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FranchiseVerdict

FDD Items 3 & 4 · 2026 filing

BoConcept litigation history

What BoConcept disclosed about lawsuits, arbitrations and bankruptcy in the 2026 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 (litigation) & 4 (bankruptcy) at a glance

What the filing discloses

Cases disclosed
5
Item 3, as counted in the filing
Largest settlement, franchisor's own cases
None stated
Bankruptcy (Item 4)
None
Franchisor, parent, predecessor or officer
Filing year
2026
Disclosures cover the prior ten years

Extracted from the 2026 Franchise Disclosure Document

Item 3: litigation

5 disclosed cases: (1) BoConcept Princeton NJ franchisee lawsuit 2020, settled Oct 2022; (2) Rosenblum landlord suit re LA franchisee, settled Oct 2022; (3) BC Aventura Florida franchisee group Chapter 11 bankruptcy Nov 2024, closed Nov 2025; (4) Exceptional Capital CA franchisee fraud suit May 2025, settled Nov 2025; (5) Henrik Eriksen former employee RICO/whistleblower suit Aug 2025, ongoing

Item 3 (litigation) · 5 matters disclosed · 1 pending listed

Litigation cases

The franchisor

Pending (1)

  • Henrik Eriksen vs. 3i Group PLC, BoConcept Holding A/S, BoConcept North America, Inc., BoConcept USA, Inc., BoConcept Franchise, Inc., Boris Tobias Kawohl, Sanna Suvanto-Harsaae, Mikael Kruse Jensen, Klaus Skov Mortensen, Jon Skaalerud and David Anderberg

    pending

    Brought by a third party · filed 2025-08-11 · U.S. District Court, Central District of California · 2:25-cv-07442-SRM-BFM

    “… U.S. District Court, Central District of California, filed August 11, 2025, Case No 2:25-cv-07442-SRM-BFM.”Page 10 of the 2026 FDD, Item 3

Concluded (2)

  • Exceptional Capital, Inc., Michael Webster and James Lunsford (collectively, “EC Franchisee”) vs. 3i Group plc, BoConcept North America, Inc., BoConcept Franchise, Inc., USCTO One, LLC, Mikael Kruse Jensen, Peter Linnet, Kate Walsh, Morten Lind Thomsen, Lennart Ladefoged and David Anderberg

    settled

    Brought by a franchisee · filed 2025-05-16 · Superior Court of the State of California, Los Angeles County (removed to U.S. District Court, Central District of California, 8:25-cv-1269) · 15STCV14489

    “Exceptional Capital, Inc., Michael Webster and James Lunsford (collectively, “EC Franchisee”) vs. 3i Group plc, BoConcept North America, Inc., BoConcept Franchise, Inc., USCTO One, LLC, Mikael Kruse Jensen, Peter Linnet, Kate Walsh, Morten Lind Thomsen,”Page 9 of the 2026 FDD, Item 3

    Outcome: “This lawsuit was fully settled by all parties pursuant to a confidential Settlement Agreement on October 21, 2025, with neither the franchisee nor BoConcept Parties admitting any liability.” (page 10)

  • BoConcept Princeton, LLC and BoConcept of New Jersey, LLC, d/b/a BoConcept Paramus, vs. BoConcept Franchise, Inc.

    settled

    Brought by a franchisee · filed 2020-06-03 · Superior Court of New Jersey, Chancery Division · C-106-20

    “… Superior Court of New Jersey, Chancery Division, Docket No. C-106-20, filed June 3, 2020.”Page 8 of the 2026 FDD, Item 3

    Outcome: “effective August 5, 2022, the parties settled this lawsuit as to all claims, with Franchisee paying certain amounts to BoConcept and BoConcept agreeing to a new Franchise Agreement covering both existing New Jersey franchised stores and 2 additional stores to be opened by Franchisee.” (page 9)

Parent, affiliates, master franchisor and subfranchisor

Concluded (1)

  • Allan Rosenblum as Special Trustee for the Rosenblum Living Trust dated January 4, 1999 vs. BCLA-LA BREA, LLC, d/b/a BoConcept, BoConcept USA Inc., TEVA LA, LLC, Stephanie Duval, Stephane Duval

    settled

    Brought against a franchisee · BoConcept USA, Inc. (lease guarantor) · filed 2021-09-29 · Superior Court of the State of California, Los Angeles County · 21STCV35863

    “… Los Angeles County, California, Superior Court of the State of California, filed September 29, 2021, Case No. 21STCV35863 (the “Lawsuit”).”Page 9 of the 2026 FDD, Item 3

    Outcome: “the lawsuit was dismissed on November 7, 2022 as to all parties. BC Aventura Contemporary Furniture, LLC; BC America Contemporary Furniture, LLC;”

Other companies named (outside this franchise system)

Concluded (1)

  • BC Aventura Contemporary Furniture, LLC; BC America Contemporary Furniture, LLC; BC Boca Contemporary Furniture, LLC; BC Contemporary Furniture, LLC; BC Gables Contemporary Furniture, LLC; BC Lauderdale Contemporary Furniture, LLC; BC Logistics Contemporary Furniture, LLC; and BC Midtown Contemporar

    concluded

    Brought by a third party · BC Aventura Contemporary Furniture, LLC et al. (former Florida franchisees, the debtors) · filed 2024-11-15 · United States Bankruptcy Court, Southern District of Florida, Fort Lauderdale Division · 24-22028

    “BC Aventura Contemporary Furniture, LLC; BC America Contemporary Furniture, LLC; BC Boca Contemporary Furniture, LLC; BC Contemporary Furniture, LLC;”Page 9 of the 2026 FDD, Item 3

    Outcome: “consolidated Bankruptcy Liquidation Plan was approved on April 22, 2025 and the bankruptcies became final and were closed per a Final Decree entered November 3, 2025 by the United States Bankruptcy Court .”

Item 3 lists the litigation the franchisor must disclose; a matter against a parent, an affiliate or a named officer is not a matter against the franchisor, and pending claims are allegations, not findings.

Disclosure signals that moved the score

How this shows up in the verdict

  • Multiple active lawsuits including allegations of franchisor scheme to eliminate franchises, suggesting hostile franchisor-franchisee relationship and potential bad faith practices
  • Bankruptcy involving Florida-based stores and multi-claim litigation by southern California franchisee suggests operational/financial distress across geographies
  • Lease guarantee dispute and wrongful termination/whistleblower suit indicate governance and HR issues that may signal broader management dysfunction

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?