Ethics code

Code of Conduct

We would like to present basic principles of ethical conduct observance of which shall make our work together more pleasant and facilitate creation of good, more productive and reliable relationships. 
This Code of Conduct is a reflection of our moral values and shall specify our Distributor’s and partners’ conduct and behaviour.
We believe that the Code of Conduct will become a useful mission for you while developing and building EC Cosmetics and that you will share our values with us which lead to the shared goal.

Your EC Cosmetics

1. Scope of Authority of the Code of Conduct and Definition of Terms

• This Code of Conduct (hereinafter also referred to only as the “Code of Conduct”) applies to all Distributors (persons who concluded Distributor’s Contract with EC Cosmetics s.r.o., with its registered office: Medkova 886/1, 627 00 Brno, Company ID: 24838292,, entered in the Commercial Register kept by the Regional Court in Brno under file no.: C 103705 (hereinafter also referred to only as the “EC Cosmetics”) and to other persons who have explicitly undertaken to observe it.
• The Code of Conduct specifies the minimum ethical norms of Distributors’ and/or persons’ acting on behalf of Distributors behaviour.
• Distributors and/or persons acting on behalf of Distributors are obliged to observe the Code of Conduct implicitly.
• The Code of Conduct regulates especially the following relationships:

1. a) between EC Cosmetics and the Distributor, EC Cosmetics Club Member
2. b) between Distributors, EC Cosmetics Club Members
3. c) between the Distributor and the Customer, EC Cosmetics Club Member
4. d) occurring during promotion and sale of the Products.

• For the purpose of this Code of Conduct and unless otherwise explicitly specified, all terms with capital letters at the beginning of words used in this Code of Conduct have identical meaning with Distributor’s Contract and Marketing Plan.

2. Relations between EC Cosmetics and Distributors or EC Cosmetics Club Member

• Voluntary cooperation and mutual trust are necessary requirements for the cooperation between EC Cosmetics and the Distributor and EC Cosmetics Club Members.
• Distributor and EC Cosmetics Club Memberacts honestly towards the EC Cosmetics Company, is loyal and minds the good reputation of EC Cosmetics Company, EC Cosmetics Brand and Products.
• Distributor and EC Cosmetics Club Member refrains from anything which could possibly damage or endanger the good reputation of the EC Cosmetics Company, EC Cosmetics Brand and Products.
• Distributor and and EC Cosmetics Club Memberespecially refrains from spreading untrue, misleading or otherwise distorted information about the EC Cosmetics Company, EC Cosmetics Brand or Products.
• Distributors and EC Cosmetics Club Membershall refrain from any such acts that could unfairly and/or wrongfully increase their point score in order to gain unjustified right to Commission or other benefits.
• Distributors and EC Cosmetics Club Memberagree that the EC Cosmetics Company, as the owner and administrator of the Emporio Network, can entrust other person with the EC Cosmetics Network administration in each country.
• Distributors and EC Cosmetics Club Memberundertake that as regards matters related to the EC Cosmetics Network and/or Group they shall conform to measures taken by the EC Cosmetics Company, or EC Cosmetics Network’s administrator appointed in the respective country.
• Distributors and EC Cosmetics Club Membershall participate in events organized by the EC Cosmetics Company for Distributors and EC Cosmetics Club Members, or events organized for Distributors and EC Cosmetics Club Membersby the appointed administrator of the EC Cosmetics Network in the respective country.

