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.infobox-subbox{padding:0;border:none;margin:-3px;width:auto;min-width:100%;font-size:100%;clear:none;float:none;background-color:transparent}.mw-parser-output .infobox-3cols-child{margin:auto}.mw-parser-output .infobox .navbar{font-size:100%}@media screen{html.skin-theme-clientpref-night .mw-parser-output .infobox-full-data:not(.notheme)>div:not(.notheme)[style]{background:#1f1f23!important;color:#f8f9fa}}@media screen and (prefers-color-scheme:dark){html.skin-theme-clientpref-os .mw-parser-output .infobox-full-data:not(.notheme) div:not(.notheme){background:#1f1f23!important;color:#f8f9fa}}@media(min-width:640px){body.skin--responsive .mw-parser-output .infobox-table{display:table!important}body.skin--responsive .mw-parser-output .infobox-table>caption{display:table-caption!important}body.skin--responsive .mw-parser-output .infobox-table>tbody{display:table-row-group}body.skin--responsive .mw-parser-output .infobox-table tr{display:table-row!important}body.skin--responsive .mw-parser-output .infobox-table th,body.skin--responsive .mw-parser-output .infobox-table td{padding-left:inherit;padding-right:inherit}}</style><style data-mw-deduplicate="TemplateStyles:r1242257876">.mw-parser-output .ib-company .infobox-label{padding-right:0.5em}.mw-parser-output .ib-company .infobox-data,.mw-parser-output .ib-company .infobox-below{line-height:1.35em}.mw-parser-output .ib-company-logo img{background-color:#f8f9fa}.mw-parser-output .ib-company-locality,.mw-parser-output .ib-company-country{display:inline}</style><table class="infobox ib-company vcard"><caption class="infobox-title fn org" style="font-size: 125%;">LuLaRoe</caption><tbody><tr><td colspan="2" class="infobox-image ib-company-logo logo"><span class="mw-default-size" typeof="mw:File/Frameless"><a href="/wiki/File:LuLaRoe_logo.png" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/en/thumb/c/c2/LuLaRoe_logo.png/220px-LuLaRoe_logo.png" decoding="async" width="220" height="66" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/en/thumb/c/c2/LuLaRoe_logo.png/330px-LuLaRoe_logo.png 1.5x, //upload.wikimedia.org/wikipedia/en/thumb/c/c2/LuLaRoe_logo.png/440px-LuLaRoe_logo.png 2x" data-file-width="577" data-file-height="172" /></a></span></td></tr><tr><th scope="row" class="infobox-label">Company type</th><td class="infobox-data category"><a href="/wiki/Private_company" class="mw-redirect" title="Private company">Private</a></td></tr><tr><th scope="row" class="infobox-label">Industry</th><td class="infobox-data category">Fashion (<a href="/wiki/Pyramid_Scheme" class="mw-redirect" title="Pyramid Scheme">Pyramid Scheme</a>)</td></tr><tr><th scope="row" class="infobox-label">Founded</th><td class="infobox-data">2012</td></tr><tr><th scope="row" class="infobox-label">Founders</th><td class="infobox-data agent"><style data-mw-deduplicate="TemplateStyles:r1126788409">.mw-parser-output .plainlist ol,.mw-parser-output .plainlist ul{line-height:inherit;list-style:none;margin:0;padding:0}.mw-parser-output .plainlist ol li,.mw-parser-output .plainlist ul li{margin-bottom:0}</style><div class="plainlist"> <ul><li>DeAnne Brady</li> <li>Mark Stidham</li></ul> </div></td></tr><tr><th scope="row" class="infobox-label">Headquarters</th><td class="infobox-data label"><a href="/wiki/Corona,_California" title="Corona, California">Corona, California</a>, U.S.</td></tr><tr><th scope="row" class="infobox-label"><div style="display: inline-block; line-height: 1.2em; padding: .1em 0;">Area served</div></th><td class="infobox-data">United States</td></tr><tr><th scope="row" class="infobox-label"><div style="display: inline-block; line-height: 1.2em; padding: .1em 0;">Key people</div></th><td class="infobox-data agent">Mark Stidham (CEO)</td></tr><tr><th scope="row" class="infobox-label">Products</th><td class="infobox-data">Women's apparel</td></tr><tr><th scope="row" class="infobox-label">Revenue</th><td class="infobox-data"><span typeof="mw:File"><span title="Increase"><img alt="Increase" src="//upload.wikimedia.org/wikipedia/commons/thumb/b/b0/Increase2.svg/20px-Increase2.svg.png" decoding="async" width="11" height="11" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/b/b0/Increase2.svg/40px-Increase2.svg.png 2x" data-file-width="300" data-file-height="300" /></span></span> US$2.3 billion (2017)<sup id="cite_ref-Peterson_2018_1-0" class="reference"><a href="#cite_note-Peterson_2018-1"><span class="cite-bracket">[</span>1<span class="cite-bracket">]</span></a></sup></td></tr><tr><th scope="row" class="infobox-label">Website</th><td class="infobox-data"><span class="url"><a rel="nofollow" class="external text" href="http://lularoe.com">lularoe<wbr />.com</a></span></td></tr></tbody></table> <p><b>LuLaRoe</b> is an American <a href="/wiki/Multi-level_marketing" title="Multi-level marketing">multi-level marketing</a> company that sells women's clothing.<sup id="cite_ref-BOSTON_GLOBE_2-0" class="reference"><a href="#cite_note-BOSTON_GLOBE-2"><span class="cite-bracket">[</span>2<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-BUSINESS_INSIDER2_3-0" class="reference"><a href="#cite_note-BUSINESS_INSIDER2-3"><span class="cite-bracket">[</span>3<span class="cite-bracket">]</span></a></sup> It was founded in 2012<sup id="cite_ref-PACIFIC_STANDARD_4-0" class="reference"><a href="#cite_note-PACIFIC_STANDARD-4"><span class="cite-bracket">[</span>4<span class="cite-bracket">]</span></a></sup> by DeAnne Brady and her husband Mark Stidham and is currently based in <a href="/wiki/Corona,_California" title="Corona, California">Corona, California</a>.