Amway and two affiliated organizations agreed to pay $225 million to resolve allegations brought by the Federal Trade Commission and the state of Washington over recruiting and earnings practices.
The FTC says the case concerns representations made to people recruited as independent business owners and describes the monetary recovery as the largest obtained by the agency in an action against a multilevel-marketing company.
The proposed order is subject to court approval. The settlement is expected to direct most of the monetary relief toward consumers the government says were harmed by the challenged practices.