MEMBERSHIP

The obligations and rights of all Greenwood Health Systems, Inc. Members are explained in this document.

By participating in the Greenwood Health Systems, Inc. program, placing orders, referring others and/or accepting royalty/bonus checks, Members agree to be bound by these obligations, and agree to hold the Company harmless for anything they do which does not conform to these Policies and Procedures.

When a new Member is accepted into Greenwood Health Systems, Inc., they will be assigned a Personal Identification Number (PIN), which will be used with all transactions with Greenwood Health Systems, Inc. 

Members also indemnify Greenwood Health Systems, Inc. for any possible damages that may result from any activities engaged in, by them that do not conform.

Equal Opportunity:

Greenwood Health Systems, Inc. is open to people from all walks of life, regardless of sex, race, nationality, religious beliefs, political affiliations or age, as long as the applicant is at least 18 years of age, or of legal age in the state or country where they live, and is otherwise legally capable of entering into a contractual agreement.

Members:

Individuals may become Members by providing the Company with their name, e-mail address and telephone number. Such registration with Greenwood Health Systems, Inc. may be by telephone, telefax, USPS or through the Internet. There is no cost involved in becoming a member.

Members may refer other individuals to Greenwood Health Systems, Inc. if they desire. However, in order to participate in the Company's Compensation Plan and earn royalties, bonuses, or any type of compensation, one must first purchase a stated minimum order of product per month. The stated minimum amount of these orders shall be the published amount found within the "Compensation Plan" section of the members GHS website.

All members who choose to earn income by participating in the Company's Compensation Plan agree to abide by and be bound by these Policies and Procedures. Members must be of legal age to enter into contract in the state or country where they live.

Members must accept the Member Application and Agreement provided by the Company. They can then earn bonuses based on the volume of purchases made by other Members they Sponsor directly and indirectly according to the Company's published Compensation Plan.

There is no minimum order requirement for Members in any one month. However, certain volume requirements as published in the Company's Compensation Plan are necessary to receive the various royalties, bonuses and other forms of compensation.

Members are responsible for making certain that they order on or before the close of business, which is 2400hrs (GMT) on the last business day of each month to qualify for bonuses.

Members are responsible for making certain that Greenwood Health Systems, Inc. receives good funds for that purchase.

If payment is made by check or credit card and for any reason that payment is declined or rejected, the order cannot be processed and will not count toward qualification nor will compensation be paid on it.

As any such type of payment that is received for purchases that has not cleared before the end of the month will not be counted toward the preceding month volume or qualification, it is the responsibility of the member/sponsor to make certain that their payments and orders are done in a way that assures them they will be qualified if they expect to receive any bonus or royalty payment for that month.

Sponsor: Sponsor is the term used to define a Member who refers one or more individuals to Greenwood Health Systems, Inc. who then become Members.

The Sponsor is primarily responsible for ensuring their personally sponsored downline Members are properly trained with respect to the Greenwood Health Systems, Inc. products, Policies and Procedures, Compensation Plan, sound business practices and sales strategies on an on-going basis.

Sponsors must fulfill the obligation of performing a bona fide supervisory role in helping their sponsored Members develop their Greenwood Health Systems, Inc. business.

1. TERM OF MEMBERSHIP

The initial term of membership shall be two months. Any new member not placing at least one product order within this initial two-month period shall have their membership cancelled.

As long as existing Members remain active (by placing at least one product order every 4 months) with Greenwood Health Systems, Inc., their Membership will continue. There are no other fees required in order to maintain membership.

2. RELATIONSHIPS AND POSITIONS

One position: Each person may have one position only and under one sponsor only. That position may be held as an individual, or in the form of a business entity such as a partnership, corporation, limited liability company, DBA or business trust.

Having a financial interest in any position other than your own is not permitted, except as herein provided. Multiple positions are not allowed and constitute grounds for termination. Each Member who desires to operate their Greenwood Health Systems, Inc. business in any accepted business entity must indicate such on the Members Application and Agreement Form provided by the Company.

