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SB 660

Prohibition of Pyramid Promotional Schemes

2025 Regular Session Introduced by Colleen Burton

Florida bill strengthens anti-pyramid scheme laws through enhanced definitions and enforcement, but died in committee amid unspecified procedural objections.

Died in Criminal Justice
#crimes
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Bill Summary · SB 660

Legislative bill overview

SB 660 proposes to strengthen Florida's existing laws against pyramid promotional schemes by clarifying definitions, expanding enforcement mechanisms, and potentially increasing penalties for operators of illegal multi-level marketing structures. The bill was introduced in February 2025 but died in the Criminal Justice Committee after being indefinitely postponed in May.

Why is this important

Pyramid schemes cause direct financial harm to participants—typically 99% of recruits lose money—and are a persistent consumer protection issue despite existing federal and state prohibitions. Clarifying state law and strengthening enforcement helps protect vulnerable populations and gives law enforcement clearer tools to prosecute operators who exploit recruitment-based business models.

Potential points of contention

  • Defining legitimate vs. illegal MLM structures: The distinction between lawful network marketing and illegal pyramids is contested; the bill's specific definitions could either adequately protect consumers or overreach into legitimate direct sales businesses
  • Enforcement resource allocation: Stronger penalties and enforcement mechanisms require funding and prosecutorial priorities that may compete with other criminal justice spending
  • Interstate commerce complications: Many schemes operate across state lines, raising questions about whether state-level prohibition is effective without coordinated federal action

Compiled from official sources — confirm details with the bill’s official record.

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