Bricks 4 Kidz litigation history

The franchisor and its predecessor

Concluded (7)

• Indy Bricks, LLC, Ben Schreiber, and Kate Schreiber v. BFK Franchise Company, LLC, and Creative Learning Corporation

  concluded

  Brought by a franchisee · filed 2017-11-08 · American Arbitration Association · 01-17-0006-7716

  “… Case No. 01-17-0006-7716 (American Arbitration Association filed November 8, 2017). Our current franchisee, Indy Bricks, LLC, and its owners, Ben & Kate Schreiber filed a demand for arbitration on November 8, 2017, alleging breach of contract for our alleged failure to comply with Indy Bricks”Page 13 of the 2026 FDD, Item 3

  Outcome: “On April 23, 2020 a settlement agreement was entered into between Indy Bricks, LLC and its owners, Ben and Kate Schreiber and us where the arbitration was dismissed. Indy Bricks, LLC will pay us $4,000 of past due franchise fees, monthly marketing and royalty fees and monthly fees to utilize our FMS. Indy Bricks, LLC has satisfied their obligations.”

• Team Kasa, LLC, Karen June, Alexander Gilbert, AnnMarie Gilbert (f/k/a Zaollosi) v. BFK Franchise Company, LLC (d/b/a Bricks 4 Kidz)

  concluded

  filed 2017-02-24 · American Arbitration Association · 01-17-0001-1968

  “v. BFK Franchise Company, LLC (d/b/a Bricks 4 Kidz), Case No. 01-17-0001-1968 (American Arbitration Association filed February 24, 2017, amended October 10, 2017). Franchisee, along with its three owners, initiated arbitration seeking to hold us jointly and severally liable”Page 13 of the 2026 FDD, Item 3

  Outcome: “Both parties agreed to settle without admitting any fault, liability, or wrongdoing. BFK Franchise has been removed from the case as Respondent. The resolution described pertains to the parties who participated in the mediation and reached the settlement agreement. However, it is acknowledged there are other respondents who have not yet resolved their status within the case. At this time, we are unable to comment on ...”

• United States Securities and Exchange Commission v. Brian Pappas, etc al.

  concluded

  Government or regulatory action · Creative Learning Corporation - the filing says only “the Company”, which it never defines; see count_note · filed 2017-08-21 · United States District Court for the Middle District of Florida, Jacksonville Division · 3:17- cv00954-TJC-JRK (printed thus in the caption; “3:17-cv-00954-TJC-JRK” twice afterwards)

  “… (Civil Action No. 3:17- cv00954-TJC-JRK). On August 21, 2017, the SEC filed a Civil Complaint against the Company and certain former executive officers and directors”Page 14 of the 2026 FDD, Item 3

  Outcome: “The entering of the final judgment order has resolved all allegations pertaining to the Company. The Company was not assessed any monetary penalties.”

• Back and 4th, LLC and Kristena Bins-Turner v. BFK Franchise Company, LLC

  concluded

  Brought by a franchisee · filed 2016-10-07 · American Arbitration Association · 01-16-0004-3745

  “… American Arbitration Association Case No. 01-16-0004-3745. Our current franchisee, Back and 4th, LLC, and its owner, Kristena Bins-Turner, filed a demand for arbitration on October 7, 2016”Page 12 of the 2026 FDD, Item 3

  Outcome: “On April 24, 2018, we paid $45,000 to Kristena Bins-Turner and Back and 4th, LLC to settle an arbitration award entered on February 13, 2018. That amount included reimbursement of $15,381.01 for arbitration costs related to the eight franchise territories that Back and 4th LLC owned. The case has been settled and closed.”

• Commonwealth of Virginia - Division of Securities and Retail Franchising Settlement Order and Admission and Consent

  concluded

  Government or regulatory action · filed 2016 · Commonwealth of Virginia Corporation Commission, Division of Securities and Retail Franchising · SEC 2016-00025

  “Commonwealth of Virginia - Case No. SEC 2016-00025. In June 2016, we entered into a Settlement Order and Admission and Consent (the “Order”) with the Commonwealth of Virginia Corporation Commission's (the “Commission”) Division of Securities and Retail Franchising (the "Division"), whereby we agreed to (i) pay restitution, penalties, and investigative costs in the amount of $94,900”Page 14 of the 2026 FDD, Item 3

  Outcome: “We did not admit or deny any of the allegations set forth in the Order.”

