FDD Items 3 & 4 · 2026 filing
Hilton Garden Inn litigation history
What Hilton Garden Inn 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 & 4 at a glance
What the filing discloses
- Cases disclosed
- 15
- Item 3, as counted in the filing
- Largest disclosed settlement
- $2.1M
- As stated in Item 3
- 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
Pending: Bow Hospitality (breach of contract/termination), In re Extended Stay Hotel Antitrust (Sherman Act, class action), Hanson Dai v SAS Institute (Sherman Act, class action), Ryan Segal v Amadeus (Sherman Act, class action), Jeanette Portillo v CoStar (Sherman Act, class action). Concluded: AAAA Property Partners (resolved March 2025), Texas AG (settled Jan 2025, $2.1M payment), Nebraska AG (settled Feb 2024, $300K), Hilton v Portland Hotel Ownership (settled July 2022), San Pedro Inn v Hilton (settled Sept 2020), US v Hilton Hotels Corp (1971 consent decree, Sherman Act). Collection suits: Hilton v ML Plaza, Hilton v Unique Crowne, Hilton v Empower Metro Center (settled Jan 2026), In re 177 BFP (bankruptcy).
Disclosure signals that moved the score
How this shows up in the verdict
- Multiple active litigation matters including antitrust allegations over revenue management software and consumer protection lawsuits regarding mandatory fee disclosure transparency
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?