal, fraudulent, deceptive or unethical business conduct, or any act or omission by a Member that, in the sole discretion of the Company may damage its reputation or goodwill (such act or omission need not be related to the Member’s Company business), may result, at the Company's discretion, in one or more of the following corrective measures: i. Issuance of a written warning or admonition; ii. A requirement the Member to take immediate corrective measures; iii. The imposition of a fine, which may be withheld from bonus and commission checks; iv. The Member’s loss of rights to one or more bonus and commission checks; v. The suspension of the Member’s Member Agreement for one or more payment periods; vi. The transfer of a portion or all of the Member’s Network or downline; vii. The involuntary termination of the offender’s Member Agreement; or viii. Any other measure expressly allowed within any provision of the Agreement or which the Company deems practicable to implement and appropriate to equitably resolve injuries caused partially or exclusively by the Member’s policy violation or contractual breach. b. In situations deemed appropriate by the Company, the Company may institute legal proceedings for monetary and/or equitable relief. c. The Company may withhold from a Member all or part of the Member’s bonuses and commissions during the period that the Company is investigating any conduct allegedly violative of the Agreement. If a Member’s Member Agreement is canceled for disciplinary reasons, the Member will not be entitled to recover any commissions withheld during the investigation period.
  33. Involuntary Termination. A Distributor’s violation of any of the terms of the Agreement, including any amendments that may be made by Blastoff Network in its sole discretion, may result in any of the sanctions listed in Section 32, including the involuntary termination of his or her Member Agreement. Such involuntary termination shall be made by the Company at its discretion. Upon an involuntary termination, the Company shall notify the Member by mail at the latest address listed with the Company for the Member. In the event of a termination, the terminated Member agrees to immediately cease representing him/herself as a Member.
  34. Notice of Termination and Right to Appeal. a. When a decision is made to terminate a Member’s Member Agreement, the Company will inform the Member in writing that the Member Agreement is terminated immediately, effective as of the date of the written notification. The termination notice will be sent by certified mail to the Member's address on file with the Company. b. The Member will have 15 days from the date of mailing of the certified letter in which to appeal the termination in writing. The Member's appeal correspondence must be received by the Company within 20 days of the Company's termination letter. If the appeal is not received within the 20-day period, the termination will be automatically deemed final. c. If a Member files a timely appeal of termination, the Company will review and reconsider the termination, consider any other appropriate action, and notify the Member of its decision. The decision of the Company will be final and subject to no further review. In the event the termination is not rescinded, the termination will be effective as of the date of the Company's original termination notice.
  35. Roll Up. When a vacancy occurs in a Network due to the termination of a Member’s Member Agreement, each Member in the first level immediately below the terminated Member on the date of the cancellation will be moved to the first level (“front line”) of the terminated Member’s sponsor. For example, if A sponsors B, and B sponsors C1, C2, and C3, if B’s Member Agreement is terminated, C1, C2, and C3 will “roll-up” to A and become part of A’s first level.
  36. Sponsoring. All Members have the right to sponsor other Members. In addition, every person has the ultimate right to choose his/her own sponsor. If two Members should claim to be the sponsors of the same new Member, the Company shall regard the first Member Agreement received by the corporate home office as controlling.
  37. Cross Sponsoring. a. Actual or attempted cross sponsoring is strictly prohibited. “Cross sponsoring” is defined as the enrollment of an individual who or entity that already has a current Member Agreement on file with the Company, or who has had such an agreement within the preceding six calendar months, within a different line of sponsorship. The use of a spouse’s or relative’s name, trade names, DBAs, assumed names, corporations, partnerships, trusts, federal ID numbers, fictitious ID numbers or any strawman or other artifice to circumvent this policy is prohibited. Members shall not demean, discredit or defame other Members in an attempt to entice another Member to become part of the first Member’s Network. b. If Cross Sponsoring is discovered, it must be brought to the Company’s attention immediately. The Company may take disciplinary action against the Member that changed organizations and/or those Members who encouraged or participated in the Cross Sponsoring. The Company may also move all or part of the offending Member’s Network to his or her original Network if the Company deems it equitable and feasible to do so. However, the Company is under no obligation to move the Cross Sponsored Member’s Network, and the ultimate disposition of the organization remains within the sole discretion of the Company. Members waive all claims and causes of action against the Company arising from or relating to the disposition of the Cross Sponsored Member’s Network.
  38. Transfer of Sponsorship. Transfer of a Member from one Sponsor to another is prohibited. Maintaining the integrity of sponsorship is absolutely mandatory for the success of the overall organization.
