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Mark Stidham, LuLaRoe Co-Founder, Passes Away at 68 Amid Ongoing Fraud Litigation

LuLaRoe logo representing the company linked to co-founder Mark Stidham’s ongoing fraud litigation

Mark Stidham, co-founder and CEO of LuLaRoe, died on September 25, 2025, at age 68 from complications related to pancreatic cancer, as confirmed by multiple sources, including Direct Selling News and Soap Opera Spy. Stidham, alongside his wife DeAnne Stidham, launched the apparel MLM in 2013, transforming it into a multi-billion-dollar empire through social media-driven sales of leggings and casual wear. LuLaRoe’s rapid growth peaked at $1 billion in annual revenue by 2017, but it later faced intense scrutiny for pyramid-like practices, per Time Magazine. Tributes poured in from celebrities like Meri Brown of TLC’s Sister Wives, who called him a “man of profound integrity” in an emotional Instagram post, per Parade.

Legacy Marred by Pyramid Scheme Allegations and Legal Battles

Stidham’s death comes amid unresolved legal woes for LuLaRoe. A second pyramid scheme class-action lawsuit filed by former retailer Jessica Ponkey was dismissed in September 2024, with the second dismissal now under appeal in the Ninth Circuit, per court docket entries. On September 29, 2025, the court acknowledged Stidham’s passing, directing LuLaRoe to decide on substituting a party; on October 6, counsel for DeAnne Brady Stidham and LuLaRoe confirmed no substitution, suggesting DeAnne will lead the defense solo, per. Ponkey’s suit alleges LuLaRoe operated as an unlawful pyramid, pressuring recruits to buy inventory without viable resale paths, echoing claims in the 2021 Amazon docuseries LuLaRich, which exposed the company’s descent from “retail phenomenon” to “alleged scam.”

LuLaRoe’s Legal Troubles and Ongoing Struggles

LuLaRoe’s controversies include a $4.75M settlement with Washington State in 2021 over pyramid charges, a $95,950 penalty from Pennsylvania in 2020 for consumer protection violations, and a $164M judgment in November 2024 to supplier Providence Industries for unpaid debts, per The Associated Press and Expert Institute. Stidham’s reported 2018 threat to flee to the Bahamas with “two to three hundred million dollars” if forced to pay underscores the acrimony, per court records. Despite challenges, LuLaRoe persists, with ~50,000 monthly website visits in September 2024 and 90.37% of promoters earning no commissions in 2024, per its Income Disclosure Statement.

Broader Implications for MLM and Retailer Victims

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Stidham’s passing may accelerate LuLaRoe’s leadership transition to DeAnne, but it doesn’t halt ongoing scrutiny. The first pyramid lawsuit was settled in July 2021 with full refunds to plaintiffs. Victims, predominantly women in tight-knit communities, report financial ruin from unsold inventory and recruitment pressure, with 19.65% of promoters losing money annually, per. DeAnne Stidham continues as the face of the brand, emphasizing “community and opportunity” in a company statement mourning Mark as a “heart and soul” figure, per Direct Selling News.

This event highlights MLM’s human toll, blending entrepreneurial legacy with ethical debates. Sister Wives star Meri Brown, a long-time LuLaRoe consultant, shared memories of Stidham’s kindness, drawing fan condolences, per Bangla News. As the Ponkey appeal proceeds, LuLaRoe’s future under DeAnne will test its resilience amid declining retailer earnings (72% under $5,000/year) and persistent lawsuits.

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Investor and Consumer Guidance

While LuLaRoe isn’t crypto, its MLM model parallels crypto Ponzi risks like Forsage. Consumers should research via FTC.gov and avoid high-pressure recruitment. Diversify investments into regulated assets like BTC ($113,234) or ETH ($4,070), with stop-losses below $112,000 BTC, per TradingView. Follow @TheBlock__ on X for MLM/crypto fraud alerts. Stidham’s death closes a chapter, but LuLaRoe’s controversies endure, urging caution in multi-level ventures.

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