<sup id="cite_ref-CBS_NEWS_5-0" class="reference"><a href="#cite_note-CBS_NEWS-5"><span class="cite-bracket">[</span>5<span class="cite-bracket">]</span></a></sup> </p><p>As a multi-level marketing company, LuLaRoe recruits independent distributors (referred to by the firm as "fashion consultants") upon ordering $499.00 in inventory, with bonuses paid for selling product to an end customer and for recruitment. A retailer can make money through recruiting or through selling product to an end consumer. The startup cost has been reduced 90% in 2022.<sup id="cite_ref-CBS_NEWS_5-1" class="reference"><a href="#cite_note-CBS_NEWS-5"><span class="cite-bracket">[</span>5<span class="cite-bracket">]</span></a></sup> LuLaRoe reported sales of approximately <a href="/wiki/United_States_dollar" title="United States dollar">US$</a>1 billion in 2016, making it one of the largest firms in the multi-level marketing industry at the time,<sup id="cite_ref-CBS_NEWS_5-2" class="reference"><a href="#cite_note-CBS_NEWS-5"><span class="cite-bracket">[</span>5<span class="cite-bracket">]</span></a></sup> and by 2017, there were approximately 80,000 independent distributors selling the company's clothing.<sup id="cite_ref-BUSINESS_INSIDER2_3-1" class="reference"><a href="#cite_note-BUSINESS_INSIDER2-3"><span class="cite-bracket">[</span>3<span class="cite-bracket">]</span></a></sup> </p><p>The company has received criticism and faced lawsuits from distributors and consumer advocates over several issues related to its business model, and for problems with the quality and design of its products.<sup id="cite_ref-CBS_NEWS_5-3" class="reference"><a href="#cite_note-CBS_NEWS-5"><span class="cite-bracket">[</span>5<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-schreiber1_6-0" class="reference"><a href="#cite_note-schreiber1-6"><span class="cite-bracket">[</span>6<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-wicker_7-0" class="reference"><a href="#cite_note-wicker-7"><span class="cite-bracket">[</span>7<span class="cite-bracket">]</span></a></sup> </p><p>A <a href="/wiki/Class-action_lawsuit" class="mw-redirect" title="Class-action lawsuit">class-action lawsuit</a> filed in California in October 2017 and a lawsuit filed by the <a href="/wiki/Washington_State_Attorney_General" class="mw-redirect" title="Washington State Attorney General">Washington State Attorney General</a> in January 2019 accused LuLaRoe of being a <a href="/wiki/Pyramid_scheme" title="Pyramid scheme">pyramid scheme</a>.<sup id="cite_ref-suddath_8-0" class="reference"><a href="#cite_note-suddath-8"><span class="cite-bracket">[</span>8<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-BI012519_9-0" class="reference"><a href="#cite_note-BI012519-9"><span class="cite-bracket">[</span>9<span class="cite-bracket">]</span></a></sup> </p> <meta property="mw:PageProp/toc" /> <div class="mw-heading mw-heading2"><h2 id="History">History</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=LuLaRoe&action=edit&section=1" title="Edit section: History"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>LuLaRoe was incorporated on May 1, 2013. The company's name was derived by <a href="/wiki/Portmanteau" class="mw-redirect" title="Portmanteau">combining</a> the names of Brady's first three granddaughters; Lucy, Lola, and Monroe.<sup id="cite_ref-BUSINESS_INSIDER_10-0" class="reference"><a href="#cite_note-BUSINESS_INSIDER-10"><span class="cite-bracket">[</span>10<span class="cite-bracket">]</span></a></sup> </p><p>In 2014, LuLaRoe added skirts and dresses to its product line. In mid-2014, LuLaRoe introduced a line of leggings, which would go on to become LuLaRoe's most prominent product. With 23 employees and 750 distributors, the company did $9.8 million in sales.<sup id="cite_ref-CEO_INTERVIEW_11-0" class="reference"><a href="#cite_note-CEO_INTERVIEW-11"><span class="cite-bracket">[</span>11<span class="cite-bracket">]</span></a></sup> By July 2015, the firm had 2,000 distributors.<sup id="cite_ref-CEO_INTERVIEW_11-1" class="reference"><a href="#cite_note-CEO_INTERVIEW-11"><span class="cite-bracket">[</span>11<span class="cite-bracket">]</span></a></sup> In an August 2016 interview, LuLaRoe's CEO Mark Stidham claimed that the firm was on track to exceed US$1 billion in sales, and that LuLaRoe had 26,000 distributors and was shipping approximately 350,000 units a day.<sup id="cite_ref-CEO_INTERVIEW_11-2" class="reference"><a href="#cite_note-CEO_INTERVIEW-11"><span class="cite-bracket">[</span>11<span class="cite-bracket">]</span></a></sup> By April 2017, LuLaRoe had more than 80,000 distributors.