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A43/100FDD 2025

Pacific Lawn Sprinklers — Litigation & Risk

Automotive - Repair & Service · 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
43 / 100
FranchiseVerdict composite
Rating
STRONG
STRONG / MODERATE / CAUTION / AVOID

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
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 43/100 rating

Risk Score Breakdown

  1. 01MINORUnprotected territory creates direct competition risk and customer poaching among franchisees
  2. 02MINORSlow unit growth of 4.5% YoY suggests market saturation or franchisee struggles
  3. 03MINOR10% royalty on net revenues (not gross) is aggressive given seasonal lawn care cash flow volatility
  4. 04MINORWide investment range ($23.1K–$111.6K) indicates unclear startup costs and inconsistent unit economics
  5. 05MINORNo Item 19 financial performance representation limits ability to validate $366K average net income claim
  6. 06MINORFranchise fee of $45,000 is high relative to minimum investment of $23,100, creating front-loaded risk

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.