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A41/100FDD 2025

Griswold — Litigation & Risk

Health & Wellness - Senior Care · FDD Items 3, 4 & 5

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Elevated Risk

7 cases disclosed in FDD Items 3 and 4.

Source: FDD Items 3–5

FDD Items 3 & 4

Litigation Metrics

Cases disclosed
7
Total from FDD Items 3 and 4
Bankruptcy (Item 4)
—
Franchisor or officer bankruptcy
Overall risk score
41 / 100
FranchiseVerdict composite
Rating
STRONG
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
28
Government-backed loans issued
Default rate
0.0%
vs <3% typical · system-wide
5-yr default rate
—
Defaults
0 loans
Loans charged off or defaulted

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
1 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
Pennsylvania
State whose law governs disputes — relevant if you're not based there

What drove the 41/100 rating

Risk Score Breakdown

  1. 01HIGHMultiple active litigation cases including state regulatory investigations (Virginia, Indiana) and collective action wage claims—suggests systemic compliance or labor practice issues
  2. 02MEDNet income not disclosed in FDD despite $2.1M average revenue—inability or unwillingness to provide Item 19 profitability data is a major transparency red flag
  3. 03MINORPattern of franchisee disputes (Mull, Life Call Systems, Baton Rouge arbitration, MacPhee negligence claim)—indicates potential misrepresentation, breach, or operational support failures
  4. 04MINORStrong unit growth (20% YoY to 125 units) combined with hidden profitability metrics suggests aggressive recruitment possibly outpacing sustainable support
  5. 05MINORFranchise fee of $49,500 plus startup costs up to $180,600 represent significant capital at risk with unproven unit economics

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.