<sup id="cite_ref-BUSINESS_INSIDER2_3-2" class="reference"><a href="#cite_note-BUSINESS_INSIDER2-3"><span class="cite-bracket">[</span>3<span class="cite-bracket">]</span></a></sup> </p> <div class="mw-heading mw-heading3"><h3 id="Legal_issues">Legal issues</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=LuLaRoe&action=edit&section=2" title="Edit section: Legal issues"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>In early 2017, a <a href="/wiki/Class_action_lawsuit" class="mw-redirect" title="Class action lawsuit">class-action lawsuit</a> was filed against LuLaRoe by customers, who complained that the firm's proprietary <a href="/wiki/Point_of_sale_software" class="mw-redirect" title="Point of sale software">point-of-sale software</a> incorrectly calculated <a href="/wiki/Sales_taxes_in_the_United_States" title="Sales taxes in the United States">sales tax</a> rates on <a href="/wiki/Interstate_commerce" class="mw-redirect" title="Interstate commerce">interstate sales</a>, and in jurisdictions that do not charge sales tax on clothing. These complaints, combined with complaints over poor quality, led to the company's <a href="/wiki/Better_Business_Bureau" title="Better Business Bureau">Better Business Bureau</a> (BBB) rating being downgraded to "F" in January 2017.<sup id="cite_ref-CBS_NEWS_5-4" class="reference"><a href="#cite_note-CBS_NEWS-5"><span class="cite-bracket">[</span>5<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-schreiber1_6-1" class="reference"><a href="#cite_note-schreiber1-6"><span class="cite-bracket">[</span>6<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-12" class="reference"><a href="#cite_note-12"><span class="cite-bracket">[</span>12<span class="cite-bracket">]</span></a></sup> </p><p>In October 2017, a class-action lawsuit filed in California accused LuLaRoe of being a <a href="/wiki/Pyramid_scheme" title="Pyramid scheme">pyramid scheme</a>. Plaintiffs in the suit allege the company engaged in "misconduct, including unfair business practices, misleading advertising, and breach of contract."<sup id="cite_ref-13" class="reference"><a href="#cite_note-13"><span class="cite-bracket">[</span>13<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-14" class="reference"><a href="#cite_note-14"><span class="cite-bracket">[</span>14<span class="cite-bracket">]</span></a></sup> According to the $1 billion lawsuit, which LuLaRoe argues is baseless and inaccurate, the company allegedly advised its distributors "to borrow money [...] take out credit cards, and some were even asked to sell their breast milk" as ways to buy additional inventory.<sup id="cite_ref-CBS_NEWS2_15-0" class="reference"><a href="#cite_note-CBS_NEWS2-15"><span class="cite-bracket">[</span>15<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-16" class="reference"><a href="#cite_note-16"><span class="cite-bracket">[</span>16<span class="cite-bracket">]</span></a></sup> </p><p>In January 2018, the <a href="/wiki/National_Down_Syndrome_Society" title="National Down Syndrome Society">National Down Syndrome Society</a> (NDSS), a charity that had previously worked with LuLaRoe, ended its relationship with the company after a top distributor mocked people with mental disabilities during a livestream sale. The NDSS requested that LuLaRoe sever ties with the distributor, but LuLaRoe declined, stating that they accepted the distributor's apology. The video, and LuLaRoe's reaction to it, prompted widespread online criticism.<sup id="cite_ref-17" class="reference"><a href="#cite_note-17"><span class="cite-bracket">[</span>17<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-18" class="reference"><a href="#cite_note-18"><span class="cite-bracket">[</span>18<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-19" class="reference"><a href="#cite_note-19"><span class="cite-bracket">[</span>19<span class="cite-bracket">]</span></a></sup> </p><p>In December 2018, in the midst of mounting debt, layoffs, and an exodus of top sellers, LuLaRoe was sued by its chief clothing supplier, Providence Industries, for nearly $49 million. The lawsuit claimed that LuLaRoe was <a href="/wiki/Insolvency" title="Insolvency">insolvent</a> and had not paid its bills for seven months, and accused founders Mark and DeAnne Stidham of hiding assets in "shell" companies to fund their "lavish lifestyle" and to "hinder, delay, and defraud the creditors."<sup id="cite_ref-Inc120418_20-0" class="reference"><a href="#cite_note-Inc120418-20"><span class="cite-bracket">[</span>20<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-WSJ120318_21-0" class="reference"><a href="#cite_note-WSJ120318-21"><span class="cite-bracket">[</span>21<span class="cite-bracket">]</span></a></sup> </p><p>In January 2019, the Washington State Attorney General's Office filed a lawsuit against LuLaRoe, as well as company CEO Mark Stidham and president DeAnne Stidham, alleging that the multilevel marketing company is an illegal "pyramid scheme", making misleading income claims, and encouraging its consultants to focus more on recruitment than selling clothes to customers.<sup id="cite_ref-BI012519_9-1" class="reference"><a href="#cite_note-BI012519-9"><span class="cite-bracket">[</span>9<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-BI121318_22-0" class="reference"><a href="#cite_note-BI121318-22"><span class="cite-bracket">[</span>22<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-23" class="reference"><a href="#cite_note-23"><span class="cite-bracket">[</span>23<span class="cite-bracket">]</span></a></sup> In addition, LuLaRoe's chief clothing supplier, Providence Industries, also filed a lawsuit demanding a <a href="/wiki/Seizure_of_assets" class="mw-redirect" title="Seizure of assets">seizure of assets</a>.