While a spouse and or children over the age of 18 residing at the same address, are permitted to become members, any attempted "stacking" of those positions constitute grounds for termination.

3. CHANGES IN STATUS

A. Death: Upon death or incapacity of the Member, his/her rights to bonuses and position, together with Membership responsibilities, shall pass to his/her legal successors in interest upon written request and approval by Greenwood Health Systems, Inc. Such permission shall not be unreasonably withheld.

The successors must complete a new Member Application and Agreement Form and fulfill all responsibilities of the Position in so far as performing the duties of sponsorship in order to receive compensation as provided by the Company's Compensation Plan. The successor shall, thereafter, be entitled to all the rights and subject to all the obligations of any other Greenwood Health Systems, Inc. Member, as long as they continue to meet the requirements of the Company's Compensation Plan and continue complying with the Policies and Procedures of the Company. If the person inheriting a position of a deceased Member already has an Greenwood Health Systems, Inc. PIN, that person must agree to do their best to maintain the business activities in both positions.

B. Divorce: If a married couple becomes divorced, they must notify the Company regarding whom will assume responsibility for and ownership of the position. The Company will simply continue bonus payments to the position, however it was previously registered with the Company, until proper legal notification is provided to the Company by the proper legal authorities.

4. SPONSORING POLICY

A. Compensation: Members are compensated based solely on the sales of bonusable  products.

No compensation is made for the act of sponsoring new Members.

B. First Application: Members have the right to sponsor others. In addition, every person has the ultimate right to choose his or her own Sponsor. If two Members should claim to be Sponsors of the same new Member, Greenwood Health Systems, Inc. shall regard the first application received by the company as controlling. In case of a dispute between Sponsors, the Company reserves the right to make the final decision as to who the Sponsor shall be, based on all the information available to the Company at the time. If additional information becomes available at a later date, the Company reserves the right to modify its decision.

C. Compliance: By the act of sponsoring new Members into Greenwood Health Systems, Inc., Members must make the commitment to be Sponsors. If the sponsoring Member fails to follow through and complete the duties of a Sponsor as outlined herein, the Company, at its discretion, reserves the right to revoke or suspend privileges of a Member to sponsor other members.

D. Age: There is no limit as to the number of new Members that can be sponsored by any one individual. However, all individuals sponsored into Greenwood Health Systems, Inc. must be 18 years of age or of legal age in the state or country where they live, and be legally capable of entering into a contractual agreement.

E. Cross line Sponsoring: Cross line sponsoring is the act of offering products or the income opportunity of another company to a Member of Greenwood Health Systems, Inc. who is not personally sponsored by you. In addition, suggesting any Greenwood Health Systems, Inc. Member, or group of Members, change their sponsorship is also defined as cross line sponsoring. Cross line sponsoring, or attempting to do so, is absolutely forbidden and is grounds for suspension or termination as a Greenwood Health Systems, Inc. Member.

F. International Sponsoring: The Greenwood Health Systems, Inc. opportunity is available in many countries to those who choose to join Members.

However, certain countries do not permit sale of one or more of the Company's products, or do not permit sponsoring of new Members. Members are only permitted to sponsor new Members in countries that are approved by Greenwood Health Systems, Inc.

Members must contact Greenwood Health Systems, Inc. to determine the countries in which they can sponsor new Members.

Attempting to sponsor or sell products in countries that are not yet approved may be grounds for suspension or termination.

