Code Of Conduct 2017-03-21T18:44:08+00:00

CODE OF CONDUCT AND ETHICAL STANDARD
(As of May 12,2015)

Pursuant to the company’s core values of Credibility, Honesty, Equality, Resiliency, Sincerity and Humility (CHERISH)

All independent distributors are strictly enjoined to observe the following

 

CODE NO. 1

Independent Distributors shall at all times, remain loyal to the company. They shall follow and observe faithfully all its policies. They shall refrain from committing acts prohibited by the company. They shall not join, represent, associate, sponsor, recruit for competing companies, business groups, partnership or individual, either locally or abroad. They shall introduce, present, promote, offer, sell, in any form nor manner the products, services, businesses, marketing programs and plans of a competing company.

Penalties

First Offense: One (1) month deactivation of all the accounts and the reasonable portion of the account of the respondent shall be given to the complainant as a form of reward to be determined by the company, which accrued at the time of the commission of the violation.

Second Offense: Perpetual deactivation of all the accounts which carries with it the forfeiture of all benefits, privileges, commissions and other remunerations either monetary or in kind in favor of the company, which accrued at the time of the commission of the violation.

CODE NO. 2

All Independent Distributors shall knowingly and voluntarily submits oneself to observe honesty in all their conduct and dealings. They shall refrain from using the name of the company in order to swindle, gain money, estafa, theft, any acts of dishonesty or any other illegal and/or criminal acts defined by the existing laws.

 They shall not make any oral or written remarks which are derogatory or defamatory in nature, nor make any statement in any form that may discredit the goodwill of the company, its branches, subsidiaries or any of its affiliates or those that malign the credibility of its company officers and employees.

CODE NO. 3

All independent distributors are strictly enjoined to conduct business in a professional manner. As a professional, he/she is prevented from uttering false statements in the course of his/her work; offering illicit and immoral proposals and/or activities in exchange of money or in kind to any fellow independent distributors; he/she shall not commit any form of misrepresentation, exaggeration or disinformation; neither shall he/she make vain promises, introduce spurious products or services, circumvent the marketing plans or programs of the company nor commit any act that contravenes the tenor and the purposes thereof.

CODE NO. 4

All Independent Distributors are strictly enjoined to deal honestly with their fellow independent distributors. They shall refrain from committing any of the following acts

  1.  Imitating or counterfeiting any handwriting, or signature;
  2. Causing it to appear that a distributor has participated in any act or activity when he did not in fact so participated;
  3. Inserting untruthful statements in a narration of facts such as those in the affidavit, deed and other documents similar thereto;
  4. Altering the true dates to any of the documents submitted to this office;
  5. Making any alteration or intercalation in a genuine document which alters or changes its meaning;
  6. Issuing in an authenticated form a document purporting to be a copy of an original document when no such original actually exists.
  7. Production and dissipation of goods using similar, exactly the same, lesser quantity or of inferior quality of product contents or packaging to make it appear as if it is the original product of the company.
  8. Evading from the obligation to pay any amount of money to any independent distributor or any person by making vain promises to pay.
  9. Unreasonable delay of delivery of any paid purchased Royale products and its codes.

CODE NO. 5

All Independent Distributors shall observe and maintain utmost humility and respect due towards fellow independent distributors, officers and employees of the company. Any untoward act/s in contrast with the expected code of conduct shall not be tolerated within the organization. They shall not demonstrate offensive language or behaviour towards fellow distributors or to any of the officers and employees of the company. Complaints/Grievances, if any, may be submitted to the proper forum/office/department of Royale Business Club.

Penalties for Codes 1 to 5

First Offense: One (1) month suspension from all privileges with corresponding forfeiture of all sales bonuses, privileges and other remunerations whether monetary or in kind from service of notice.

Second Offense: Permanent deactivation of all Independent distributor’s accounts including all sales bonuses, privileges and other remunerations whether monetary or in kind from service of notice.

However, Independent Distributors sanctioned with permanent deactivation of all their accounts who wish to re-apply as Distributors may do so after the lapse of two (2) years from the time their account/s has been deactivated.

CODE NO. 6

All Independent Distributors shall conduct themselves with a sense of equality and fairness toward their colleagues or fellow independent distributors by proper observance of the 6-month cooling-off period. Under this rule, an independent distributor (second sponsor) is prevented from offering, interfering with or accepting a prospective distributor/s who already signed the Distributors Application Form (DAF) after being presented by a dominant distributor (first sponsor) of the marketing plan or program of Royale Business Club International, Inc. The Distributors Application Form (DAF) shall be filed within the period of one week (1 week) from signing by the prospective distributor to the staff-in-charge of Royale Business Club International, Inc. Head Office or any of its branches within or outside the Philippines, otherwise the prospective distributor may elect another independent distributor to be his/her sponsor in case no validation is made within the said period. The 6-months cooling-off period shall commence from the date of its validation.

