Bill Sponsor
Delaware House Bill 162
Session 153
An Act To Amend Title 6 Of The Delaware Code Relating To Multilevel Distribution Companies.
Introduced
Introduced
Introduced in Senate on Jun 17, 2025
Origin Chamber
House
Type
Bill
Bill Number
162
State
Delaware
Session
153
Sponsorship by Party
Democrat
Primary
Democrat
Primary
Democrat
Primary
Democrat
Primary
Democrat
Primary
Democrat
Primary
Democrat
Primary
Democrat
Primary
Democrat
Primary
Democrat
Primary
Unknown
Sarah McBride
Primary
Democrat
Primary
Democrat
Primary
Democrat
Primary
Summary
This Act defines a multilevel distribution company and multilevel marketing program for purposes of this Subchapter. It sets forth mandatory disclosures that must be made by a multilevel distribution company to any potential purchaser that discloses details about the company, sometimes based on certain representations that the company makes. It sets forth that a multilevel distribution company may not require a participant in its marketing program to buy a good or service or pay any other consideration to participate in the marketing program unless it agrees to repurchase the goods, under certain conditions. It provides cancellation rights and guidelines. It permits a civil penalty to be imposed for violations of the required disclosures. It provides a private right of action for violation of the repurchase requirement, including treble damages, attorneys’ fees and costs to be awarded for a prevailing plaintiff. House Substitute No. 1 for House Bill 162 is different from the original in that it reduces some disclosure requirements, specifically the timing, the number of participants who have received the earnings in the amount or range specified within the last 3 years and the total number of participants who have entered into the contract with the seller within the last 3 years; introduces the standard of “clear and conspicuous” for disclosures while removing some specific requirements such as font size to allow for flexibility with a standard; and places the Act in a separate subchapter of Title 6.
Actions (6)
06/17/2025
Senate
Assigned to Banking, Business, Insurance & Technology Committee in Senate
06/17/2025
House
Passed By House. Votes: 27 YES 11 NO 1 NOT VOTING 2 ABSENT
06/17/2025
House
Amendment HA 2 to HS 1 - Passed In House by Voice Vote
06/17/2025
House
Amendment HA 1 to HS 1 - Stricken in House
06/17/2025
House
Amendment HA 1 to HS 1 - Introduced and Placed With Bill
06/10/2025
House
was introduced and adopted in lieu of HB 162
Sources
Record Created
May 14, 2025 6:10:52 PM
Record Updated
Jul 3, 2025 4:21:18 PM