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| Order of the State Council | | 国务院令 |
(No.443) | |
（第443号） |
The Regulation on Direct Selling Administration, which was adopted at the 101st executive meeting of the State Council on August 10, 2005, is hereby promulgated, and shall come into force as of December 1st, 2005. | |
《直销管理条例》已经2005年8月10日国务院第101次常务会议通过，现予公布，自2005年12月1日起施行。 |
Premier Wen Jiabao | |
总理 温家宝 |
August 23rd, 2005 | |
二00五年八月二十三日 |
Regulation on Direct Selling Administration | |
直销管理条例 |
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| Chapter I General Provisions | | 第一章 总则 |
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| Article 1 The present Regulation is formulated for the purpose of regulating direct selling acts, strengthening supervision over direct selling activity, and preventing fraud, as well as protecting the lawful rights and interests of consumers and public interests. | | 第一条 为规范直销行为，加强对直销活动的监管，防止欺诈，保护消费者的合法权益和社会公共利益，制定本条例。 |
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| Article 2 The present Regulation shall be followed for undertaking direct selling activity within the territory of the People's Republic of China. | | 第二条 在中华人民共和国境内从事直销活动，应当遵守本条例。 |
The scope of direct selling products shall be determined and publicized by the competent department of commerce of the State Council together with the administrative department of industry and commerce of the State Council according to the development of the direct selling sector and consumers' demand. | |
直销产品的范围由国务院商务主管部门会同国务院工商行政管理部门根据直销业的发展状况和消费者的需求确定、公布。 |
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| Article 3 The direct selling, as mentioned in the present Regulation, is a type of business model, in which direct selling companies recruit sales promoters to sell products directly to end consumers (hereinafter referred to as consumers)outside the companies' fixed outlets | | 第三条 本条例所称直销，是指直销企业招募直销员，由直销员在固定营业场所之外直接向最终消费者（以下简称消费者）推销产品的经销方式。 |
The direct selling companies, as mentioned in the present Regulation, shall refer to the companies which sell products by way of direct selling upon approval according to the provisions of the present Regulation. | |
本条例所称直销企业，是指依照本条例规定经批准采取直销方式销售产品的企业。 |
The sales promoters, as mentioned in the present Regulation, shall refer to any personnel who sell products directly to consumers outside the fixed outlets. | |
本条例所称直销员，是指在固定营业场所之外将产品直接推销给消费者的人员。 |
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| Article 4 Any company that is established within the territory of the People's Republic of China (hereinafter referred to as the company) may, according to the provisions of the present Regulation, apply for becoming a direct selling company that sells the products produced by itself or the products produced by its parent company or holding company by way of direct selling. | | 第四条 在中华人民共和国境内设立的企业（以下简称企业），可以依照本条例规定申请成为以直销方式销售本企业生产的产品以及其母公司、控股公司生产产品的直销企业。 |
A direct selling company may obtain trading right and distribution right according to law. | |
直销企业可以依法取得贸易权和分销权。 |
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| Article 5 No direct selling company or its sales promoter may have any fraudulent or misleading acts and other drumbeating and sales promotion acts when undertaking direct selling activities. | | 第五条 直销企业及其直销员从事直销活动，不得有欺骗、误导等宣传和推销行为。 |
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| Article 6 The competent department of commerce of the State Council and the administrative department of industry and commerce of the State Council shall, according to the division of their own functions and the provisions of the present Regulation, be responsible for conducting supervision and administration on direct selling companies and sales promoters and their direct selling activities. | | 第六条 国务院商务主管部门和工商行政管理部门依照其职责分工和本条例规定，负责对直销企业和直销员及其直销活动实施监督管理。 |
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| Chapter II Establishment and Alteration of Direct Selling Companies and Their Branches | | 第二章 直销企业及其分支机构的设立和变更 |
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| Article 7 Anyone applying for becoming a direct selling company shall meet the following requirements: | | 第七条 申请成为直销企业，应当具备下列条件： |
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| 1. The investor shall have sound business credit, and has no records of serious illegal operation during the past five years before filing the application; a foreign investor shall also have undertaken direct selling business for at least three years outside China; | | （一）投资者具有良好的商业信誉，在提出申请前连续5年没有重大违法经营记录；外国投资者还应当有3年以上在中国境外从事直销活动的经验； |
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| 2. The paid-in registered capital is no less than RMB 80 million Yuan; | | （二）实缴注册资本不低于人民币8000万元； |
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| 3. The deposit has been paid in full amount in the designated bank according to the provisions of the present Regulation; and | | （三）依照本条例规定在指定银行足额缴纳了保证金； |
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| 4. The system of information reporting and disclosure as required has been established. | | （四）依照规定建立了信息报备和披露制度。 |