<sup id="cite_ref-24" class="reference"><a href="#cite_note-24"><span class="cite-bracket">[</span>24<span class="cite-bracket">]</span></a></sup> In February 2019, amid hundreds of new complaints totaling 300 cases, the company once again received an "F" rating from the BBB.<sup id="cite_ref-25" class="reference"><a href="#cite_note-25"><span class="cite-bracket">[</span>25<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-26" class="reference"><a href="#cite_note-26"><span class="cite-bracket">[</span>26<span class="cite-bracket">]</span></a></sup> In October 2019, LuLaRoe announced it would be closing its distribution center in <a href="/wiki/Corona,_California" title="Corona, California">Corona, CA</a>, relocating that part of the business to <a href="/wiki/South_Carolina" title="South Carolina">South Carolina</a>, and laying off 167 people.<sup id="cite_ref-PE2019_27-0" class="reference"><a href="#cite_note-PE2019-27"><span class="cite-bracket">[</span>27<span class="cite-bracket">]</span></a></sup> </p><p>In November 2019, LuLaRoe filed a countersuit against its former chief supplier, Providence Industries, seeking at least $1 billion in damages.<sup id="cite_ref-28" class="reference"><a href="#cite_note-28"><span class="cite-bracket">[</span>28<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-PE2019_27-1" class="reference"><a href="#cite_note-PE2019-27"><span class="cite-bracket">[</span>27<span class="cite-bracket">]</span></a></sup> </p><p>In February 2021, LuLaRoe agreed to pay $4.74 million to settle the Washington lawsuit. The settlement will be distributed to LuLaRoe distributors in <a href="/wiki/Washington_(state)" title="Washington (state)">Washington state</a>. LuLaRoe denied wrongdoing. The settlement prohibits the company from operating a pyramid scheme and also requires it to publish accurate income disclosures, among other measures to improve transparency.<sup id="cite_ref-29" class="reference"><a href="#cite_note-29"><span class="cite-bracket">[</span>29<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-30" class="reference"><a href="#cite_note-30"><span class="cite-bracket">[</span>30<span class="cite-bracket">]</span></a></sup> </p> <div class="mw-heading mw-heading2"><h2 id="Business_model">Business model</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=LuLaRoe&action=edit&section=3" title="Edit section: Business model"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>LuLaRoe clothing is sold only by the company through <a href="/wiki/Multi-level_marketing" title="Multi-level marketing">multi-level marketing</a> distributors. These distributors purchase inventory from LuLaRoe wholesale, which they then resell to consumers. LuLaRoe distributors are required to purchase an initial inventory of clothing and marketing materials that cost between $4,925 and $9,000 (as of 2017<sup class="plainlinks noexcerpt noprint asof-tag update" style="display:none;"><a class="external text" href="https://en.wikipedia.org/w/index.php?title=LuLaRoe&action=edit">[update]</a></sup>) and are recommended to keep around $20,000 worth of inventory on hand.<sup id="cite_ref-CBS_NEWS_5-5" class="reference"><a href="#cite_note-CBS_NEWS-5"><span class="cite-bracket">[</span>5<span class="cite-bracket">]</span></a></sup> </p><p>Distributors can be compensated from two potential revenue streams: from <a href="/wiki/Direct_selling" title="Direct selling">direct sales</a> to customers, and from a commission based on sales made by "downline" distributors they recruit.<sup id="cite_ref-PACIFIC_STANDARD_4-1" class="reference"><a href="#cite_note-PACIFIC_STANDARD-4"><span class="cite-bracket">[</span>4<span class="cite-bracket">]</span></a></sup> According to the company's income disclosure statement, in 2015 the average annual commission earned from downline distributors was $85.<sup id="cite_ref-BUSINESS_INSIDER_10-1" class="reference"><a href="#cite_note-BUSINESS_INSIDER-10"><span class="cite-bracket">[</span>10<span class="cite-bracket">]</span></a></sup> </p><p>LuLaRoe distributors sell LuLaRoe products through a <a href="/wiki/Party_plan" title="Party plan">party plan</a>, through pop-up boutiques, or online using private groups that they have set up on Facebook. During a scheduled online event, LuLaRoe distributors use <a href="/wiki/Streaming_media" title="Streaming media">live-streaming video</a> to present their current inventory to members of their Facebook group, with the distributor appearing on-screen to exhibit and describe each item.<sup id="cite_ref-BOSTON_GLOBE_2-1" class="reference"><a href="#cite_note-BOSTON_GLOBE-2"><span class="cite-bracket">[</span>2<span class="cite-bracket">]</span></a></sup> </p><p>LuLaRoe distributors are disproportionately more likely to be in poorer rural areas than urban ones. An example cited by <i><a href="/wiki/Quartz_(publication)" title="Quartz (publication)">Quartz</a></i> notes that LuLaRoe lists 10 distributors in <a href="/wiki/Manhattan" title="Manhattan">Manhattan</a> (population of 1.6 million), and 10 distributors in <a href="/wiki/Pueblo,_Colorado" title="Pueblo, Colorado">Pueblo, Colorado</a>, (population of 110,000).<sup id="cite_ref-wicker_7-1" class="reference"><a href="#cite_note-wicker-7"><span class="cite-bracket">[</span>7<span class="cite-bracket">]</span></a></sup> This is consistent with other contemporary MLMs, which have concentrated in rural areas that have been slower to recover from the <a href="/wiki/Great_Recession" title="Great Recession">2008 economic crisis</a>.