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FranchiseVerdict

FDD Items 3 & 4 · 2025 filing

Liquivida litigation history

What Liquivida disclosed about lawsuits, arbitrations and bankruptcy in the 2025 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
2
Item 3, as counted in the filing
Largest disclosed settlement
$510K
As stated in Item 3
Bankruptcy (Item 4)
Disclosed
Franchisor, parent, predecessor or officer
Filing year
2025
Disclosures cover the prior ten years

Extracted from the 2025 Franchise Disclosure Document

Item 3: litigation

Two related cases involving the same terminated franchisee (Todaro Bro, Inc.): (1) LQV v. Todaro Bro - franchisor filed lawsuit for trademark infringement and non-compete violations, settled for $510,000 paid by franchisee; (2) Todaro Bro v. LQV - franchisee filed arbitration alleging misrepresentation of investment costs and tortious interference; franchisor prevailed and was awarded $446,000+ in damages, settled globally for $510,000.

Disclosed in the 2025 Franchise Disclosure Document

Item 4: bankruptcy

Jeff Cogswell, Director of Franchise Sales, filed personal Chapter 7 bankruptcy in 2017 (Case No. 17-12326-JKO, S.D. Fla.); debts discharged March 16, 2018.

Disclosure signals that moved the score

How this shows up in the verdict

  • Going Concern status is False, indicating potential financial instability at franchisor level
  • Significant litigation history with trademark enforcement and breach of contract allegations affecting franchisee confidence

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?