FDD Items 3 & 4 · 2025 filing
Bin There Dump That litigation history
What Bin There Dump That disclosed about lawsuits, arbitrations and bankruptcy in the 2025 Franchise Disclosure Document. Item 3 lists the material legal actions a franchisor must report; Item 4 covers bankruptcy. This is the franchisor's own disclosure, not a court record, and not legal advice.
Items 3 & 4 at a glance
What the filing discloses
- Cases disclosed
- 1
- Item 3, as counted in the filing
- Largest disclosed settlement
- $25K
- As stated in Item 3
- Bankruptcy (Item 4)
- None
- Franchisor, parent, predecessor or officer
- Filing year
- 2025
- Disclosures cover the prior ten years
Extracted from the 2025 Franchise Disclosure Document
Item 3: litigation
Bin There USA LLC v. Farrar et al., No. 3:21-cv-00149 (E.D. Va.) — filed March 2021 against franchisee for breach/termination of franchise agreement; settled May 2021 ($10,000 payment, consent judgment); contempt motion filed late 2021/early 2022 for violations; consent order entered May 2022 ($25,000 payment, permanent injunction from Richmond VA operations)
Disclosure signals that moved the score
How this shows up in the verdict
- Litigation history shows franchise agreement breaches and contempt of court (2021-2022); $35K in settlements indicates enforcement issues and franchisor-franchisee tension
The verdict grade is FranchiseVerdict's editorial assessment across SBA loan performance, unit growth, revenue and disclosure signals. It is not investment advice.
Before you weigh a lawsuit
How to read Item 3
A franchisor must disclose pending actions and any material civil action involving the franchise relationship, plus convictions or civil judgments for fraud, unfair or deceptive practices, or franchise-law violations, going back ten years. A case the franchisor brought against a franchisee counts too. Item 3 does not include every dispute: settled claims below the materiality line and matters resolved in private arbitration can be absent.
Questions worth asking current and former franchisees, using the contact list in Item 20:
- Were you, or anyone you know in the system, party to a dispute with the franchisor?
- Was it resolved by settlement, arbitration or a court, and on what terms?
- Has the number of disputes gone up or down since you signed?