  39. Cancellation and Reapplication. A Member may legitimately change networks by voluntarily canceling his or her Member Agreement and remaining inactive (i.e., no sponsoring, no attendance at any Company functions, and no participation in any other form of Member activity or operation of any other distributorship) for six (6) full calendar months. Following the six month period of inactivity, the former Member may reapply under a new Sponsor, however, the former Member’s Network will remain in the original line of sponsorship. The Company will consider waiving or reducing the six month waiting period under exceptional circumstances. Such requests for waiver must be submitted to the Company in writing.
  40. Income Claims. No income claims, income projections nor income representations may be made to prospective Members. Obviously, any false, deceptive or misleading claims regarding the opportunity or product\service are prohibited. In their enthusiasm, Members are occasionally tempted to represent hypothetical income figures based upon the inherent power of network marketing as actual income projections. This is counter-productive, since new Members may be quickly disappointed if their results are not as extensive or as rapid as a hypothetical model would suggest. The Company believes firmly that the income potential is great enough to be highly attractive in reality without resorting to artificial and unrealistic projections.
  41. Representation of Status. In all cases, any reference the Member makes to him/herself must clearly set forth the Member's independent status. For example, if the Member has a business telephone, the telephone may not be listed under the Company's name or in any other manner which does not disclose the independent contractor status of the Member.
  42. Press Inquiries. Any inquiries by the media are to be referred immediately to the Company. This policy is to assure accuracy and consistent public image.
  43. No Governmental Approval or Endorsement. Federal and state regulatory agencies rarely approve or endorse direct selling programs. Therefore, Members may not represent that the Company's program has been approved or endorsed by any governmental agency.
  44. Waiver. The Company never gives up its right to insist on compliance with the Member Agreement, these Policies and Procedures, or with the applicable laws governing the conduct of a business. This is true in all cases, both specifically expressed and implied, unless an officer of the Company who is authorized to bind the Company in contracts or agreements specifies in writing that the Company waives any of these provisions. In addition, any time the Company gives permission for a breach of these Policies and Procedures, that permission does not extend to future breaches. This provision deals with the concept of "waiver," and the parties agree that the Company does not waive any of its rights under any circumstances short of the written confirmation alluded to above.
  45. Delays. The Company shall not be responsible for delays or failures in performance of its obligations when performance is made commercially impracticable due to circumstances beyond its reasonable control. This includes, without limitation, strikes, labor difficulties, riot, war, fire, death, curtailment of a party’s source of supply, or government decrees or orders.
  46. Arbitration. a. Any controversy or claim arising out of or relating to the Agreement, or the breach thereof, shall be settled by arbitration administered by the American Arbitration Association under its Commercial Arbitration Rules, and judgment on the award rendered by the arbitrator may be entered in any court having jurisdiction thereof. Members waive all rights to trial by jury or by any court. All arbitration proceedings shall be held in the City of Plano, Texas, unless the laws of the state in which a Member resides expressly require the application of its laws, in which case the arbitration shall be held in the capital of that state. All parties shall be entitled to all discovery rights pursuant to the Federal Rules of Civil Procedure. There shall be one arbitrator, an attorney at law, who shall have expertise in business law transactions with a strong preference being an attorney knowledgeable in the direct selling industry, selected from the panel which the American Arbitration Association provides. Each party to the arbitration shall be responsible for its own costs and expenses of arbitration, including legal and filing fees. The decision of the arbitrator shall be final and binding on the parties and may, if necessary, be reduced to a judgment in any court of competent jurisdiction. This agreement to arbitration shall survive any termination or expiration of the Agreement. b. Notwithstanding the foregoing, nothing in these Policies and Procedures shall prevent the Company from applying to and obtaining from any court having jurisdiction a writ of attachment, a temporary injunction, preliminary injunction, permanent injunction or other relief available to safeguard and protect its interest prior to, during or following the filing of any arbitration or other proceeding or pending the rendition of a decision or award in connection with any arbitration or other proceeding.
  47. Governing Law, Jurisdiction and Venue. These Policies and Procedures and the Member Agreement are reasonably related to the laws of the state of Texas and shall be governed in all respects thereby. The parties agree that jurisdiction and venue and venue of any matter not subject to arbitration shall exclusively lie with the place of acceptance of the Member Agreement, Collin County, State of Texas. Notwithstanding the foregoing and the arbitration provisions in Section 46 above, residents of the State of Louisiana shall be entitled to bring an action against the Company in their home forum and pursuant to Louisiana law.
  48. Partial Validity. Should any portion of these Policies and Procedures, the Member Agreement, or of any other instruments referred to herein or issued by the Company be declared invalid by a court of competent jurisdiction, the balance of such rules, applications, or instruments shall remain in full force and effect.

