367.832 Pyramid distribution plan prohibited. (1) It is hereby declared unlawful for any person to establish, promote, operate, or participate in any pyramid distribution plan. (2) A limitation as to the number of persons who may participate or the presence of additional conditions affecting eligibility f or the opportunity to receive compensation under the plan does not change the identity of the plan as a pyramid distribution plan nor is it a defense under this section that a participant, on giving consideration, obtains goods, services or intangible prop erty in addition to the right to receive compensation. Effective: July 15, 1986 Created 1986 Ky. Acts ch. 184, sec. 2, effective July 15, 1986.
Kentucky Legal Code