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FranchiseVerdict

FDD Items 3 & 4 · 2025 filing

Pink Zebra Moving litigation history

What Pink Zebra Moving 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
None stated
Bankruptcy (Item 4)
None
Franchisor, parent, predecessor or officer
Filing year
2025
Disclosures cover the prior ten years

Extracted from the 2025 Franchise Disclosure Document

Item 3: litigation

1) Franchisor filed mediation against Carolina Mover Solutions LLC and Ron Butler (franchisee/guarantor); settled March 2025 via AAA with confidential mutual settlement. 2) Franchisor filed mediation against Two to Ten LLC/Rex Varner and LMP Enterprises LLC/Rex Varner/Thomas O'Connor; franchisee parties failed to attend mediation.

Disclosure signals that moved the score

How this shows up in the verdict

  • Recent litigation history: Two franchisor-initiated mediations in 2024-2025 suggest operational or compliance disputes

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?