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  • 1.Policies and Procedures 081709 US ENG P&P.indd 1 10/19/09 3:44 PM

2. 4LIFE RESEARCH STATEMENT OF POLICIES & PROCEDURESEFFECTIVE July 1, 2009 TABLE OF CONTENTS 3. OPERATING A 4LIFE3.20. Errors or Questions3.21. Excess Inventory Purchases BUSINESS (page 7)3.1. Adherence to the 4Life Marketing and Prohibited1. INTRODUCTION (page 3) Compensation Plan3.22. Right of Publicity1.1. Policies Incorporated into Distributor3.2. Advertising3.23. Governmental Approval or Application and Agreement3.3. Participation in 4Lifes Corporate Endorsement1.2. Purpose of Policies Marketing Efforts3.24. Income Taxes1.3. Changes to the Distributor3.4. Telemarketing Techniques 3.25. Independent Distributor Status Agreement, Policies and3.5. Trademarks and Copyrights3.26. International Marketing Procedures, or Marketing and3.6. Media and Media Inquiries3.27. Adherence to Laws and Ordinances Compensation Plan3.7. Business Entities3.28. Compliance with Laws and Ethical1.4. Delays3.8. Changes to the 4Life BusinessStandards1.5. Policies and Provisions Severable3.9. Addition of Co-Applicants3.29. One 4Life Business Per Distributor1.6. Titles Not Substantive3.10. Change of Sponsor 3.30. Actions of Household Members or1.7. Waiver3.11. Cancellation and Re-application Affiliated Individuals3.12. Indemnification for Unauthorized3.31. Re-packaging and Re-labeling2. BECOMING A DISTRIBUTOR Prohibited(page 5)Claims and Actions3.13. Product Claims3.32. Requests for Additional Records2.1. Requirements to Become a Distributor3.14. Income Claims 3.33. Roll-up of Marketing Organization2.2. Inventory and Distributor Kit3.15. Commercial Outlets3.34. Sale, Transfer or Assignment of 4Life2.3. New Distributor Registration by3.16. Trade Shows, Expositions and OtherBusiness Telephone, Facsimile or InternetSales Forums3.35. Separation of a 4Life Business2.4. Distributor Benefits3.17. Conflicts of Interest / 3.36. Sponsoring2.5. Material and Subscription FeeNonsolicitation 3.37. Transfer Upon Death of a Distributor3.18. Downline Activity Reports 3.38. Transfer Upon Incapacitation of a3.19. Cross-SponsoringDistributor 1 081709 US ENG P&P.indd 2 10/19/09 3:44 PM 3. 4. RESPONSIBILITIES OF 7. PRODUCT GUARANTEES, 9.5. Payment and Shipping Deposits DISTRIBUTORS (page 20) RETURNS AND INVENTORY 9.6. Insufficient Funds4.1. Change of Address or Telephone REPURCHASE (page 24)9.7. Returned Checks4.2. Continuing Development Obligations7.1. Product Guarantee 9.8. Restrictions on Third Party Use of and Ongoing Training7.2. Returns by Distributors (ProductsCredit Cards4.3. Increased Training ResponsibilitiesReturned byand Checking Account Access4.4. Ongoing Sales Responsibilities Personal Retail Customers)9.9. Sales Taxes4.5. Non-disparagement 7.3. Return of Inventory and Sales Aids by4.6. Providing Documentation to Distributors10. INACTIVITY AND Applicants7.4. Procedures for All ReturnsCANCELLATION -4.7. Reporting Policy ViolationsTERMINATION (page 30) 8. DISPUTE RESOLUTION10.1. Effect of Cancellation and5. SALES REQUIREMENTS AND DISCIPLINARYTermination(page 22) PROCEEDINGS (page 26) 10.2. Cancellation Due to Inactivity5.1. Product Sales 8.1. Disciplinary Sanctions10.3. Involuntary Cancellation5.2. No Price or Territory Restrictions8.2. Grievances and Complaints (Termination)5.3. Sales Receipts8.3. Appeals of Sanctions10.4. Voluntary Cancellation 8.4. Arbitration 10.5. Non-continuation6. BONUSES AND 8.5. Governing Law, Jurisdiction and COMMISSIONS (page 23)Venue DEFINITIONS (page 32)6.1. Bonus and Commission Qualifications6.2. Adjustment to Bonuses and 9. ORDERING (page 28) Commissions for Returned Products 9.1. Purchasing 4Life Products and Services9.2. General Order Policies6.3. Unclaimed Commissions and Credits 9.3. Shipping and Backorder Policy 9.4. Confirmation of Order2 081709 US ENG P&P.indd 3 10/19/09 3:44 PM 4. 1. INTRODUCTION 1.1. POLICIES INCORPORATED sponsoring distributor to provide the most 1.3. CHANGES TO THE INTO DISTRIBUTORcurrent version of these Policies to theDISTRIBUTOR APPLICATION AND applicant prior to his or her execution ofAGREEMENT, POLICIES AGREEMENT the Distributor Agreement.AND PROCEDURES,These Policies and Procedures (Policies),OR MARKETING ANDin their present form and as amended at the1.2. PURPOSE OF POLICIESCOMPENSATION PLANsole discretion of 4Life Research USA, LLC 4Life distributors are required to complyBecause federal, state, and local laws,(hereafter 4Life or the Company), arewith all of the Terms and Conditions set as well as the business environment,incorporated into, and form an integralforth in the Agreement which 4Life may periodically change, 4Life reserves thepart of, the 4Life Distributor Application amend at its sole discretion from time toright to amend the Agreement and theand Agreement (hereafter Distributortime, as well as all federal and state lawsprices in its 4Life Product Price List in itsAgreement). Throughout these Policies,governing their 4Life business and their sole and absolute discretion. By