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B65/100FDD 2025

JBL Roofing & Construction — Litigation & Risk

Home Services - Other · FDD Items 3, 4 & 5

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Lower Risk

No litigation cases disclosed in FDD Items 3 and 4.

Source: FDD Items 3–5

FDD Items 3 & 4

Litigation Metrics

Cases disclosed
0
Total from FDD Items 3 and 4
Bankruptcy (Item 4)
—
Franchisor or officer bankruptcy
Overall risk score
65 / 100
FranchiseVerdict composite
Rating
MODERATE
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
Ohio
State whose law governs disputes — relevant if you're not based there

What drove the 65/100 rating

Risk Score Breakdown

  1. 01MEDNo average revenue or net income disclosed (Item 19 missing) — impossible to validate ROI on $34-71K investment
  2. 02MINORExtremely high royalty rate (20-23%) with only 7 units — suggests franchisor relies on royalties rather than franchise growth strategy
  3. 03MINOROnly 7 franchised units with unknown growth trajectory — very small system with unclear viability
  4. 04MINORNo territory protection — franchisees compete directly with each other and franchisor in same markets
  5. 05HIGHGoing Concern status is FALSE — potential financial instability at franchisor level
  6. 06MINORHigh franchise fee ($25K) relative to total investment ($34-71K) — 36-73% of minimum investment goes to franchisor upfront
  7. 07MED10-year term with no disclosed renewal rate — difficult to assess long-term viability commitment

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.