Bell v. Health-Mor, 549 F2d 342 (1977)

Bell v. Health-Mor

more+
less-

The Court of appeals held that a claim that is plainly frivolous or insubstantial should be dismissed for lack of subject matter jurisdiction. The Plaintiffs successfully made a colorable claim that the payment of a finder’s fee for potential door-to-door vacuum sales customers could be considered a security under federal law. The program could have been construed as a security if the referral fee was the product of the efforts of the company, or it could be a legitimate business opportunity if it was the product of the efforts of the vendor. Because the Court of Appeals was unable to determine the answer on the record of the District Court, they reversed.

This case is also available at: http://www.mlmlegal.com/legal-cases/Bell_v._Health-Mor.php.

LOADING PDF: If there are any problems, click here to download the file.

Written by:

Published In:

Reference Info:Federal, 5th Circuit, Louisiana | United States

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Babener & Associates | Attorney Advertising

Don't miss a thing! Build a custom news brief:

Read fresh new writing on compliance, cybersecurity, Dodd-Frank, whistleblowers, social media, hiring & firing, patent reform, the NLRB, Obamacare, the SEC…

…or whatever matters the most to you. Follow authors, firms, and topics on JD Supra.

Create your news brief now - it's free and easy »

CONNECT

Welcome to MLM Legal - a valuable resource to the Multi-Level Marketing and Direct Sales Industry. ... View Profile »


Follow Babener & Associates:

Reporters on Deadline

All the intelligence you need, in one easy email:

Great! Your first step to building an email digest of JD Supra authors and topics. Log in with LinkedIn so we can start sending your digest...

Sign up for your custom alerts now, using LinkedIn ›

* With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name.
×
Loading...
×
×