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B60/100FDD 2025

MedXwaste — Litigation & Risk

Health & Wellness - 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
60 / 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
Florida
State whose law governs disputes — relevant if you're not based there

What drove the 60/100 rating

Risk Score Breakdown

  1. 01MEDNo average revenue or net income disclosed (Item 19) — impossible to assess profitability or ROI on $101k-$142k investment
  2. 02MEDOnly 9 units in system with 60% YoY growth is extremely small base — high volatility risk and limited peer support network
  3. 03MINORHigh royalty floor ($650/month minimum = $7,800/year) creates break-even pressure for new franchisees in early ramp phase
  4. 04MINORFranchise fee ($50,000) represents 49% of minimum total investment — high upfront cost relative to system size and maturity
  5. 05HIGHNo litigation disclosed is positive, but small unit count limits statistical significance of claim
  6. 06MINORSpecialized medical waste vertical has regulatory complexity and compliance risk not addressed in basic data

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.