B55/100FDD 2025
Black Optix Tint — Litigation & Risk
Automotive - Repair & Service · FDD Items 3, 4 & 5
Moderate — Review
4 cases disclosed in FDD Items 3 and 4.
Source: FDD Items 3–5
FDD Items 3 & 4
Litigation Metrics
Cases disclosed
4
Total from FDD Items 3 and 4
Bankruptcy (Item 4)
—
Franchisor or officer bankruptcy
Overall risk score
55 / 100
FranchiseVerdict composite
Rating
MODERATE
STRONG / MODERATE / CAUTION / AVOID
7(a) FOIA data · FY2020–present
SBA Loan Performance
Aggregated from public SBA 7(a) loan disclosures. Default rate is the share of loans that were charged off or settled for less than the full balance.
Total 7(a) loans
8
Government-backed loans issued
Default rate
—
vs <3% typical · system-wide
5-yr default rate
—
Defaults
0 loans
Loans charged off or defaulted
Total loan volume
$1.2M
Avg loan size
$147K
Participating lenders
4
FDD Items 5, 6 & 17 — what you give up
Contract Risk Indicators
Mandatory arbitration
Required
Disputes resolved outside court — limits your legal options
Jury trial waiver
Waived
You give up the right to a jury trial
Non-compete
2 yrs
Post-termination restriction on similar businesses
Franchisor can compete
Yes
Franchisor can open competing locations in or near your territory
Right of first refusal
Yes
Franchisor can match any purchase offer when you try to sell
Governing law
Florida
State whose law governs disputes — relevant if you're not based there
What drove the 55/100 rating
Risk Score Breakdown
- 01MINORParent company and affiliates (Signarama, TGG, GCZ, UFG) have multiple consent orders and injunctive orders for franchise sales disclosure and registration violations—indicates systemic compliance failures at corporate level
- 02MEDNet income not disclosed in FDD Item 19—cannot validate actual profitability claims; average revenue of $631,769 means nothing without expense breakdown
- 03MINORHigh franchise fee ($49,500) combined with total investment requirement ($245k-$347k) creates significant sunk cost with unproven ROI
- 04HIGHLitigation history suggests franchisees may face regulatory headwinds and potential corporate legal exposure affecting business operations
- 05MINOR118% YoY unit growth in small system (25 units) is statistically volatile and masks underlying unit churn/replacement rates
Severity inferred from FDD text — not a regulatory or legal classification
Litigation data from FDD Items 3, 4, and 5. SBA data from public 7(a) FOIA records (FY2020–present). Not legal advice — consult a franchise attorney before signing any franchise agreement.