Nu Skin EnterprisesPitfalls: What They Don't Tell You Before You Join
Mandatory binding arbitration, 30-day amendment notice, downline can be reassigned as remedial action.
Last updated: March 22, 2026
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Why This Page Exists
MLM recruiters focus on income potential, but policies determine whether you can keep what you earn. We analyzed Nu Skin Enterprises's policies and procedures to identify the hidden gotchas that most people don't discover until it's too late.
🔎 Policy Pitfalls Breakdown
Mandatory binding arbitration - final and non-appealable
"Mandatory and binding arbitration is the sole means to resolve disputes which arbitration shall be final and non-appealable." Policy effective April 1, 1994.
Source: Nu Skin Policies & Procedures, Section 30(B)
Cannot solicit distributors you didn't personally sponsor
Distributors cannot "solicit or entice any other Distributor whom she did not personally sponsor to sell or purchase products" beyond company offerings.
Source: Nu Skin Policies & Procedures, Section 4(C)
Company can reassign your downline as remedial action
Nu Skin may "reassign part or all of the Downline Organization to a different Sponsor" as disciplinary action for policy violations.
Source: Nu Skin Policies & Procedures, Section 6(A)(6)
No income guarantees or bonus check displays
"No unreasonable, misleading, or unrepresentative earnings claims may be made. No income guarantees of any kind. Exhibiting actual or facsimile Bonus checks is prohibited."
Source: Nu Skin Policies & Procedures, Section 4(B)(2)
Prohibited from using media advertising
Distributors are "expressly prohibited from using any form of media advertising to promote products or services. Products may be promoted only by personal contact."
Source: Nu Skin Policies & Procedures, Section 20(A)
Must use company-produced websites only
Distributors must "only use Company produced Distributor web sites." Independent sites only allowed for Blue Diamond/Presidential Director level.
Source: Nu Skin Policies & Procedures, Section 20(H)
30 days notice for contract modifications
"The Company expressly reserves the right to make any modifications to the Contract upon thirty days prior written notice" via publications, mailings, or websites.
Source: Nu Skin Policies & Procedures, Section 23
Forbidden from assisting sponsor changes
Distributors are forbidden from "encourage[ing], entice[ing], or otherwise assist[ing] another Distributor to transfer to a different Sponsor."
Source: Nu Skin Policies & Procedures, Section 3(F)
📝 The Bottom Line
Nu Skin's Policies explicitly allow reassigning your downline to another sponsor as a remedial action. The mandatory arbitration policy (since 1994) is "final and non-appealable." Media advertising is prohibited - only personal contact allowed. Your website must be company-produced unless you reach Blue Diamond level.
✅ Before You Join Nu Skin Enterprises: 5 Questions to Ask
- 1"Can I see the complete Policies and Procedures before signing anything?" — Review the actual document, not just summaries.
- 2"What exactly happens to my organization if I leave or am terminated?" — Get specifics, not vague reassurances.
- 3"What are the non-compete or non-solicitation restrictions after leaving?" — Know how long and what's restricted.
- 4"What is the exact monthly purchase or activity requirement to qualify for commissions?" — Calculate the annual cost before any earnings.
- 5"Can you show me the official income disclosure statement?" — See what typical participants actually earn.
Official policies: https://www.nuskin.com/global/library/policies/Policies_Proced_US.html
Want to understand these issues in depth? Read: 7 Structural Flaws in MLM Compensation Plans →
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