Faberlic distributes products by direct sales only. Sales via retail trade networks are prohibited in the Company.

Please note that violation of this rule can be proved (video and/or photo materials).

1. When personal order is paid, its cost can be reduced b 35% from the initial cost, if the Volume discount for a product does not exceed 65% of the order amount. If the Volume discount exceeds 65% of the product cost in the order, the rest discount can be used in the next orders.

2. Free sales of products in the territory of Collection point (CP) is prohibited. Any unpacked products shall not be stored in the CP territory (except for samples that shall have a “Sample” mark).

Responsibility for violation of this rule causes:

• If retail sales in the CP territory is detected for the first time, the CP Owner shall be fined 50% of the Agency commission for the month, when the violation was detected.

• If retail sales in the CP territory is detected for the second time, the CP Owner shall be fined 100% of the Agency commission for the month, when the violation was detected.

• If retail sales in the CP territory is detected for the third time, the Company shall terminate the Contract with the CP Owner.

Representative of the Company can execute scheduled and unscheduled inspections, and make video and pictures in the territory of CPs to monitor keeping the present rules (concerning sales of Faberlic products).

3. Sales via placement in shop windows and/or offers to an unlimited range of persons in wholesales and retail trade units (including shops, markets, stalls, booths etc) are prohibited. If a CP is in a mall, then the shop window shall be made in such a way that it could be seen only after entering the mall.

Responsibility for violation of this rule causes:

• If the retail sales are detected for the first time, the Representative’s ID number is deleted from the team without saving the data of the deleted number, and caution is made to their Director.

• If the retail sales are detected for the second time in the team of the Director who was notified before, they shall be fined at the rate of 100% from the Volume discount. It also causes disqualification of the Director, loss of all their privileges and probable removal of the Director from the Company database (regardless of the rank of the Director). The decision concerning this issue shall be taken by the Subsidiary of the Company, where the Director works.

4. It is prohibited to sell products through:

4.1. Marketplaces
For sole proprietors who have placed goods on marketplaces, clause 4.1 shall enter into force on 01.08.2022.

4.2. Online stores, if product price is lower than Buyer's price** (dumping), Buyer's price is specified in price list placed on website faberlic.com.

4.3. It is prohibited to place information from website owner about gifts, discounts, promotions not approved by company.

4.4. Liability for violation of any of clauses 4.1-4.3 shall entail:

• At initial finding out of a fact of violation of any of clauses 4.1-4.3 registration number of Representative (site owner) shall be removed from company structure without saving data on the deleted number, and Director of such Representative shall be given a notice by Director of Region Network Development , in Countries - by head of Subsidiary.

• The finding out of a fact of repeated violation of any of clauses 4.1-4.3 in the structure of a previously noticed senior Director shall entail a fine in the amount of 100% of PC. Then the Representative shall be expelled from the company (regardless of their rank). The decision on this matter shall be made by Director of Region Network Development, in the Countries - the head of Subsidiary.

5. Retail sales do not include the work of a Representative at exhibitions or advertising events (of a limited period).

To participate in an exhibition Representative shall be allowed by the Subsidiary Director, where the event takes place. At such an event Representative shall work in accordance with the Faberlic Code of Conduct.