Virginia Law on Pyramid Promotional Schemes: Va. Code 18.2-239
What is pyramid promotional schemes?
Every person who contrives, prepares, sets up, operates, advertises or promotes any pyramid promotional scheme shall be guilty of a Class 1 misdemeanor. For the purposes of this section:
(1) “Compensation” means the transfer of money or anything of value.
“Compensation” does not mean payment based on sales of goods or services to persons who are not participants in the scheme and who are not purchasing in order to participate in the scheme;
(2) “Consideration” means the payment of cash or the purchase of goods, services, or intangible property;
(3) “Promotes” means inducing one or more other persons to become a participant; and
(4) “Pyramid promotional scheme” means any plan or operation by which a person gives consideration for the opportunity to receive compensation a majority of which is derived from the introduction of other persons into the plan or operation rather than from the sale or consumption of goods, services, or intangible property by a participant or other persons introduced into the plan or operation.
All contracts and agreements, now existing or hereafter formed, whereof the whole or any part of the consideration is given for the right to participate in pyramid promotional scheme programs, are against public policy, void and unenforceable.
Any violation of the provisions of this section shall constitute a prohibited practice under the provisions of § 59.1-200 and shall be subject to any and all of the enforcement provisions of the Virginia Consumer Protection Act (§ 59.1-196 et seq.).
Should I hire an attorney?
Yes. As you can see from the statute, it is a complicated law and requires an in-depth look into the facts of every case to see if it meets the definition of a pyramid promotional scheme. Contact us today.
Virginia and D.C. Federal Crimes
Federal Assault Crimes
Assault on Law Enforcement: 18 U.S.C. 111
Simple Assault: 18 U.S.C. 113
Assault with Intent to Commit Murder: 18 U.S.C. 111
Domestic Assault: 18 U.S.C. 117
Maiming: 18 U.S.C. 114
Murder: 18 U.S.C. 1111-1122
Kidnapping: 18 U.S.C. 1201-1204
Domestic Violence and Stalking: 18 USC 2261-2266
Transportation for Illegal Sexual Activity: 18 U.S.C. 2421-2429
Aggravated Sexual Abuse: 18 U.S.C. 2241
Sexual Abuse of a Minor: 18 U.S.C. 2243
Sexual Abuse: 18 U.S.C. 2242
Federal Driving Crimes
Reckless Driving: 32 CFR 263.6
Hit & Run
Federal White Collar Crimes
Embezzlement: 18 U.S.C. 641-670
Blackmail: 18 USC 873
Other Federal Crimes
Terrorism: 18 U.S.C. 2231-2339(d)
Riots: 18 U.S.C. 2101-2102
Federal Drug & Alcohol Crime
Drug Distribution and Trafficking
Marijuana Possession: 18 U.S.C. 844
Federal Weapons Offenses
Felon in Possession of a Firearm: 18 U.S.C. 922(g)
Weapon used in crime of violence of drug trafficking: 18 U.S.C. 924(c)
Sale of Firearms without a License: 18 U.S.C. 922(a)
Sale of Illegal Firearms: 18 U.S.C. 922
Making False Statements when Purchasing Firearm: 18 U.S.C. 922(a)(6)
Illegal Possession of Firearm: 18 U.S.C. 922(o)
Federal Cyber/Computer Crimes
Federal Punishment and Procedure
Failure to Appear: 18 USC 3146