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| Article 8 Anyone applying for becoming a direct selling company shall fill in the application form and submit the following application documents and materials: | | 第八条 申请成为直销企业应当填写申请表，并提交下列申请文件、资料： |
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| 1. The certificate documents complying with the conditions as prescribed in Article 7 of the present Regulation; | | （一）符合本条例第七条规定条件的证明材料； |
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| 2. Articles of association of the company, for Sino-foreign joint venture or cooperative companies, the contract of the joint venture or cooperative company shall also be provided; | | （二）企业章程，属于中外合资、合作企业的，还应当提供合资或者合作企业合同； |
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| 3. The report on market plan, including the scheme for service networks in the area where direct selling business is undertaken as recognized by the people's governments at or above the county level, which is drafted according to the provisions of Article 10 of the present Regulation; | | （三）市场计划报告书，包括依照本条例第十条规定拟定的经当地县级以上人民政府认可的从事直销活动地区的服务网点方案； |
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| 4. Product specifications complying with the national standards; | | （四）符合国家标准的产品说明； |
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| 5. Model text of the sales contract to be signed with the sales promoters; | | （五）拟与直销员签订的推销合同样本； |
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| 6. Capital verification report issued by an accountant firm; and | | （六）会计师事务所出具的验资报告； |
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| 7. Agreement concluded by the company with the designated bank for using the deposit according to the present Regulation. | | （七）企业与指定银行达成的同意依照本条例规定使用保证金的协议。 |
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| Article 9 An applicant shall file an application with the competent department of commerce of the State Council through the competent department of commerce at the province, autonomous region, and municipality directly under the Central Government at its locality. The said department shall, within 7 days from the day of receiving the application documents and materials, submit the application documents and materials to the competent department of commerce of the State Council. The competent department of commerce of the State Council shall, within 90 days from the day of receiving all the application documents and materials, and upon soliciting the opinions of the administrative department of industry and commerce of the State Council, make a decision on whether to approve it or not. If an approval is granted, the competent department of commerce of the State Council shall issue the direct selling license. | | 第九条 申请人应当通过所在地省、自治区、直辖市商务主管部门向国务院商务主管部门提出申请。省、自治区、直辖市商务主管部门应当自收到申请文件、资料之日起7日内，将申请文件、资料报送国务院商务主管部门。国务院商务主管部门应当自收到全部申请文件、资料之日起90日内，经征求国务院工商行政管理部门的意见，作出批准或者不予批准的决定。予以批准的，由国务院商务主管部门颁发直销经营许可证。 |
An applicant shall, upon the strength of the direct selling license issued by the competent department of commerce of the State Council, apply for alteration registration to the administrative department of industry and commerce according to law. The competent department of commerce of the State Council shall, when making examination on and issuing the direct selling license, take into consideration such factors as national security, public interests, and the development of the direct selling sector, and etc.. | |
申请人持国务院商务主管部门颁发的直销经营许可证，依法向工商行政管理部门申请变更登记。国务院商务主管部门审查颁发直销经营许可证，应当考虑国家安全、社会公共利益和直销业发展状况等因素。 |
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| Article 10 A direct selling company shall, when undertaking direct selling business, establish branches(hereinafter referred to as branches) responsible for the direct selling business within the administrative regions of the provinces, autonomous regions, and municipalities directly under the Central Government where it plans to undertake direct selling business. | | 第十条 直销企业从事直销活动，必须在拟从事直销活动的省、自治区、直辖市设立负责该行政区域内直销业务的分支机构（以下简称分支机构）。 |
A direct selling company shall, within the area where it undertakes direct selling business, establish service networks which may facilitate and satisfy consumers and sales promoters to know about the price of the products and the returning and changing of goods and for the company to provide other services. The establishment of such service networks shall meet the requirements of the local people's governments at or above the county level. | |
直销企业在其从事直销活动的地区应当建立便于并满足消费者、直销员了解产品价格、退换货及企业依法提供其他服务的服务网点。服务网点的设立应当符合当地县级以上人民政府的要求。 |
A direct selling company shall, when applying for establishing branches, provide the certificate documents and materials complying with the provisions of the preceding paragraph, and shall file an application in light of the procedures as prescribed in paragraph one of Article 9 of the present Regulation. After the application is approved, the company shall go through registration at the administrative department of industry and commerce according to law. | |
直销企业申请设立分支机构，应当提供符合前款规定条件的证明文件和资料，并应当依照本条例第九条第一款规定的程序提出申请。获得批准后，依法向工商行政管理部门办理登记。 |
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| Article 11 In case a direct selling company has any major alteration on any of the contents as listed in Article 8 of the present Regulation, it shall, in light of the procedures as prescribed in paragraph one of Article 9 of the present Regulation, report to the competent department of commerce of the State Council for approval. | | 第十一条 直销企业有关本条例第八条所列内容发生重大变更的，应当依照本条例第九条第一款规定的程序报国务院商务主管部门批准。 |
