CODE OF ETHICS 13 Marriage b. In situations where two independent existing distributors marry each other, upon marriage both of them are deemed to have surrendered their distributorship.The distributors who are married to each other, shall separately intimate to the Company about their marriage within 30 days from the date of their marriage. Subject to conditions of other sub-clauses of this clause one amongst them ought to resign within 30 days from the date of marriage, failing which distributorship of both distributors shall be cancelled. Original downline structure of the distributor who resigns for reasons of marriage in terms of this sub-clause shall remain unchanged. However, to maintain relationship with the Company and to conduct Vestige business, the Couple may form a 'par tnership firm' in lines of the model 'deed of par tnership' prescribed by the Company for the purposes of common distributorship, and submit the same under cover of a joint application seeking distributorship for such 'par tnership firm' within 30 days of their marriage.This par tnership will replace the distributorship of the distributor who does not resign and the Structure will remain unchanged. c. Upon marriage amongst two existing distributors and they being given ‘par tnership’ (irrespective of their cadre / level), they shall have a joint bank account and inform such par ticulars to the Company within 60 days from the date of marriage.The Company upon receipt of such intimation shall credit payouts / bonus earned by the ‘par tnership’ in such account. If the account is not opened, no Bonus will be paid out by the Company and the Par tnership firm will have no lien on the Bonus earned for the period. However, this sub-rule will not be made applicable for distributor couples who are both Star Directors and Car Fund Achievers unless of course they want such an arrangement. a. The Company treats wife and husband as one single unit for the purposes of distributorship. d. If both distributors are Star Directors and Car Fund Achievers, then their individual distributorships may separately be retained at P O L I C I E S / R U L E S + R E G U L A T I O N S b. In case a distributor resigns for cer tain unforeseen circumstances, subject to Company's satisfaction, he/she may transfer the distributorship to his/her blood relative only (proper proof and documentation required). d. Distributorship may be cancelled/terminated, declared unclaimed or suspended by the Company for the reasons mentioned in the Company's Policies/Rules and Regulations. c. Distributorship in ordinary circumstances expires upon death or proven incapacity of the distributor. However, nominee of the deceased upon evincing interest to succeed distributorship may be allowed by the Company. In cases where the nominee does not come forward till 3 months from the date of death or incapacitation of the original distributor as the case may be, successor of the deceased upon submitting appropriate documentation and evincing interest to succeed distributorship may be allowed by the Company. However, under no circumstances such distributorship will be enter tained after 6 months from the date of death or knowledge of incapacitation of the distributor either from nominee or successor. However new id if taken under must be in the same line Family^^ of Sponsorship. If any distributor takes a fresh ID after an inactivity period of nine months, then the first ID will be treated as invalid. 12 Expiry/Cancellation/Resignation/ Succession of Distributorship a. Any distributor may resign from distributorship by submitting an application and required documents. Acknowledgement of receipt of such communication constitutes resignation. A person who resigns or whose distributorship is cancelled/terminated may reapply for distributorship only after a lapse of a period of 6 months (cooling period) from the date of resignation/cancellation/ termination of his/her last distributorship. The fresh distributorship may be granted by the Company after reviewing the application. In such cases the person cannot have any claim whatsoever over the downline(s)/business he/she had prior to reapplication of the distributorship. 14 Separation In case of divorce amongst couples having distributorship through 'par tnership firms' formed as aforesaid, benefits of distributorship and the distributorship itself shall be appor tioned or transferred as the case may be in terms of the 'deed of par tnership'. Such changes in distributorship of the 'par tnership firm' shall be caused by the Company only on completion of 90 days after receipt of the 'decree of divorce' granted by a competent cour t.The distributorship of the par tnership firm of the couple shall be put under suspension with effect from the date of commencement of divorce proceedings between the couple and during pendency of divorce proceedings, the Company in its discretion, may as a special arrangement, allow (without insisting upon lapse cooling period) both par ties do Vestige business separately as freshly appointed distributors. After the judgment of the cour t, the suspension of the spouse in whose name the cour t has approved for distributorship to be continued, can continue as a distributor, and the par tnership will stand dissolved. In case the judgment is silent on the issue, the distributorship under par tnership will stand terminated. In cases where a married couple is distributor and co-distributor and any of them files a petition for divorce, the Company shall only consider the distributor as its principal distributor and no rights shall accrue to the co-distributor except when a decision is taken on the issue of succession of distributorship by an appropriate cour t (whether interim or final). However, this shall be subject to a final decision by the Company. e. Incase such couple does not form any ‘par tnership firm’ within 30 days from their date of marriage or either of them does not inform factum of their marriage to the Company, the Company reserves the right to cause appropriate changes in their downline/network and merge their business(s) of two distributorships into one with conditions as may be deemed appropriate to the Company and/or cancel distributorship of one or both as per its discretion. original status. However, one amongst the two may resign from distributorship / Star Directorship and the couple may apply for a single distributorship through "par tnership" (comprising both of them as par tners).This par tnership will replace the distributorship of the distributor who does not resign and the Structure will remain unchanged. In such cases, original downline structure of the distributor who resigns for reasons of marriage in terms of this sub-clause shall remain unchanged. Even in this case both of them shall separately intimate the Company about their marriage within 30 days from the date of their marriage. b. Any waiver by the Company can and shall only be affected in writing by authorised personnel of the Company. c.The Company reserves all rights to take all decisions which it feels are necessary to protect the best interests of its distributors, customers and its business including decisions concerning implementation of this Business Plan.The Company's decision in this regard shall be final. a. The failure of the Company to exercise any rights stated in the Company Rules and Regulations or in the Distributor Application Agreement shall not constitute a waiver of the Company's rights to demand exact compliance therewith. Waiver 15 a. Incur any liabilities or Debt in the name or on behalf of the Company. A distributor shall not b. Enter into, modify or alter any contract in the name of the Company. c. Engage itself or show interest directly/indirectly as agent, servant or licensee for sale of any product/goods other than those of the Company, in any trade, business or profession in competition with the Company. Prohibited Act 16 Glossary of terms PV : Point Value – every product ordered is assigned fixed PV. PV accumulated by self and group determines the achievement level. GPV : PGPV : Personal Group Point Value is the business of your entire group and does not include the business of your qualified director groups. ^^Family : Grand parents/parents/self CPV : Cumulative Point Value is the business accumulated by your group. SP : Self Purchase – purchase on self ID in any given month. Exclusive PV : Self purchase + 5% to 12% legs' PV in any given business month. TPV : Total Point Value – it consists of your PGPV + GPV. Group Point Value is the business generated by your qualified director groups.