5. SALE OR TRANSFER OF POSITION

Members may sell, assign, or transfer their position only upon the written approval of Greenwood Health Systems, Inc. The Member must provide the Company with a completed Sale or Transfer of Position Form. The position must first be offered to the Member's Sponsor. The Member being offered the position for sale shall have ten business days to respond. If the offer is not accepted, it must then be offered to the next active upline Member, one at a time beginning with the nearest Member, and progressing upline. Equal terms of sale, including the requested price and terms, must be offered to all involved parties in writing. If the position being sold is not purchased by an upline Member within the organization as described herein, then the position may be sold to a Member in a different line or to someone who is not a Greenwood Health Systems, Inc. Member, who desires to become one. If the position is offered for sale to someone outside of the original line, it must be offered and sold for the same price and conditions as it was offered to the upline Members. If the selling Member decides to sell at a new price and/or with new conditions, the new price and conditions must first be offered to the existing upline Members in the order described above. If the position is sold to an existing Greenwood Health Systems, Inc. Member, the new owner must operate the newly acquired position as a separate business entity from his or her original position, or collapse, sell or otherwise legally transfer the original position or the position being acquired. In any event, the downline of either position will remain intact within, as it was originally. Any compensation and recognition will be determined solely by the qualifications of each and every individual position.

6. CHANGING SPONSORS

Changing Sponsors is rarely permitted and is strongly discouraged. It will only be done at the discretion of the Company.

Maintaining the integrity of sponsorship is absolutely mandatory for the success of the overall organization. Changes in sponsorship can only occur for the following two reasons:

1. Unethical sponsoring by the original Sponsor.

2. Resigning from Greenwood Health Systems, Inc. entirely and waiting six months to re-apply under a new Sponsor. If you resign from the Company you will lose any downline you have built. Your resigned position will be collapsed and moved front line to your Sponsor and your downline will remain intact.

7. RIGHTS GRANTED

Greenwood Health Systems, Inc. grants the Member a non-exclusive right upon the terms and conditions contained in this Agreement, to purchase products and promote and sell its products in the United States and other countries where Greenwood Health Systems, Inc. permits.

8. INDEPENDENT BUSINESS RELATIONSHIP

A. Independent Representatives: Members are independent. They are not franchisees, joint ventures, partners, agents or employees of Greenwood Health Systems, Inc. Members are prohibited from stating or implying, orally or in writing, that they are franchisees, joint ventures, partners, agents or employees of Greenwood Health Systems, Inc. Members have no authority to bind Greenwood Health Systems, Inc. to any obligation.

B. Indemnification: Each and every Member agrees to indemnify and hold harmless Greenwood Health Systems, Inc., its officers, agents, and directors against any claim, demand, liability, loss, cost, or expense, including but not limited to attorney's fees, arising or alleged to arise in connection with the Member or any other Member's Greenwood Health Systems, Inc. business.

C. Hours: Each Member is encouraged to establish their own hours and determine their own methods of sale, so long as the Member complies with Greenwood Health Systems, Inc. Policies and Procedures.

D. Volume: Members are encouraged to keep track of their actual personal volume during any given month and not rely solely on the monthly volume figures provided by Greenwood Health Systems, Inc., as a courtesy to all Members.

E. Receivables: Greenwood Health Systems, Inc. reserves the right to deduct any accounts receivable balances owed by Members to Greenwood Health Systems, Inc. including any re-entry fees, from the Member's bonus and/or commission checks.

F. Pricing: Greenwood Health Systems, Inc. product prices and shipping and handling charges are subject to change by written notice, email or by posting such changes on the company website.

9. REPRESENTATIONS MADE BY MEMBERS

A. Income Claims: No false or misleading income projections, including those based solely on mathematical projections without regard to probable sale success, may be made to prospective Members.

B. Product Claims: Members can only make claims regarding the benefits of Greenwood Health Systems, Inc. products that are acceptable to local and federal regulatory agencies including, but not limited to, the U.S. Food and Drug Administration and the Federal Trade Commission and similar regulatory agencies in other countries.

C. Direct Purchasing: All Greenwood Health Systems, Inc. Members can buy product directly from the Company.

Purchases made between Members in the field and not processed by Greenwood Health Systems, Inc. are not eligible for return to the Company and are not eligible for royalty overrides and are considered private transactions between the Members.

