Section 10 – Death & Inheritance

An Amway business man be passed on to the next generation. If an IBO dies or becomes physically unable to continue in the business AMWAY may accept responsibility for preservation and management of the business until the wishes of the IBO can be ascertained and complied with in a manner consistent with the Rules of Conduct and legal requirements.

    • 10.1 Death and Inheritance: Upon the death of an IBO, the IBO’s interest in the IBOship may be passed on to a relative or other designated person, subject to the laws on succession and Amway’s acceptance of the assignment of the IBOship pursuant to these Rules. The original IBO must make proper arrangements during their lifetime for the orderly and legal transfers of ownership of their IBOship to their heirs in accordance with Amway’s succession planning documents. This is to ensure that downline IBOs will continue to receive proper service, training and motivation. In the event that the heirs do not take steps to take over the IBOship, the IBOship may be deemed abandoned in accordance with 13.1.
      • 10.1.1 During a period of transition, Amway can appoint a manager on such terms and conditions as Amway considers appropriate, to operate the IBO until such time as the IB is assigned or otherwise dealt with pursuant to Rule 10 or terminated by Amway pursuant to these Rules.
      • 10.1.2 The Executor or Administrator of the Estate of the deceased IBO shall within 30 days after the grant of probate or letters of administration:
        1. assign or transmit the IB pursuant to Section 6 of these Rules;
        2. if the Executor or Administrator is or becomes an IBO, carry on the business of the deceased IBO’s IB; or
        3. appoint a manager for such period and on terms and conditions as Amway considers appropriate, to operate the IB, provided the manager is or becomes an IBO before commencing to operate the IB. Without limiting the breadth of Amway’s discretion as to the terms and conditions which may be specified pursuant to Rules 10.1.1 and 10.1.2, the manager shall, if Amway considers it appropriate, be entitled to all, or such part as Amway specifies, of the Bonuses/Rebates and privileges accruing in respect of the IB during the period of management.

 

    • 10.2 Death of one partner: In the event that an IBO comprises two natural persons in partnership and one of the partners dies, then:
      • 10.2.1 The surviving IBO will be deemed to be the manager and sole owner of the IB, until such time as the IB is assigned or otherwise dealt with pursuant to the Rules of Conduct.
      • 10.2.2 Within 30 days after the grant of probate or letters of administration:
        1. the surviving partner shall acquire (whether by way or sale, transmission by will or operation of a partnership agreement) the interest of the deceased IBO in the IB;
        2. the Executor or Administrator of the Estate of the deceased IBO shall assign or transmit the deceased IBO’s interest in the IB to another IBO who shall carry on the IB in partnership with the surviving IBO;
        3. the IB shall be assigned or transmitted pursuant to Section 6 of these Rules; or
        4. the Executor or Administrator of the Estate of the deceased IBO and the surviving IBO shall appoint a manger for such period and on such terms and conditions a are specified or approved by Amway, to operate the IB, provided the manager is or becomes an IBO before commencing to operate the IB.

 

Without limiting the breadth of Amway’s discretion as to such terms and conditions which may be specified, the manager shall, if Amway considers it appropriate, be entitled to all or such part as Amway specifies, of the Bonuses/Rebates and privileges accruing in respect of the IB during the period of management.

 

    • 10.3 Protected Person: In the event that an IBO becomes a protected person within the meaning of that term in the Protected Estates Act 1983 (NSW) or other relevant legislation, or a person in respect of whom an order or direction is in force that his/her estate be subject to management under similar Country, State or Territory legislation which makes provision with respect to the management of the property and affairs of persons who are incapable of managing their own affairs by reason of mental or other condition, then:
      • 10.3.1 Amway may appoint a manager on such terms and conditions as Amway considers appropriate, to operate the IB until such time as the IB is assigned or otherwise dealt with pursuant to Rule 10.3.2 or terminated by Amway;
      • 10.3.2 The Protective Commissioner (or manager/trustee of the Estate of the incapable IBO) may, if they have the power to do so under relevant legislation, within 30 days after the order or direction in question:
        1. assign the IB pursuant to Rule 6; or
        2. if the manager/trustee is or becomes an IBO, carry on the business of the incapable IBO.

 

Without limited the breadth of Amway’s discretion as to such terms and conditions which may be specified pursuant to Rule 10.3.1, the manager shall, if Amway considers it appropriate, be entitled to all or such part as Amway specifies, of the Bonuses/Rebates and privileges accruing in respect of the IB during the period of management.