    Blastoff Commission Plan

    Free

    There is no cost associated with becoming a Blastoff Member, or in participating in the Blastoff Commission Plan. Each Member is, however, required to abide by the Terms and Conditions set forth in the Blastoff Policies and Procedures.

    Age Requirements

    The age requirement for becoming a Blastoff Member and participating in the Blastoff Commission Plan is 18.

    Commissions Are Subject to Change

    Commissions on all products and services are subject to change at any time without cause or reason.

    Commission Payments

    The minimum amount for which the Company will issue a commission payment to a Member is $20.00. If a Member’s commissions do not equal or exceed $20.00, the commissions will be accrued until they total at least that amount. Only then will a commission payment be issued to a Member. Each merchant agreement specifies a holding period of varying length to validate transactions and allow for product returns or service cancellations. After the holding period, the merchant approves the commission for payment and initiates a payment cycle from the merchant to a commission aggregator to the Company. Blastoff Network will process payment to Members 45 days after the end of the month in which the commission status is approved, subject to the Company receiving payment of the commission. In addition, Blastoff Network reserves the right to suspend commission payments flagged as irregular or unusual in pattern or amount pending completion of investigation and validation of transaction(s) with the merchant(s). Accordingly, a sales commission will not be accrued to a Member’s account until between 75 and 165 days after the date of the sales transaction that generated the commission. As a result, it may take up to 165 days after a sales transaction takes place before the commissions generated by that sale will be accrued to the Member’s account. Member commissions will be paid by check mailed to the Member’s mailing address and are subject to $2 per check fee to cover processing and mailing costs that will be deducted from the Member’s commission payment.

    Cancellation

    Blastoff Communications LLC retains the right to cancel any Blastoff Membership at anytime without cause or reason.

    Disclaimer

    The scenarios set forth in this document are hypothetical examples that are intended to explain the components and operation of the Blastoff Commission Plan. These hypothetical examples are not representative of the income, if any, that a Blastoff Member can or will earn through his or her participation in the Blastoff opportunity. These figures should not be considered as guarantees or projections of your actual earnings or profits. Any representation or guarantee of earnings, whether made by Blastoff or a Member, would be misleading. Success with Blastoff results only from successful sales efforts, which require hard work, diligence, and leadership. Your success will depend upon how effectively you exercise these qualities. Because Blastoff is so young, it has not yet had the ability to determine either: (1) the average earnings for all its Members; or (2) the percent of Blastoff Members who achieved or exceeded the hypothetical earnings set forth in this document. As soon as this information is available, we will provide it at the Blastoff website. Please visit the following web page periodically for updated information – www.blastoffcommunications.com/IDS.

    Wireless

    New Wireless Activations

    When a new wireless plan is activated on your site (either by yourself or someone else) you will be paid a minimum of $25. Many of the phones offered on Blastoff Wireless come with additional cash back offers which can equal up to $100 cash back! When a new wireless plan is activated within your network (out to 10 degrees of separation) you will be paid $2.

