Montana § 45-6-319 - Chain Distributor Schemes

Full text of Montana Montana Code Annotated § 45-6-319 — Chain Distributor Schemes, with citation guidance and answers to common questions.

§ 45-6-319. Chain Distributor Schemes

Chain distributor schemes. (1) As used in this section, the following definitions apply: (a) "Chain distributor scheme" means a sales device whereby a person, under a condition that the person make an investment, is granted a license or right to recruit for consideration one or more additional persons who are also granted a license or right upon condition of making an investment and may further perpetuate the chain of persons who are granted a license or right upon the condition. (b) "Person" means a natural person, corporation, partnership, trust, or other entity and, in the case of an entity, includes any other entity that has a majority interest in the entity or effectively controls the other entity as well as the individual officers, directors, and other persons in act of control of the activities of each entity. (2) It is unlawful for a person to promote, sell, or encourage participation in any chain distributor scheme. (3) A person violating the provisions of this section shall, upon conviction, be imprisoned in the state prison for a period not to exceed 1 year or be fined not to exceed $1,000, or both. (4) A person convicted of a second offense under this section shall be imprisoned in the state prison for a period not to exceed 5 years or be fined not to exceed $5,000, or both.

Source: official Montana text · Last verified 2026-08-27

Frequently Asked Questions About Montana § 45-6-319

What does Montana Code Annotated § 45-6-319 cover?

Section 45-6-319 ("Chain Distributor Schemes") is part of the Montana Code Annotated, the codified statutory law of Montana. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.

How do I cite Montana § 45-6-319?

A common citation format is "Montana Code Annotated § 45-6-319" (Montana). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.

Is this the official text of Montana law?

No. This page is for research and education and may not include the most recent amendments. For official current law, check the Montana official source linked on this page or consult a licensed Montana attorney.

How does Montana § 45-6-319 apply to my situation?

Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Montana can advise on how this section applies to you. Contact your state or local bar association for a referral.

Sources & Verification

Not legal advice. Verify against the official source and consult a licensed attorney in Montana.