3. Mutual Relations between Distributors and Building Distributor’s Network

• We are guided by team spirit, and that is why Distributors and EC Cosmetics Club Memberscooperate with each other with respect to their capabilities.
• Distributors respect justified interests of other Distributors and, if appropriate, proceed in cooperation with other Distributors.
• Distributors especially cannot endanger or directly contest trustworthiness of another Distributor and/or draft other Distributors who belong to the Group of another Distributor into their Groups.
• Within the scope of their capabilities, Distributors build their Groups. However, they always make sure that their Groups are built in an honest way and that they set an example to their Groups.
• Distributors especially cannot resort to manipulative conduct, presenting and /or spreading untrue or alleged facts.
• Distributors attempt to create friendly environment within their Groups and to develop positive interpersonal relationships.
• Distributors do their best to spread awareness of the EC Cosmetics Brand, Products on offer and to motivate other Distributors’ personal growthwithin their Groups.
• In the case of acquiring new Distributors it is considered unacceptable that an existing Distributor convinces any person to become a Distributor based on any misleading statements regarding earnings or other benefits which are provided to Distributors. It is always necessary to inform any potential applicants for the Distributor position about all facts related to this position, i.e. especially that the success rate depends primarily on their personal efforts and performance.
• Any Distributor willing to change their group they are registered with (change of Sponsor), can only do so if the EC Cosmetics Company gives its consent in writing.
• In the case doubts or disputes occur between Distributors, Distributors shall attempt to reach amicable solution. If amicable solution is not reached, the doubt or dispute is submitted to the EC Cosmetics Company which shall judge it. The EC Cosmetics Company shall, if possible, attempt to reach amicable solution between the Distributors, or it shall express its binding statement as regards the matter.

4. Relationship between Distributors or EC Cosmetics Club Memberand Customers (or any other third persons)

• We appreciate and value the trust of our Customers in the EC COSMETICS trade mark and its Products and we do our best not to fail their expectations. Our Customers (even the potential ones) are treated with respect and correctness.
• Distributors must not provide Customers with untrue and/or alleged facts concerning the EC Cosmetics Brand and/or the EC Cosmetics Company and/or its Products (or their properties), or otherwise mislead the Customer.
• Distributors and EC Cosmetics Club Membermust not say or make an impression that they are employed by the EC Cosmetics Company and/or they represent the EC Cosmetics Company. Distributors pursue their activities independently as entrepreneurs and as freelance entrepreneurs they are liable for their activities.
• Distributors are strictly obliged not to disclose any information they have access to only after they log in the Distributor’s
• Log-in user name and password to access the Distributor’s Zone are strictly private and cannot be disclosed to anybody. If the data is misused by the Distributor, the Distributor is liable for damage.

5. Presentation of Products

• In the EC Cosmetics Network it is possible to sell only Products designed for this purpose by the EC Cosmetics Company. It is strictly forbidden to offer other products and/or services in the EC Cosmetics Network.
• Without a written consent of the EC Cosmetics Company Distributors and EC Cosmetics Club Membersare not entitled to offer other products or services which are of a competitive nature with respect to the Products offered by the EC Cosmetics Company, even if they sell them outside the EC Cosmetics Network.
• Distributors and EC Cosmetics Club Membersare obliged to provide only true and complete information about Products, which are not in contradiction with legal regulations, when presenting Products. Distributors and EC Cosmetics Club Membermainly provide information given in promotional materials, catalogues and other official publications issued by the EC Cosmetics Company and included in the official web sites of the EC Cosmetics Company and their language mutations.
• Distributors and EC Cosmetics Club Membersshall provide necessary information clearly and in a way easy to understand. Distributors are also obliged to inform Customers about their rights at least within the scope specified by the existing regulations on the protection of consumers. Distributors and EC Cosmetics Club Membersshall also inform about properties and the way of use of the Product and they shall provide true answers to any potential questions related to the Product.
• Distributors and EC Cosmetics Club Memberscan use advertising and promotion materials only if they are approved of by the EC Cosmetics Company in advance and proceed in accordance with the business strategy of the EC Cosmetics Company or its local representation. Distributors and EC Cosmetics Club Membersare bound by the EC Cosmetics Company’s instructions or the instruction of its local representative as far as the Products promotion is concerned.
• Distributors and EC Cosmetics Club Membersare especially not allowed to use any other materials protected by copyright, trade names, labels, trademarks for Products, especially as parts of their web site address, meta tags or another web sites locator.
• Distributors and EC Cosmetics Club Membersshall refrain from everything the nature of which is unfair competition or which can be considered unfair competition.
• Distributors and EC Cosmetics Club Membersmust not use unfair, dishonest or forbidden advertising. It is especially forbidden to compare with or liken Products to other brands or products on the market.
• Distributors and EC Cosmetics Club Membersmust not present Products using superlatives such as the greatest, the best, the most popular, etc.