<sup id="cite_ref-wicker_7-2" class="reference"><a href="#cite_note-wicker-7"><span class="cite-bracket">[</span>7<span class="cite-bracket">]</span></a></sup> </p> <div class="mw-heading mw-heading3"><h3 id="Products">Products</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=LuLaRoe&action=edit&section=4" title="Edit section: Products"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>LuLaRoe's main products are brightly patterned <a href="/wiki/Leggings" title="Leggings">leggings</a>, shirts, and dresses. The company's clothes tend toward modesty, based partly on the Stidhams' <a href="/wiki/Culture_of_The_Church_of_Jesus_Christ_of_Latter-day_Saints" class="mw-redirect" title="Culture of The Church of Jesus Christ of Latter-day Saints">affiliation with The Church of Jesus Christ of Latter-day Saints</a>.<sup id="cite_ref-PACIFIC_STANDARD_4-2" class="reference"><a href="#cite_note-PACIFIC_STANDARD-4"><span class="cite-bracket">[</span>4<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-BUSINESS_INSIDER2_3-3" class="reference"><a href="#cite_note-BUSINESS_INSIDER2-3"><span class="cite-bracket">[</span>3<span class="cite-bracket">]</span></a></sup> LuLaRoe releases 5,000 copies of any given pattern, and once a product has sold out, it is generally not reissued.<sup id="cite_ref-suddath_8-1" class="reference"><a href="#cite_note-suddath-8"><span class="cite-bracket">[</span>8<span class="cite-bracket">]</span></a></sup> LuLaRoe distributors can choose styles and sizes, but not specific patterns, and each distributor is provided different products for their inventory. Distributors have noted that some patterns (known as "unicorns") are significantly easier to sell than others.<sup id="cite_ref-BUSINESS_INSIDER_10-2" class="reference"><a href="#cite_note-BUSINESS_INSIDER-10"><span class="cite-bracket">[</span>10<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-wicker_7-3" class="reference"><a href="#cite_note-wicker-7"><span class="cite-bracket">[</span>7<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-31" class="reference"><a href="#cite_note-31"><span class="cite-bracket">[</span>31<span class="cite-bracket">]</span></a></sup> </p><p>The garments are manufactured in Asian and Central American factories via MyDyer, a Los Angeles–based apparel company that also produces for other retailers.<sup id="cite_ref-suddath_8-2" class="reference"><a href="#cite_note-suddath-8"><span class="cite-bracket">[</span>8<span class="cite-bracket">]</span></a></sup> </p> <div class="mw-heading mw-heading3"><h3 id="Product_quality_and_return_policy_complaints">Product quality and return policy complaints</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=LuLaRoe&action=edit&section=5" title="Edit section: Product quality and return policy complaints"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>In late 2016, LuLaRoe began receiving many reports from customers that the firm's leggings ripped and developed holes easily, in some cases shortly after being worn for the first time. In January 2017, the BBB downgraded the company's rating to "F" in response to the company's failure to address complaints, as well as for issues with charging sales tax in places that do not levy sales tax on clothes.<sup id="cite_ref-schreiber1_6-2" class="reference"><a href="#cite_note-schreiber1-6"><span class="cite-bracket">[</span>6<span class="cite-bracket">]</span></a></sup> </p><p>In 2017, customers shared photos of the ripped leggings on social media and created a Facebook group related to the complaints.<sup id="cite_ref-32" class="reference"><a href="#cite_note-32"><span class="cite-bracket">[</span>32<span class="cite-bracket">]</span></a></sup> The same month, a class-action lawsuit was filed against the company by a group of customers. LuLaRoe's head of production attributed the damage to a production process that weakens the fibers while softening them.<sup id="cite_ref-BUSINESS_INSIDER2_3-4" class="reference"><a href="#cite_note-BUSINESS_INSIDER2-3"><span class="cite-bracket">[</span>3<span class="cite-bracket">]</span></a></sup> LuLaRoe's CEO initially downplayed the damage rates as statistically insignificant, but in response to the complaints, on April 24, 2017, the firm implemented new policies to make it easier for customers and distributors to receive refunds on defective merchandise.<sup id="cite_ref-33" class="reference"><a href="#cite_note-33"><span class="cite-bracket">[</span>33<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-34" class="reference"><a href="#cite_note-34"><span class="cite-bracket">[</span>34<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-BUSINESS_INSIDER2_3-5" class="reference"><a href="#cite_note-BUSINESS_INSIDER2-3"><span class="cite-bracket">[</span>3<span class="cite-bracket">]</span></a></sup> </p><p>In August 2017, multiple distributors complained on social media that they had still not received the refunds promised to them by LuLaRoe.