    Wireless Contract Extension

    When a wireless plan is extended on your site (either by yourself or someone else) you will be paid $2. When a wireless plan is extended within your network (out to 10 degrees of separation) you will be paid $1.

    Phones, Accessories, Ringtones and Wallpapers

    When a ringtone, wallpaper or phone is purchased without a wireless plan, you will be paid a percentage of the total sale which varies based on product and manufacturer.

    Scenario 1: Wireless

    This scenario assumes that each Blastoff Member will refer 3 new Members. The scenario also assumes that each Member will account for wireless activation
    Level 0 indicates a new wireless activation made by the Member on their own Blastoff site. *The above scenario should be used for example purposes only and not as a projection of income.

    Satellite

    New Satellite TV Subscriptions

    When a new Satellite TV Subscription is purchased on your site (either by yourself or someone else) you will be paid a minimum of $40. Many of the Satellite packages offered on Blastoff come with additional cash back offers which can equal up to $125 cash back! When a new Satellite TV Subscription is purchased within your network (out to 10 degrees of separation) you will be paid $4.

    Scenario 2: Satellite

    This scenario assumes that each Blastoff Member will refer 3 new Members. The scenario also assumes that each Member will purchase 1 Satellite TV Subscription.
    Level 0 indicates a new satellite activation made by the Member on their own Blastoff site. *The above scenario should be used for example purposes only and not as a projection of income.

    Internet

    New Internet Subscriptions

    When a new Internet Subscription is purchased on your site (either by yourself or someone else) you will be paid a minimum of $10. Many of the internet packages offered on Blastoff come with additional cash back offers which can equal up to $150 cash back! When a new Internet Subscription is purchased within your network (out to 10 degrees of separation) you will be paid $1.

    Scenario 3: Internet

    This scenario assumes that each Blastoff Member will refer 3 new Members. The scenario also assumes that each Member will account for internet activation
    Level 0 indicates a new internet activation made by the Member on their own Blastoff site. *The above scenario should be used for example purposes only and not as a projection of income.

    Phone

    New Digital Phone Service Subscriptions

    When a new Digital Phone Service Subscription is purchased on your site (either by yourself or someone else) you will be paid a minimum of $10. Many of the phones offered on Blastoff Wireless come with additional cash back offers which can equal up to $40 cash back! When a new Digital Phone Service Subscription is purchased within your network (out to 10 degrees of separation) you will be paid $1.

    Scenario 4: Phone

    This scenario assumes that each Blastoff Member will refer 3 new Members. The scenario also assumes that each Member will account for 1 digital phone service activation.
    Level 0 indicates a new digital phone service activation made by the Member on their own Blastoff site. *The above scenario should be used for example purposes only and not as a projection of income.

    Blastoff Mall

    Blastoff Mall Purchases

    The Blastoff Mall consists of over 200 of the biggest retailers on the internet including, i-tunes, Dell, Wal-Mart and Travelocity. When a purchase is made on the Blastoff Mall through your site (either by yourself or someone else) you will be paid anywhere from 1%-15% percentage of every transaction. You also make a percentage of any transaction that is made within your network (out 10 degrees of separation). The percentages vary from store to store. Example:
    Level 0 indicates Mall purchases made by the Member on their own Blastoff site. *The above scenario should be used for example purposes only and not as a projection of income.

    Disclaimer

    The scenarios set forth in this document are hypothetical examples that are intended to explain the components and operation of the Blastoff Commission Plan. These hypothetical examples are not representative of the income, if any, that a Blastoff Member can or will earn through his or her participation in the Blastoff opportunity. These figures should not be considered as guarantees or projections of your actual earnings or profits. Any representation or guarantee of earnings, whether made by Blastoff or a Member, would be misleading. Success with Blastoff results only from successful sales efforts, which require hard work, diligence, and leadership. Your success will depend upon how effectively you exercise these qualities. Because Blastoff is so young, it has not yet had the ability to determine either: (1) the average earnings for all its Members; or (2) the percent of Blastoff Members who achieved or exceeded the hypothetical earnings set forth in this document. As soon as this information is available, we will provide it at the Blastoff website. Please visit the following web page periodically for updated information – www.blastoffcommunications.com/IDS.