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| Article 12 The competent department of commerce of the State Council shall publicize the name lists of the direct selling companies and their branches on the government website and update them in time. | | 第十二条 国务院商务主管部门应当将直销企业及其分支机构的名单在政府网站上公布，并及时进行更新。 |
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| Chapter III Recruiting and Training of Sales Promoters | | 第三章 直销员的招募和培训 |
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| Article 13 A direct selling company and its branches may recruit sales promoters. No entity or individual outside any direct selling company and its branches may recruit any sales promoter. | | 第十三条 直销企业及其分支机构可以招募直销员。直销企业及其分支机构以外的任何单位和个人不得招募直销员。 |
The lawful selling activities of any sales promoter shall not be subject to investigation and punishment by the reason of operation without license. | |
直销员的合法推销活动不以无照经营查处。 |
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| Article 14 No direct selling company or any of its branches may release any advertisements with the drumbeating of remunerations for sales promoters, nor may it have the fee-paying or commodities purchase served as the conditions for becoming a sales promoter. | | 第十四条 直销企业及其分支机构不得发布宣传直销员销售报酬的广告，不得以缴纳费用或者购买商品作为成为直销员的条件。 |
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| Article 15 No direct selling company or any of its branches may recruit the following personnel as sales promoters: | | 第十五条 直销企业及其分支机构不得招募下列人员为直销员： |
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| 1. Person who has not reached the age of 18; | | （一）未满18周岁的人员； |
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| 2. Person with no capacity for civil conduct or with limited capacity for civil conduct; | | （二）无民事行为能力或者限制民事行为能力的人员； |
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| 3. Full-time students at school; | | （三）全日制在校学生； |
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| 4. Teachers, medical personnel, civil servants and enlisted army men; | | （四）教师、医务人员、公务员和现役军人； |
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| 5. Formal employees of the direct selling company; | | （五）直销企业的正式员工； |
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| 6. Overseas personnel; and | | （六）境外人员； |
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| 7. Personnel prohibited from undertaking part-time job as prescribed by any law or administrative regulation. | | （七）法律、行政法规规定不得从事兼职的人员。 |
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| Article 16 A direct selling company or any of its branches shall sign sales contract with any sales promoter it recruits, and shall ensure that the sales promoter shall carry out direct selling business only in the area of the province, autonomous region, and municipality directly under the Central Government where one of its branches has established service networks. Any person who fails to sign sales contract with a direct selling company or any of its branches shall not carry out direct sales business by any way. | | 第十六条 直销企业及其分支机构招募直销员应当与其签订推销合同，并保证直销员只在其一个分支机构所在的省、自治区、直辖市行政区域内已设立服务网点的地区开展直销活动。未与直销企业或者其分支机构签订推销合同的人员，不得以任何方式从事直销活动。 |
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| Article 17 A sales promoter may rescind a sales contract at any time within 60 days from the day of signing it; after the 60 days, a sales promoter shall notify the direct selling company 15 days before rescinding the sales contract. | | 第十七条 直销员自签订推销合同之日起60日内可以随时解除推销合同；60日后，直销员解除推销合同应当提前15日通知直销企业。 |
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| Article 18 A direct selling company shall make vocational training and examination on any sales promoter it recruits, and issue the certificate of sales promoter after the sales promoter has passed the examination. No one may undertake direct selling business without obtaining the certificate of sales promoter. | | 第十八条 直销企业应当对拟招募的直销员进行业务培训和考试，考试合格后由直销企业颁发直销员证。未取得直销员证，任何人不得从事直销活动。 |
No direct selling company may charge any fees for making vocational training and examination on sales promoters. | |
直销企业进行直销员业务培训和考试，不得收取任何费用。 |
No entity or individual outside a direct selling company may organize vocational training on sales promoters in any name. | |
直销企业以外的单位和个人，不得以任何名义组织直销员业务培训。 |
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| Article 19 The teaching staff who make vocational training on sales promoters shall be the formal employees of the direct selling companies, and shall comply with the following conditions: | | 第十九条 对直销员进行业务培训的授课人员应当是直销企业的正式员工，并符合下列条件： |
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| 1. Working in the companies for more than one year; | | （一）在本企业工作1年以上； |
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| 2. Having graduate or post-graduate education of higher education and the relevant professional knowledge of law and marketing; | | （二）具有高等教育本科以上学历和相关的法律、市场营销专业知识； |
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| 3. Having no records of criminal punishment for intentional crimes; and | | （三）无因故意犯罪受刑事处罚的记录； |
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