<sup id="cite_ref-35" class="reference"><a href="#cite_note-35"><span class="cite-bracket">[</span>35<span class="cite-bracket">]</span></a></sup> In September, LuLaRoe abruptly ended the changes to its return policy, which it had described as a "<a href="/wiki/Waiver" title="Waiver">waiver</a>". Distributors now receive only 90% of cost and pay for shipping and handling, along with other stricter stipulations. The change in policy prompted a backlash on social media, and a petition to grandfather in the old policies for distributors who were in process of canceling their distributorships.<sup id="cite_ref-36" class="reference"><a href="#cite_note-36"><span class="cite-bracket">[</span>36<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-37" class="reference"><a href="#cite_note-37"><span class="cite-bracket">[</span>37<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-38" class="reference"><a href="#cite_note-38"><span class="cite-bracket">[</span>38<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-39" class="reference"><a href="#cite_note-39"><span class="cite-bracket">[</span>39<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-40" class="reference"><a href="#cite_note-40"><span class="cite-bracket">[</span>40<span class="cite-bracket">]</span></a></sup> </p><p>During 2021, LuLaRoe received an F rating from the <a href="/wiki/Better_Business_Bureau" title="Better Business Bureau">Better Business Bureau</a>.<sup id="cite_ref-41" class="reference"><a href="#cite_note-41"><span class="cite-bracket">[</span>41<span class="cite-bracket">]</span></a></sup> As of May 2022,<sup class="plainlinks noexcerpt noprint asof-tag update" style="display:none;"><a class="external text" href="https://en.wikipedia.org/w/index.php?title=LuLaRoe&action=edit">[update]</a></sup> its rating had risen to C.<sup id="cite_ref-42" class="reference"><a href="#cite_note-42"><span class="cite-bracket">[</span>42<span class="cite-bracket">]</span></a></sup> </p> <div class="mw-heading mw-heading2"><h2 id="In_popular_media">In popular media</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=LuLaRoe&action=edit&section=6" title="Edit section: In popular media"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <ul><li><i>The Rise and Fall of LuLaRoe</i>, November 2021, <a href="/wiki/Discovery_Channel" title="Discovery Channel">Discovery</a><sup id="cite_ref-43" class="reference"><a href="#cite_note-43"><span class="cite-bracket">[</span>43<span class="cite-bracket">]</span></a></sup></li> <li><i><a href="/wiki/LuLaRich" title="LuLaRich">LuLaRich</a></i> is an American documentary miniseries about LuLaRoe that premiered on <a href="/wiki/Amazon_Prime" title="Amazon Prime">Amazon Prime</a> in September 2021.</li> <li>The <i><a href="/wiki/American_Dad!" title="American Dad!">American Dad!</a></i> episode S18E05 makes fun of the company but uses the fantasy company name "Stretcharoos".</li></ul> <div class="mw-heading mw-heading2"><h2 id="See_also">See also</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=LuLaRoe&action=edit&section=7" title="Edit section: See also"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <ul><li><a href="/wiki/List_of_multi-level_marketing_companies" title="List of multi-level marketing companies">List of multi-level marketing companies</a></li></ul> <div class="mw-heading mw-heading2"><h2 id="References">References</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=LuLaRoe&action=edit&section=8" title="Edit section: References"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <style data-mw-deduplicate="TemplateStyles:r1239543626">.mw-parser-output .reflist{margin-bottom:0.5em;list-style-type:decimal}@media screen{.mw-parser-output .reflist{font-size:90%}}.mw-parser-output .reflist .references{font-size:100%;margin-bottom:0;list-style-type:inherit}.mw-parser-output .reflist-columns-2{column-width:30em}.mw-parser-output .reflist-columns-3{column-width:25em}.mw-parser-output .reflist-columns{margin-top:0.3em}.mw-parser-output .reflist-columns ol{margin-top:0}.mw-parser-output .reflist-columns li{page-break-inside:avoid;break-inside:avoid-column}.mw-parser-output .reflist-upper-alpha{list-style-type:upper-alpha}.mw-parser-output .reflist-upper-roman{list-style-type:upper-roman}.mw-parser-output .reflist-lower-alpha{list-style-type:lower-alpha}.mw-parser-output .reflist-lower-greek{list-style-type:lower-greek}.mw-parser-output .reflist-lower-roman{list-style-type:lower-roman}</style><div class="reflist reflist-columns references-column-width" style="column-width: 30em;"> <ol class="references"> <li id="cite_note-Peterson_2018-1"><span class="mw-cite-backlink"><b><a href="#cite_ref-Peterson_2018_1-0">^</a></b></span> <span class="reference-text"><style data-mw-deduplicate="TemplateStyles:r1238218222">.mw-parser-output cite.citation{font-style:inherit;word-wrap:break-word}.mw-parser-output .citation q{quotes:"\"""\"""'""'"}.mw-parser-output .citation:target{background-color:rgba(0,127,255,0.133)}.mw-parser-output .id-lock-free.id-lock-free a{background:url("//upload.wikimedia.org/wikipedia/commons/6/65/Lock-green.svg")right 0.1em center/9px no-repeat}.mw-parser-output .id-lock-limited.id-lock-limited a,.mw-parser-output .id-lock-registration.id-lock-registration a{background:url("//upload.wikimedia.org/wikipedia/commons/d/d6/Lock-gray-alt-2.svg")right 0.1em center/9px no-repeat}.mw-parser-output .id-lock-subscription.id-lock-subscription a{background:url("//upload.wikimedia.org/wikipedia/commons/a/aa/Lock-red-alt-2.svg")right 0.1em center/9px no-repeat}.mw-parser-output .cs1-ws-icon a{background:url("//upload.wikimedia.org/wikipedia/commons/4/4c/Wikisource-logo.svg")right 