As a consequence of violation of this Code, all the accounts of prospective distributor registered under the second sponsor shall be terminated. Further, the second sponsor may be required to replace the prospective distributor’s Independent Distributor tracking Center (IDTC) accounts in favor of the sponsorship of the said first sponsor.

Penalties for Code 6

First Offense: Two-weeks suspension of all Independent Distributor’s accounts without corresponding forfeiture of all sales bonuses, privileges and other remunerations whether monetary or in kind from service of notice.

Second Offense: One (1) month suspension from all privileges with corresponding forfeiture of all sales bonuses, privileges and other remunerations whether monetary or in kind from service of notice.

Third Offense: Permanent deactivation of all Independent distributor’s accounts including all sales bonuses, privileges and other remunerations whether monetary or in kind from service of notice.

However, Independent Distributors sanctioned with permanent deactivation of all their accounts who wish to re-apply as Distributors may do so after the lapse of two (2) years from the time their account/s has been deactivated.

CODE NO. 7

Cross Lining/ Cross Sponsoring

Cross Lining is an act of any independent distributor who transfer sponsorship or register their account/s under the following modes:

  1. The spouse of an Independent Distributor with existing IDTC whose account is sponsored under a different line instead to be under of his/her spouse;
  2. Any Independent distributor (Sub-Distributor is considered as independent distributor) who transfer sponsorship without observance of the two (2) years responsoring policy period;
  3. Creating dummy accounts whether or not the person being represented is fictitious;
  4. Any act that tend to circumvent the company policies producing similar, exactly the same, or relative effect for that matter.

Actual violation of the above-stated provisions is strictly proscribed. Termination of crossed line accounts/s shall take effect immediately.

Cross-Sponsoring, otherwise known as “pirating” or “poaching” is defined as the act of registration of new account/s under his/her line of sponsorship by an Independent Distributor with existing account/s on file or record in the following mode

  1. Sponsoring the spouse of the existing independent distributor;
  2. Sponsoring an existing independent distributor (sub-distributor is considered independent distributor) known to him/her as already an independent distributor or have failed to verify with the I.T. Department whether such person is already an independent distributor.
  3. Sponsoring an existing independent distributor who have not observed the two (2) years responsoring policy period.
  4. Any act that tends to circumvent the company policies producing similar, exactly the same, or relative effect for that matter.

Actual violation of the above-stated provision is strictly proscribed. Termination of crossed line account found under his/her line of sponsorship shall take effect immediately and penalty prescribed by the code.

CODE NO. 8

All Independent Distributors shall not commit any fraudulent acts or machinations or false pretenses, directly or indirectly, to the prejudice of the company or of fellow distributor/s by

  1.  Using fictitious name, or dummy for registration or sponsoring purposes with intent to defraud the company;
  2. Altering the quality or quantity of any of the products of the company;
  3. Issuance of check/s drawn against a closed account or insufficient funds to a fellow distributor or to the company and failure to replace the check/s with case or make good value of the said check/s after receipt of demand.
  4. Registering a minor under his/her line of sponsorship without execution of parental consent.
  5. Registering a minor under his/her line of sponsorship with false, altered or fake documents, or forged signature(s) in the parental consent form.
  6. Minor should be represented by either parents (or in the absence, by the legal guardian). for purposes of registration of minor, parental consent shall be presented upon application for distributorship (as Independent distributor or sub-distributor).

In the vent that the minor’s parent is also a Royale Distributor, said minor shall be automatically positioned directly under the sponsorship of the parent.

Penalties for Codes 7 and 8

First Offense: One (1) month suspension from all privileges with corresponding forfeiture of all sales bonuses, privileges and other remunerations whether monetary or in kind from service of notice.

Second Offense: Permanent deactivation of all Independent distributor’s accounts including all sales bonuses, privileges and other remunerations whether monetary or in kind from service of notice.

However, Independent Distributors sanctioned with permanent deactivation of all their accounts who wish to re-apply as Distributors may do so after the lapse of two (2) years from the time their account/s has been deactivated.

CODE NO. 9

All intellectual property rights for products and services of the Company shall remain the exclusive property of ROYALE. Intellectual property shall include but is not limited to copyright, trademark, service mark and trade name and other intellectual property rights. This act may include alteration, modification or use of completely different new intellectual property to make it appear as that of Royale. Unauthorized use of the company’s intellectual property is absolutely prohibited without prior authorization in writing by the Management. Any act in violation of this Code shall be dealt with accordingly without reservation for damages that may arise in the future.

