Giving circles or heart circles are a form of the schneeball or pyramid system. New participants "“give"” after their entrance into the group members, that are already longer thereby, money in hope, later, to become "“presented"” after an ascent in the hierarchy, even.

Designations

For giving circles the also following designations are common: Heart circle, star circle, heart ladies, heart women, heart spiral, star circle, sun man circle, circle, power Circle, ellipse circle, ball circle, heart club, star (EN) taler, board round, Arthus board round, knight and Knappen, solar wind and sun child.

Structure and expiration

Usually there are four hierarchic levels. On the first stage stands a fellow player, who "“gives itself"” from eight participants of the fourth stage money leaves. The height of the amounts of giving is different from circle to circle. It can amount to in the sum up to 40.000 euro. The player of the first stage separates. The players that originally second stage stand on now first the stage and let themselves by the again enlisted eight participants on the fourth stage again money "“be given"”. In order to hold the circle at running, must be enlisted ever more participant. After 10 rounds 4,096 new participants would have to be present, so that all circles created up to then receive new participants on the fourth stage. Wools these 4,096 new participants once on the first stage stand sometime, would have to be enlisted thereafter already further 32,768 new participants.

The sum of 40.000 euro is calculated by eight employments for 5,000, 00 euro. Background of this hum-moderate delimitation are the donation free allowances.

Esoteri painting

Many circles have a esoterischen painting, frequently give it a euphoric tendency. Interest waked with terms like "“group energy"”, "“friendship"” or "“positive experiences and an energy field of the abundance"”. With sentences like "„money are called, release to learn "“or "„in the age of the love and heart warmth show we give the world that for all humans enough there is "“become the participants giving motivated.

Criticism

With the pyramid system a majority of the fellow players goes out empty. The consumer protection North-Rhine/Westphalia: "“Some few, which enter early, make a large frictionoh. But the large mass, which is added later, is the matter their money."”

With a Verachtfachung of the members all three rounds the number of the new members necessary for each step rises on computationally as follows (see in addition the mathematical article power):

• 1
• 8
• 64
• 512
• 4096
• 32.768
• 262.144
• 2.097.152
• 16.777.216
• 134.217.728 (more than the population of Germany)
• 1.073.741.824 (more than the population of Europe)
• 8.589.934.592 (more than the population of world)
• ...

With such a progression the population of world would be thus already exceeded after few rounds. It is plausible that such a system already collapses after few steps inevitably.

The German iurisdiction refused long time the reclaim of the deposited amounts to a large extent to participants in such snow ball systems, although snow ball systems were already classified 1997 by the Federal High Court as immoral and thus futile. The exclusion of the claim for restitution was supported by the determination "§ 817 sentence 2 of the civil law book. Afterwards the reclaim is impossible despite Sittenwidrigkeit of the which is the basis legal transaction, if the Sittenwidrigkeit admits to the payment is and he takes part with the payment "“knowingly"” in an immoral legal transaction (so-called Kondiktionssperre). In two decisions of general principle from 10 November 2005 (file reference: III ZR 72/05 and III ZR 73/05, see also report of the Pressestelle of the Federal High Court No. 159/2005) the Federal High Court now got straight the fact that in cases of snow ball systems a reclaim is always possible since otherwise was contradicted to the protection purpose of the nullity of snow ball systems and the initiators of a giving circle system were animated to continuing.

The instance courts followed to a large extent this iurisdiction. Whether a giving circle is to be regarded as "“play"” or not, is at present in the iurisdiction violently disputed. This question for the evaluation of the problem is relevant whether legal expenses insurances are obligated to take over the costs of the processes. Then only if a "“play"” is accepted in the sense "§ 762 BGB, no covering obligation of the legal expenses insurance exists, is it for the costs of the "“donor"”, is it for the costs "“presented"”. The text "§ 762 BGB is not clear to this question.

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Articles in category "Giving circle"

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