• Franventures, LLC v. Creative Learning Corporation, and BFK Franchise Company, LLC

  concluded

  filed 2016-03-07 · Circuit Court of the Seventh Judicial Circuit, in and for St. Johns County, Florida · CAl6- 0236 (printed thus; also given as “Case No. CA 16-236” later in the same paragraph)

  “… Case No. CAl6- 0236 (Circuit Court of the Seventh Judicial Circuit, in and for St. Johns County, Florida). On March 7, 2016, Brian Pappas, former CEO of Creative Learning Corporation and member of FranVentures, LLC, filed suit for breach of contract”Page 11 of the 2026 FDD, Item 3

  Outcome: “On May 22, 2021, Creative Learning Corporation, Brian Pappas, Christine Pappas and Franventures entered into an agreement under which the parties agreed to mutually release all parties from any claims or causes of action that they have against the other, including without limitation any claims asserted in Case No. CA 15-1076 and Case No. CA 16-236. Creative Learning Corporation agreed to pay Brian Pappas and his ...” (page 12)

• Creative Learning Corporation v. Brian Pappas

  concluded

  Brought by the franchisor · Creative Learning Corporation · filed 2015-10-02 · Circuit Court for the Seventh Judicial Circuit, in and for St. Johns County, Florida · CA15-1076

  “… Case No. CA15-1076 (Circuit Court for the Seventh Judicial Circuit, in and for St. Johns County, Florida) On October 2, 2015, Creative Learning Corporation filed suit against Brian Pappas ("Pappas"), former CEO of Creative Learning Corporation and member of FranVentures, LLC, for various claims related to his conduct as CEO.”Page 12 of the 2026 FDD, Item 3

  Outcome: “On December 11, 2017, Pappas filed a counterclaim alleging he is entitled to indemnification from Creative Learning Corporation for any damages, fines, or fees accrued against him as a result of actions or investigations related to his conduct as CEO. We dispute this counterclaim, and intend to ardently pursue our claims, and defend our interest in these matters. Creative Learning Corporation agreed to pay Brian ...”

Parent, affiliates, master franchisor and subfranchisor

Pending (1)

• Mark Shaw, Matt Shaw, Craig Pfeffer, Debbie Pfeffer, Thomas Heninger, Robin Heninger and Henry Tableing v. Stroomx, LLC, Chris Rego, Gary Zell, Rod Whiton and Michael Elkin

  pending

  Brought by a third party · StroomX, LLC - the franchisor's former parent, which spun BFK off in February 2025 and still manages the system per Item 1 · filed 2025-11-05 · Superior Court for Santa Clara County, California · 25CV479391

  “Tableing v. Stroomx, LLC, Chris Rego, Gary Zell, Rod Whiton and Michael Elkin, Superior Court for Santa Clara County, California, Case No. 25CV479391 (November 5, 2025). The plaintiffs are shareholders in the public company that used to own the Bricks 4 Kidz Business”Page 13 of the 2026 FDD, Item 3

  Outcome: “Defendants Rego and StroomX will be moving to dismiss the Complaint and otherwise vigorously defending on the merits.”

Concluded (1)

• Mark Shaw, Matt Shaw, Craig Pfeffer, Debbie Pfeffer, Thomas Heninger, Robin Heninger and Henry Tableing v. Chris Rego, Gary Zell, John Simento, Rod Whiton, Michael Elkin and Stroomx, LLC

  concluded

  Brought by a third party · StroomX, LLC - the franchisor's former parent, which spun BFK off in February 2025 and still manages the system per Item 1 · filed 2024-08-05 · Circuit Court, Seventh Judicial Circuit, in and for St. Johns County, Florida, Division 55 · 55-2024-CA-001051

  “Tableing v. Chris Rego, Gary Zell, John Simento, Rod Whiton, Michael Elkin and Stroomx, LLC. Circuit Court, Seventh Judicial Circuit, in and for St. Johns County, Florida, Case No. 55-2024-CA-001051, Division 55 (August 5, 2024). Plaintiffs filed suit against Defendants in two counts – breach of fiduciary duties (against the individual defendants) and constructive fraud”Page 13 of the 2026 FDD, Item 3

  Outcome: “Defendants Simento and Elkin have been dismissed from the case (July 9, 2025). All claims have been dismissed by the trial court.”

Officers and directors (individuals, not the company)

Concluded (1)

• Team Kasa, LLC, Karen June, Alexander Gilbert, and AnnMarie Szollosi Gilbert (f/k/a AnnMarie Szollosi) v. Brian Pappas, FranVentures, LLC, Richard Humphrey, Franchise BIZ Experts, LLC, William Litster, and Ameridream Investments, LLC

  concluded

  Brought by a franchisee · Brian Pappas, former CEO of Creative Learning Corporation (the predecessor franchisor); no franchisor-side entity is a defendant · filed 2017-02-24 · United States District Court for the Eastern District of New York · 2:17-cv-01074

  “v. Brian Pappas, FranVentures, LLC, Richard Humphrey, Franchise BIZ Experts, LLC, William Litster, and Ameridream Investments, LLC, Case No. 2:17-cv-01074 (E.D.N.Y. filed February 24, 2017). Franchisee, along with its three owners, filed suit against former CEO of Creative Learning Corporation, BFK Franchise Company, LLC’s parent company, alleging disclosure violations under Section 683 of the New York State Franchise Sales Act”Page 12 of the 2026 FDD, Item 3

  Outcome: “The Franchisee, and its owners seek monetary damages. We deny these allegations and the case has been settled and closed.”