0.1em center/12px no-repeat}body:not(.skin-timeless):not(.skin-minerva) .mw-parser-output .id-lock-free a,body:not(.skin-timeless):not(.skin-minerva) .mw-parser-output .id-lock-limited a,body:not(.skin-timeless):not(.skin-minerva) .mw-parser-output .id-lock-registration a,body:not(.skin-timeless):not(.skin-minerva) .mw-parser-output .id-lock-subscription a,body:not(.skin-timeless):not(.skin-minerva) .mw-parser-output .cs1-ws-icon a{background-size:contain;padding:0 1em 0 0}.mw-parser-output .cs1-code{color:inherit;background:inherit;border:none;padding:inherit}.mw-parser-output .cs1-hidden-error{display:none;color:var(--color-error,#d33)}.mw-parser-output .cs1-visible-error{color:var(--color-error,#d33)}.mw-parser-output .cs1-maint{display:none;color:#085;margin-left:0.3em}.mw-parser-output .cs1-kern-left{padding-left:0.2em}.mw-parser-output .cs1-kern-right{padding-right:0.2em}.mw-parser-output .citation .mw-selflink{font-weight:inherit}@media screen{.mw-parser-output .cs1-format{font-size:95%}html.skin-theme-clientpref-night .mw-parser-output .cs1-maint{color:#18911f}}@media screen and (prefers-color-scheme:dark){html.skin-theme-clientpref-os .mw-parser-output .cs1-maint{color:#18911f}}</style><cite id="CITEREFPeterson2018" class="citation web cs1">Peterson, Hayley (2018-11-20). <a rel="nofollow" class="external 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Retrieved <span class="nowrap">2019-11-10</span></span>.</cite><span title="ctx_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Ajournal&rft.genre=unknown&rft.jtitle=Business+Insider&rft.atitle=LuLaRoe+is+facing+mounting+debt%2C+layoffs%2C+and+an+exodus+of+top+sellers%2C+and+sources+say+the+%242.3+billion+legging+empire+could+be+imploding&rft.date=2018-11-20&rft.aulast=Peterson&rft.aufirst=Hayley&rft_id=https%3A%2F%2Fwww.businessinsider.com%2Flularoe-legging-empire-mounting-debt-top-sellers-flee-2018-11&rfr_id=info%3Asid%2Fen.wikipedia.org%3ALuLaRoe" class="Z3988"></span></span> </li> <li id="cite_note-BOSTON_GLOBE-2"><span class="mw-cite-backlink">^ <a href="#cite_ref-BOSTON_GLOBE_2-0"><sup><i><b>a</b></i></sup></a> <a href="#cite_ref-BOSTON_GLOBE_2-1"><sup><i><b>b</b></i></sup></a></span> <span class="reference-text"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1238218222" /><cite id="CITEREFJohnson2016" class="citation news cs1">Johnson, Megan (July 8, 2016). <a rel="nofollow" class="external text" href="https://www.bostonglobe.com/lifestyle/2016/07/07/today-tupperware-party-held-facebook/vcryqSeb0GKls6LGcFieGL/story.html">"Today's Tupperware party is held on Facebook"</a>. <i><a href="/wiki/The_Boston_Globe" title="The Boston Globe">The Boston Globe</a></i><span class="reference-accessdate">. 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Retrieved <span class="nowrap">24 December</span> 2024</span>.</cite><span title="ctx_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Abook&rft.genre=unknown&rft.btitle=The+Rise+and+Fall+of+Lularoe&rft_id=https%3A%2F%2Fpress.discoveryplus.com%2Fshows%2Fthe-rise-and-fall-of-lularoe%2F&rfr_id=info%3Asid%2Fen.wikipedia.org%3ALuLaRoe" class="Z3988"></span></span> </li> </ol></div> <div class="mw-heading mw-heading2"><h2 id="External_links">External links</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=LuLaRoe&action=edit&section=9" title="Edit section: External links"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <ul><li><span class="official-website"><span class="url"><a rel="nofollow" class="external text" href="http://www.lularoe.com/">Official website</a></span></span></li> <li><a rel="nofollow" class="external text" href="https://www.youtube.com/watch?v=L6eujSJ0-RU">Why Women Are Quitting Their Side Hustle: Leaving LuLaRoe</a> <i>Vice Media.</i></li></ul> <div class="navbox-styles"><style data-mw-deduplicate="TemplateStyles:r1129693374">.mw-parser-output .hlist dl,.mw-parser-output .hlist ol,.mw-parser-output .hlist ul{margin:0;padding:0}.mw-parser-output .hlist dd,.mw-parser-output .hlist dt,.mw-parser-output .hlist li{margin:0;display:inline}.mw-parser-output .hlist.inline,.mw-parser-output .hlist.inline dl,.mw-parser-output .hlist.inline ol,.mw-parser-output .hlist.inline ul,.mw-parser-output .hlist dl dl,.mw-parser-output .hlist dl ol,.mw-parser-output .hlist dl ul,.mw-parser-output .hlist ol dl,.mw-parser-output .hlist ol ol,.mw-parser-output .hlist ol ul,.mw-parser-output .hlist ul dl,.mw-parser-output .hlist ul ol,.mw-parser-output .hlist ul ul{display:inline}.mw-parser-output .hlist .mw-empty-li{display:none}.mw-parser-output .hlist dt::after{content:": "}.mw-parser-output .hlist dd::after,.mw-parser-output .hlist li::after{content:" · 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marketing</a> companies</div></th></tr><tr><td class="navbox-abovebelow" colspan="2"><div> <ul><li><a href="/wiki/List_of_multi-level_marketing_companies" title="List of multi-level marketing companies">List</a></li> <li><a href="/wiki/Direct_selling" title="Direct selling">Direct selling</a></li></ul> </div></td></tr><tr><th scope="row" class="navbox-group" style="width:1%">Active</th><td class="navbox-list-with-group navbox-list navbox-odd" style="width:100%;padding:0"><div style="padding:0 0.25em"> <ul><li><a href="/wiki/5Linx" title="5Linx">5Linx</a></li> <li><a href="/wiki/ACN_Inc." title="ACN Inc.">ACN Inc.