6. Sale of Products

• Distributors and EC Cosmetics Club Membersoffer Products for prices which correspond to the business strategy of the EC Cosmetics Company and the resulting pricing of Products. The price of Products is important part of the overall business strategy of the EC Cosmetics Company and the price of Products corresponds with their quality and focus on luxury.
• Distributors and EC Cosmetics Club Membersare explicitly forbidden to offer Products for prices which do not correspond with the nature of the Products as specified above.
• Distributors and EC Cosmetics Club Membersagree that determining the price of Products is exclusively within the scope of the EC Cosmetics Company and they shall observe the specified prices.
• Distributors and EC Cosmetics Club Membersshall always offer Products in their original packages and with all the accessories if the Product is supplied with such accessory.
• Sale of Products is realized through direct sale or online sales.
• Direct sale means especially meeting between the Distributor or EC Cosmetics Club Memberand Customer in person where Product is shown and presented. Direct sale is the most frequent and commonly used way of selling Products.
• Only Distributors who were granted a consent in writing from the EC Cosmetics Company under stipulated conditions and while observing the Guidebook for Web Sites Creation are allowed to sell Products online on the Internet (especially using web sites). The Guidebook for Web Sites Creation is binding for the Distributor as well as this Code of Conduct and failure to observe it is considered breach of the Code of Conduct.
• In their written application for Internet sale permission Distributors announce the EC Cosmetics Company the web site address (URL address) through which Products will be sold.
• When preparing their web sites, Distributors are obliged to use the template – Guidebook for Web Sites Creation, which shall be provided by the EC Cosmetics Company for this purpose as much as possible. In the case the Guidebook for Web Sites Creation is not made available by the EC Cosmetics Company, it is sufficient if Distributors notify the EC Cosmetics Company in writing that they want to sell Products online through the Internet network and the company gives its consent. When the Guidebook for Web Sites Creation Distributor is issued, Distributors undertake to adjust reasonably their web sites appearance to the Guidebook for Web Sites Creation.
• The EC Cosmetics Company reserves the right to express its disapproval with the designed/real contents or appearance of the web site anytime before the web site is launched or anytime during its existence due to the existence of discrepancy with the Code of Conduct, Marketing Plan or Distributor’s In such case, Distributors are obliged to do their best to assist the EC Cosmetics Company in order to solve any specific ambiguities/discrepancies concerning the contents or appearance of the web site. The right of the EC Cosmetics Company to terminate the Distributor’s Contract or to withdraw from it in the case any of the provisions of the Code of Conduct is breached is not prejudiced.
• Distributors are forbidden to use unsolicited messages (SPAM) to promote their web sites.
• Products cannot be presented on web sites which can make an impression that Products are associated with another brand or could be cause of mistaking them for another product owing to their graphic style, domain name or the name as such.
• Information that the web site is only partner’s web site, not the official web site of the EC Cosmetics Company must be clearly and visibly presented on the web site.
• Web sites must not contain any data which are available in the Distributor’s zone after log in to the web site of the EC Cosmetics Company.
• Web sites must EC COSMETICS not contain any untrue or misleading information about the EC Cosmetics Company, the trademark and/or Products.
• Web sites must not contain (display) any Internet auctions or any links to such auctions.
• In the case of a dispute between the Distributor and Customer, the Distributor is obliged to inform the EC Cosmetics Company about the situation, especially in order to seek solution to the situation. 

7. Consequences of Breach of Code of Conduct

• The EC Cosmetics Company shall deal with every breach of the Code of Conduct in a way appropriate to conditions common in place and time and it will attempt to reach balanced solution while taking the fact that the Code of Conduct is one of the basic sources of cooperation between the EC Cosmetics and Distributors and EC Cosmetics Club Memberinto consideration. That is why every breach of the Code of Conduct must be considered as a material interference in the mutual cooperation. Both parties must always be aware of this.
• The EC Cosmetics Company considers any breach of the Code of Conduct a breach of contractual provisions which can lead to withdrawal or termination of the Distributor’s Right of the EC Cosmetics Company to claim damages from the party whose acts were or are incompatible with the Code of Conduct is not prejudiced.

The Code of Conduct takes force and becomes effective as of 1^st January 2018.