Best Practices for Affiliate Programs!
Though I am not an expert on affiliate programs, but litigation against some companies that operate affiliate programs, discovery, discussions with the people operating them, and their attorneys have given me some insight.
The more you try to hide assets, the more suspicious it looks. Using domain privacy services is not the sign of a legitimate business. Using corporate shells sometimes will provide you some insulation, but eventually fail and make you look more guilty.
If you look suspicious, people will not report spam to you, but will report it to the FTC, block lists, Visa, or just file lawsuits instead of reporting the spam to you.
In United States v. Impulse Media Group, Inc., 2007 U.S. Dist. LEXIS 42230 (W.D. Wash. June 8, 2007) the Court denied a summary judgment motion, because the affiliate program could be a paper tiger because "defendant made minimal efforts to screen potential affiliates or to track and punish those affiliates who were violating its e-mail policy " and "they did not always terminate all of that affiliate's accounts."
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