Malaysia legislation
Section 2
Section 2
In this Act, unless the context otherwise requires—
“advertisement” includes every form of advertising (whether or not accompanied by or in association with spoken or written words or other writing or sounds and whether or not contained or issued in a publication) by the display of notices or by means of catalogues, price lists, labels, cards or other documents or materials or by the exhibition of cinematograph films or of pictures or photographs, or by means of radio or television, or in any other way;
“Controller”, “Deputy Controller” and “Assistant Controller”
mean respectively the Controller of Direct Sales, a Deputy
Controller of Direct Sales and an Assistant Controller of Direct
Sales appointed under section 3;
*NOTE—This Act has been repealed by Insurance Act 1996 [Act 553]-see subsection 214(1) of
Act 553.
Direct Sales and Anti-Pyramid Scheme 9
“cooling-off period” means the period of ten working days commencing on the day after the date of the making of a direct sale contract;
“direct sale” means a door-to-door sale, a mail order sale or a sale through electronic transaction within the meaning of this Act;
“door-to-door sale” means the sale of goods or services conducted in the following manner:
(a)
a person or any person authorized by him—
(i)
goes from place to place not being a fixed place of business; or
(ii)
makes telephone calls, seeking out persons who may be prepared to enter, as purchasers, into contracts for the sale of goods or services; and
(b)
that first-mentioned person or some other person then or subsequently enters into negotiations with those prospective purchasers with a view to the making of such contracts;
“electronic” means the technology of utilizing electrical, optical, magnetic, electromagnetic, biometric, photonic or other similar technology;
“fixed place of business” means—
(a)
in relation to the sale of goods, the place at which the vendor normally carries on a business or at which goods of the description to which the sale relates, or goods of a similar description, are normally offered or exposed for sale in the course of a business carried on at that place;
(b)
in relation to the sale of services, the place at which the vendor carries on business;
“goods” means every kind of movable property other than choses in action, negotiable instruments, shares, debentures and money;
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Act 500
“mail order sale” means the sale of goods or services which a person conducts, either by himself or through any person authorized by him, by receiving an offer for a sale contract by mail or any other means of mailing including through electronic means;
“Minister” means the Minister responsible for domestic trade and consumer affairs;
“prescribed” means prescribed by the regulations;
“property” means movable property or immovable property of every description, whether tangible or intangible and includes an interest in any such movable property or immovable property, choses-in-action, negotiable instrument and money;
“purchaser” means the person to whom goods or services are supplied or are to be supplied under a contract and, if the rights of that person are transferred by operation of law, includes the person for the time being entitled to those rights;
“sales through electronic transaction” means sales of goods or services through electronic means by using marketing networks with the purpose of getting commission, bonus or any other economic advantage;
“services” includes rights or benefits of any kind except the supply of goods and the performance of work under a contract of service, and a reference to the word “services” in this Act shall relate to direct sales and pyramid scheme;
“the regulations” means the regulations made under this Act;
“vendor” means the person who supplies or agrees to supply goods or services under a contract and, if the rights of that person are transferred by operation of law, includes the person for the time being entitled to those rights.
Controller, Deputy Controllers, etc.