</a></li> <li><a href="/wiki/Alticor" title="Alticor">Alticor</a></li> <li><a href="/wiki/Ambit_Energy" title="Ambit Energy">Ambit Energy</a></li> <li><a href="/wiki/Amsoil" title="Amsoil">Amsoil</a></li> <li><a href="/wiki/Amway" title="Amway">Amway</a></li> <li><a href="/wiki/Arbonne_International" title="Arbonne International">Arbonne International</a></li> <li><a href="/wiki/Avon_Products" title="Avon Products">Avon Products</a></li> <li><a href="/wiki/BioPerformance" title="BioPerformance">BioPerformance</a></li> <li><a href="/wiki/Blyth,_Inc." title="Blyth, Inc.">Blyth, Inc.</a></li> <li><a href="/wiki/Britt_World_Wide" class="mw-redirect" title="Britt World Wide">BWW</a></li> <li><a href="/wiki/Crowd_Sourcing_International" title="Crowd Sourcing International">Crowd Sourcing International</a></li> <li><a href="/wiki/Cutco" title="Cutco">Cutco</a></li> <li><a href="/wiki/Discount_Home_Shoppers%27_Club" title="Discount Home Shoppers' Club">Discount Home Shoppers' Club</a></li> <li><a href="/wiki/Eqology" title="Eqology">Eqology</a></li> <li><a href="/wiki/Forever_Living_Products" title="Forever Living Products">Forever Living Products</a></li> <li><a href="/wiki/FreeLife" title="FreeLife">FreeLife</a></li> <li><a href="/wiki/Fuel_Freedom_International" title="Fuel Freedom International">Fuel Freedom International</a></li> <li><a href="/wiki/Grupo_Omnilife" title="Grupo Omnilife">Grupo Omnilife</a></li> <li><a href="/wiki/Herbalife" title="Herbalife">Herbalife</a></li> <li><a href="/wiki/Isagenix" title="Isagenix">Isagenix</a></li> <li><a href="/wiki/Mary_Kay" title="Mary Kay">Mary Kay</a></li> <li><a href="/wiki/LegalShield" title="LegalShield">LegalShield</a></li> <li><a href="/wiki/The_Longaberger_Company" title="The Longaberger Company">The Longaberger Company</a></li> <li><a href="/wiki/Longrich" title="Longrich">Longrich</a></li> <li><a class="mw-selflink selflink">LuLaRoe</a></li> <li><a href="/wiki/Lyoness" title="Lyoness">Lyoness</a></li> <li><a href="/wiki/Mannatech" title="Mannatech">Mannatech</a></li> <li><a href="/wiki/Market_America" title="Market America">Market America</a></li> <li><a href="/wiki/Medifast" title="Medifast">Medifast</a></li> <li><a href="/wiki/Modi_Enterprises" title="Modi Enterprises">Modi Enterprises</a></li> <li><a href="/wiki/Monat" title="Monat">Monat</a></li> <li><a href="/wiki/Juice_Plus" title="Juice Plus">Juice Plus AKA National Safety Associates</a></li> <li><a href="/wiki/Neal%27s_Yard_Remedies" title="Neal's Yard Remedies">Neal's Yard Remedies</a></li> <li><a href="/wiki/North_American_Power" title="North American Power">North American Power</a></li> <li><a href="/wiki/Ong_Kean_Swan" title="Ong Kean Swan">Ong Kean Swan</a></li> <li><a href="/wiki/Oriflame" title="Oriflame">Oriflame</a></li> <li><a href="/wiki/Pampered_Chef" title="Pampered Chef">Pampered Chef</a></li> <li><a href="/wiki/Primerica" title="Primerica">Primerica</a></li> <li><a href="/wiki/Qnet" title="Qnet">Qnet</a></li> <li><a href="/wiki/Rodan_%2B_Fields" title="Rodan + Fields">Rodan + Fields</a></li> <li><a href="/wiki/Scentsy" title="Scentsy">Scentsy</a></li> <li><a href="/wiki/Scentura" title="Scentura">Scentura</a></li> <li><a href="/wiki/SeneGence" title="SeneGence">SeneGence</a></li> <li><a href="/wiki/Shaklee" title="Shaklee">Shaklee</a></li> <li><a href="/wiki/Southwestern_Advantage" title="Southwestern Advantage">Southwestern Advantage</a></li> <li><a href="/wiki/Stream_Energy" title="Stream Energy">Stream Energy</a></li> <li><a href="/wiki/Success_University" title="Success University">Success University</a></li> <li><a href="/wiki/Telecom_Plus" title="Telecom Plus">Telecom Plus</a></li> <li><a href="/wiki/Tiens_Group" title="Tiens Group">Tiens Group</a></li> <li><a href="/wiki/Usborne_Publishing" title="Usborne Publishing">Usborne Publishing</a></li> <li><a href="/wiki/Vector_Marketing" title="Vector Marketing">Vector Marketing</a></li> <li><a href="/wiki/ViSalus" title="ViSalus">ViSalus</a></li> <li><a href="/wiki/World_Financial_Group" title="World Financial Group">World Financial Group</a></li> <li><a href="/wiki/YTB_International" title="YTB International">YTB International</a></li></ul> </div></td></tr><tr><th scope="row" class="navbox-group" style="width:1%">In <a href="/wiki/Utah" title="Utah">Utah</a></th><td class="navbox-list-with-group navbox-list navbox-even" style="width:100%;padding:0"><div style="padding:0 0.25em"> <ul><li><a href="/wiki/ASEA_(American_company)" title="ASEA (American company)">ASEA</a></li> <li><a href="/wiki/DoTerra" title="DoTerra">doTerra</a></li> <li><a href="/wiki/LifeVantage_Corporation" class="mw-redirect" title="LifeVantage Corporation">LifeVantage Corporation</a></li> <li><a href="/wiki/Morinda,_Inc." title="Morinda, Inc.">Morinda, Inc.</a></li> <li><a href="/wiki/Nature%27s_Sunshine_Products" title="Nature's Sunshine Products">Nature's Sunshine Products</a></li> <li><a href="/wiki/Nu_Skin_Enterprises" title="Nu Skin Enterprises">Nu Skin Enterprises</a></li> <li><a href="/wiki/Protandim" title="Protandim">Protandim</a></li> <li><a href="/wiki/Sunrider" title="Sunrider">Sunrider</a></li> <li><a href="/wiki/Usana_Health_Sciences" title="Usana Health Sciences">Usana Health Sciences</a></li> <li><a href="/wiki/Young_Living" title="Young Living">Young 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