LuLaRoe @ BehindMLM

LuLaRoe engaged in fraud, ordered to pay $164 million to supplier

Following a jury verdict against them, LuLaRoe has been ordered to pay $164 million in damages. The damages were awarded to Providence Industries, a former supplier of LuLaRoe’s leggings.


Ponkey LuLaRoe class-action dismissed for 2nd time

Jessica Ponkey’s proposed LuLaRoe class-action has been dismissed for a second time, this time with prejudice.


LuLaRoe class-action arbitration reversed following appeal

Plaintiff Jessica Ponkey has prevailed in an appeal against a decision to close her LuLaRoe class-action. Ponkey’s class-action was closed last year, following a Final Arbitration Award issued in April 2022.


Dot Dot Smile blames COVID-19 pandemic for collapse

Dot Dot Smile has filed its Chapter 11 Plan. The December 2nd filing provides insight into how and why Dot Dot Smile collapsed.


Dot Dot Smile files for Chapter 11 bankruptcy

Twoand a half months after it canned its MLM opportunity and went wholesale, Dot Dot Smile has filed for bankruptcy. Dot Dot Smile initiated Chapter 11 proceedings in California on September 3rd.


Ponkey LuLaRoe class-action dismissed thru arbitration

The Ponkey LuLaRoe class-action, the second filed in California, has been dismissed through arbitration. The case isn’t over just yet though.


Dot Dot Smile cans MLM opportunity, moves to “wholesaling”

Dot Dot Smile has informed distributors its MLM opportunity “no longer makes sense for us to maintain as a sustainable business.” The announcement was made last Friday, giving notice Dot Dot Smile will cease MLM operations on June 30th.


LuLaRoe settles with all 2017 California class-action Plaintiffs

Last September mediation proceedings were ordered in the proposed LuLaRoe class-action in California. Since then, one by one, LuLaRoe has been reaching confidential settlements with the Plaintiffs. As of May 2021 there were still three Plaintiffs standing. On July 1st three joint stipulations were filed, requesting dismissal of their respective cases and claims.


LuLaRoe hit with second pyramid scheme class-action

A second pyramid scheme class-action has been filed against LuLaRoe. Plaintiff Jessica Ponkey filed suit against LuLaRoe in California on March 24th, 2021.


LuLaRoe pays $4.75 mill to settle Washington pyramid case

Two years ago the Washington State AG filed a lawsuit against LuLaRoe. In the lawsuit the AG’s Office alleged LuLaRoe was an “unlawful pyramid scheme”. Rather than prove it’s not a pyramid scheme, LuLaRoe has settled the lawsuit for $4.75 million dollars.