signingwhen the term Agreement is used, itconduct. Because you may be unfamiliar the Distributor Agreement, a distributorcollectively refers to the 4Life Distributor with many of these standards of practice,agrees to abide by all amendments orAgreement, these Policies, and the 4Life it is very important that you read and modifications that 4Life elects to make.Marketing and Compensation Plan. These abide by the Agreement. Please reviewNotification of amendments shall appeardocuments are incorporated by referencethe information in these Policies carefully. in Official 4Life Materials. Amendmentsinto the Distributor Agreement (all in They explain and govern the relationship shall be effective upon publication intheir current form and as amended by between you, as an independent Official 4Life Materials, including but4Life). It is the responsibility of each distributor, and the Company.not limited to, posting on 4Life.com,distributor to read, understand, adhere to, e-mail distribution, publication in 4Lifesand ensure that he or she is aware of and newsletter, product inserts, or any otheroperating under the most current versioncommercially reasonable method. Theof these Policies. When sponsoring a newcontinuation of a distributors 4Lifedistributor, it is the responsibility of thebusiness or a distributors acceptanceof bonuses or commissions constitutesacceptance of any and all amendments.3 081709 US ENG P&P.indd 4 10/19/09 3:44 PM 5. 1.4. DELAYS1.6. TITLES NOT4Life shall not be responsible for delays and SUBSTANTIVEfailures in performance of its obligations The titles and headings in the Agreementwhen performance is made commerciallyare for reference purposes only, and do notimpracticable due to circumstances beyondconstitute, and shall not be construed as,its reasonable control. This includes, substantive terms of the Agreement.without limitation, strikes, labor difficulties,riot, war, fire, flood, death, curtailment of1.7. WAIVERa partys source of supply, or governmentThe Company never gives up its right todecrees or orders. insist on compliance with the Agreement and with the applicable laws governing1.5. POLICIES ANDthe conduct of a business. No failure PROVISIONS SEVERABLEof 4Life to exercise any right or powerIf any provision of the Agreement, in itsunder the Agreement or to insist uponcurrent form or as may be amended, isstrict compliance by a distributor with anyit affect in any way the rights or obligationsfound to be invalid, or unenforceable forobligation or provision of the Agreement,of any other distributor. Nor shall anyany reason, only the invalid portion(s)and no custom or practice of the parties atdelay or omission by 4Life to exercise anyof the provision shall be severed andvariance with the terms of the Agreement,right arising from a breach affect or impairthe remaining terms and provisions shall constitute a waiver of 4Lifes right 4Lifes rights as to that or any subsequentshall remain in full force and effect andto demand exact compliance with thebreach.shall be construed as if such invalid, orAgreement. Waiver by 4Life can beThe existence of any claim or cause ofunenforceable provision never comprised aeffectuated only in writing by an authorized action of a distributor against 4Lifepart of the Agreement. officer of the Company. 4Lifes waiver ofshall not constitute a defense to 4Lifes any particular breach by a distributor shall enforcement of any term or provision of not affect or impair 4Lifes rights with the Agreement. respect to any subsequent breach, nor shall 4 081709 US ENG P&P.indd 510/19/09 3:44 PM 6. 2. BECOMING ADISTRIBUTOR 2.1. REQUIREMENTS TO2.2. INVENTORY AND Agreement information over the telephone. BECOME A DISTRIBUTORDISTRIBUTOR KIT An online, fax or original hard-copy of theTo become a 4Life distributor, each No person is required to purchaseDistributor Agreement must be received byapplicant must: 4Life products or services to become a the Company within thirty (30) days fromdistributor. However, to familiarize new the date of the telephone enrollment. If no Be of the age of majority in his or herapplication is received, the new enrolleesdistributors with 4Life products, services,state of residence;Distributor Agreement will be cancelled.sales techniques, sales aids, and other Reside in the United States or other For purposes of the Agreement, signaturesmatters, the purchase of a Distributor Kitcountries which have been officially on applications submitted through theseis required. 4Life will repurchase Resalableopened by 4Life; electronic methods shall be deemed originalkits from any distributor who terminates his Have a valid Social Security Number or signatures. Faxed applications must includeor her Distributor Agreement pursuant toFederal Tax Identification Number; both the front and back of the Distributorthe terms in the Return of Inventory and Submit a properly completed and signed Agreement. Volume generated throughSales Aids by Distrib

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