10. INCOME AND OTHER TAXES

Members will not be treated as employees, franchisees, joint ventures, agents or partners, with respect to the Internal Revenue Code, Social Security Act, Federal Unemployment Acts, or any other federal, state, or local statute, ordinance, rule, or regulation.

Members are responsible for paying local, state, and federal taxes due, on earnings from commissions generated from the sale of Greenwood Health Systems, Inc. products.

Members residing in the United States of America shall provide a valid SSN of EIN to become eligible for the payment of bonuses.

Any member residing in the United States of America who chooses not to provide a valid SSN or EIN is automatically disqualified from receiving any and all bonuses.

All Members shall comply with all federal, state, and local statutes and regulations relating to the operation of their businesses. All are responsible for their own managerial decisions and expenditures, including all estimated income and self-employment taxes.  

11. SALES TAXES

Some Greenwood Health Systems, Inc. products may be subject to sales tax in certain states. The amount of sales tax, if any, varies from state to state and at different localities within states. In order to ensure that governmental satisfaction of state sales tax requirements are met, it is the policy of Greenwood Health Systems, Inc. to collect and remit all applicable sales tax. The amount of sales tax is based upon the product's price calculated at the local tax rate of the person to whom the products are being shipped. Members can recoup their prepaid sales tax at the time of sale, if and when they resell Greenwood Health Systems, Inc. products. Members who prefer to collect and remit sales tax themselves, must furnish Greenwood Health Systems, Inc. with a true and correct copy of their current state approved resale tax certificate showing their resale tax number along with any additional information required by the Company from time to time. In the absence of a bona fide resale tax certificate, Greenwood Health Systems, Inc. will continue to collect sales taxes until such time as a bona fide resale tax certificate is received.

12. SEVENTY PERCENT RULE

The Company encourages retailing of products but does not encourage the front loading or excessive purchasing of inventory. In order to guard against such practices, Greenwood Health Systems, Inc. requires that by placing their orders, every Member certifies that they have sold or consumed at least 70% of the products contained in their prior orders.

13. PAYMENT OF COMMISSIONS

A. Definitions: Members are compensated, with basic commissions, for the sale of Greenwood Health Systems, Inc. products in their organization. These commissions can be earned based on the specifications of the Greenwood Health Systems, Inc. Compensation Plan.

Autoship is an automatic shipment of an order each month set up by a member.  All members (excluding Health Care Professionals) are eligible to go on autoship after they have placed an initial order.

Autoship orders are run at 12:00 am GMT on the 5^th, 10th, 15^th, 20^th and 25^th of each month whether it is a weekday or weekend.  All Autoship orders are shipped out on the same day, unless the autoship date falls on a weekend or holiday, in which case it will be shipped out on the following workday.

Autoship orders will run on the next occurrence of date the member has selected regardless of when the last order was placed.

Any time a member on autoship places any additional order, they will receive the autoship prices.

A. Changing an Autoship: To make changes to an autoship, an autoship member may either go to their website and change the order, or call the office at least three business days in advance of their autoship date to ensure that the order gets changed before the autoship is run.

Any orders changed on the date of the autoship will go into effect the following month.

B. Cancellation of an Autoship

    1. Member Initiated Cancellation: To cancel an autoship, an autoship member must call, email, or fax their request to the office at least a week in advance of their autoship date. Please include the member’s name and PIN number for expedient service.

    2. Company Initiated Cancellation: An autoship will be canceled if the method of payment declines for 2 consecutive months. A member may go back on autoship as soon as they have a reliable method of payment. If a member returns on autoship and the method of payment declines once any time after that, we will cancel that member’s autoship privileges completely.

    3. If an autoship is cancelled 2 times for any reason, we will cancel that member’s autoship privileges completely. All future orders will have to be placed at the regular member price.

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