Ask a Lawyer - Archive

I became involved in a pyramid scheme involving an insurance agency and their field agents. I was only paid commissions on sales and everyone "upline" received commissions on sales I made. I not only received inadequate training and support but made very little money. I am now employed elsewhere but because of my involvement with this company I have accumulated a large amount of debt that I cannot afford to pay. I have strained relations with friends and family because of my sales and recruiting activity. Do I have any recourse against this company and if so how do I proceed?

Pyramid schemes are common and rarely end with financial gain for most involved. I am not sure about the laws in your state, but Texas has a specific statute that addresses pyramid schemes. In addition, since this involves insurance, your state's department of insurance may be a helpful resource for you. I believe that you should speak to an experienced attorney in your state to discuss your options and any recourse you may have. Best of luck to you.