However, any independent distributor may utilize the Disclaimer stated below for purposes of endorsement or publication of printing materials without need to secure the approval of Royale:

“DISCLAIMER: This literature/ marketing tool is not an official publication of ROYALE or any of its affiliates. This literature/ marketing tool is personally designed by (please indicate name of Independent Distributor). For ROYALE’s official publication, please visit the website: “www.royalebusinessclub.com

CODE NO. 10

All Independent Distributors shall not sell, dissipate or otherwise dispose of in any manner the products at a price lesser than that prescribed by Royale. The standard and authorized pricing scheme for the products are as follows

INDEPENDENT DISTRIBUTOR  PRICING SCHEME 
Ordinary Customers Suggested Retail Price (SRP)
Sub-Distributor (without package) Sub-Distributor Price
Independent Distributor (with package) Wholesale Price

 

No distributor may either sell, distribute or otherwise dispose of Royale products simultaneously with other products from competitor industries. Violation of this Code in connection with Code No. 1 constitutes breach of Royale’s Code of Conduct and an offense against the company and all other distributors.

“DISCLAIMER: This literature/ marketing tool is not an official publication of ROYALE or any of its affiliates. This literature/ marketing tool is personally designed by (please indicate name of Independent Distributor). For ROYALE’s official publication, please visit the website: “www.royalebusinessclub.com

Penalties for Codes 9 and 10

First Offense: Two-weeks suspension of all Independent Distributor’s accounts without corresponding forfeiture of all sales bonuses, privileges and other remunerations whether monetary or in kind from service of notice.

Second Offense: One (1) month suspension from all privileges with corresponding forfeiture of all sales bonuses, privileges and other remunerations whether monetary or in kind from service of notice.

Third Offense: Permanent deactivation of all Independent distributor’s accounts including all sales bonuses, privileges and other remunerations whether monetary or in kind from service of notice.

However, Independent Distributors sanctioned with permanent deactivation of all their accounts who wish to re-apply as Distributors may do so after the lapse of two (2) years from the time their account/s has been deactivated.

CODE NO. 11

Independent distributors prohibited from importing or exporting of Royale products to a country with an existing affiliate importer/exporter and/or an exclusive distributor. Any violation of such is considered a breach of the Code of Ethics subject to penalty. Independent Distributors, however, may only be allowed to import and/or export Royale products to countries without existing affiliated importer/exporter and/or exclusive distributor provided there is proper identification by both the shipper and the consignee.

Penalties

First Offense: Three-month suspension from all privileges with corresponding forfeiture of all sales bonuses, privileges and other remunerations whether monetary or in kind from service of notice.

Second Offense: Permanent deactivation of all Independent distributor’s accounts including all sales bonuses, privileges and other remunerations whether monetary or in kind from service of notice.

However, Independent Distributors sanctioned with permanent deactivation of all their accounts who wish to re-apply as Distributors may do so after the lapse of two (2) years from the time their account/s has been deactivated.

CODE NO. 12

All Independent Distributors shall be responsible in adhering to Royale’s Code of Conduct and Ethical Standards in relation to the use of digital marketing, online posting and all other social media publications involving Royale.

 All Independent Distributors are deemed to be accountable to their own acts of promoting Royale with conscious regard in maintaining the goodwill of the company. They must inhibit oneself from using any other signs, logos, trademarks or other forms of representation other than those duly registered and authorized by Royale. This prohibition includes the posting in social media of celebrities as endorsers who are not in any way connected as such with Royale.

Every Royale distributor must reveal their true identity in promoting Royale so as to avoid misrepresentation in all their dealings. The use of an “alias” is strictly proscribed. The use of a third party’s intellectual property/ies in any online posting must be authorized, or supported by proper documentation such as license to use or by payment of prescribed fee/s if any. Restrictions or conditions that may arise out of the use of such third party’s intellectual property should be adhered to by the Independent Distributor using the same. Any information in relation to promotion of Royale products created by such third party and being used by Royale distributor thru the social media must always indicate the author of the same. Otherwise, such Independent Distributor is deemed to be the owner thereof.

Penalties

First Offense: Two-weeks suspension of all Independent Distributor’s accounts without corresponding forfeiture of all sales bonuses, privileges and other remunerations whether monetary or in kind from service of notice.

Second Offense: One (1) month suspension from all privileges with corresponding forfeiture of all sales bonuses, privileges and other remunerations whether monetary or in kind from service of notice.

Third Offense: Permanent deactivation of all Independent distributor’s accounts including all sales bonuses, privileges and other remunerations whether monetary or in kind from service of notice.

However, Independent Distributors sanctioned with permanent deactivation of all their accounts who wish to re-apply as Distributors may do so after the lapse of two (2) years from the time their account/s has been deactivated.