Delaware Code

6 Del. C. § 2563 (2026)

Prohibition

✓ current as of May 2026

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(a) No person, either directly or through the use of agents or other intermediaries, shall promote, sell, attempt to sell, offer or grant participation in a pyramid or chain distribution scheme.

(b) Whoever, directly or through the use of agents or intermediaries, violates subsection (a) of this section shall be fined not more than $5,000, or imprisoned not more than 3 years, or both.

6 Del. C. 1953, § 2563; 59 Del. Laws, c. 86, § 1;

Notes of Decisions

Cited in 1 case, 1980–1980 · leading case: Space Age Prods., Inc. v. Gilliam, 488 F. Supp. 775 (D. Del. 1980).

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Space Age Prods., Inc. v. Gilliam, 488 F. Supp. 775 (D. Del. 1980). “At the conclusion of the meeting, plaintiff’s representatives were arrested for criminal violations of the pyramiding statute, 6 Del.C. § 2563 (1975), and plaintiff and its representatives were served with a Cease and Desist Order issued under the authority of the Division 2 and…”

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