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F80/100FDD 2025

Do The Beach Adventure Parks — Litigation & Risk

Other · FDD Items 3, 4 & 5

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Moderate — Review

5 cases disclosed in FDD Items 3 and 4.

Source: FDD Items 3–5

FDD Items 3 & 4

Litigation Metrics

Cases disclosed
5
Total from FDD Items 3 and 4
Bankruptcy (Item 4)
Franchisor or officer bankruptcy
Overall risk score
80 / 100
FranchiseVerdict composite
Rating
AVOID
STRONG / MODERATE / CAUTION / AVOID

FDD Items 5, 6 & 17 — what you give up

Contract Risk Indicators

Mandatory arbitration
Not required
You retain the right to sue in court
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
Texas
State whose law governs disputes — relevant if you're not based there

What drove the 80/100 rating

Risk Score Breakdown

  1. 01MEDZero operating franchise units with no disclosed growth trajectory or proof of concept
  2. 02HIGHGoing concern warning indicates financial instability at corporate level
  3. 03MINORNo average revenue or net income disclosure (Item 19) prevents ROI validation
  4. 04HIGHLitigation history involving founder/officers with fraud and misrepresentation claims directly related to similar trampoline park business
  5. 05MINORHigh capital requirement ($889K-$2.5M) combined with unproven business model and no franchisee track record
  6. 06MED7% royalty on undisclosed revenue streams creates unknown ongoing cost burden
  7. 07MINORRebranded/successor entity to Altitude Trampoline Parks suggests prior venture failure or restructuring

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.