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A49/100FDD 2026

Precision Garage Door Service — Litigation & Risk

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

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Moderate — Review

5 cases disclosed in FDD Items 3 and 4.

Source: FDD Items 3–5

FDD Items 3 & 4

Litigation Metrics

Cases disclosed
5
Total from FDD Items 3 and 4
Bankruptcy (Item 4)
—
Franchisor or officer bankruptcy
Overall risk score
49 / 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
Texas
State whose law governs disputes — relevant if you're not based there

What drove the 49/100 rating

Risk Score Breakdown

  1. 01MINORNo Item 19 financial performance disclosure (average revenue and net income withheld) — impossible to validate ROI claims
  2. 02HIGHLitigation involving non-compete enforcement and franchise advertising violations suggests aggressive franchisor practices and regulatory scrutiny
  3. 03MINORHigh franchise fee ($75,000) paired with wide investment range ($164K–$360K) indicates unclear capital requirements and potential hidden costs
  4. 04MINORModest unit growth (11.4% YoY) on small base (147 units) — insufficient scale to demonstrate system strength or franchisee success rates
  5. 05HIGHGoing concern designation is FALSE but absence of financial transparency raises questions about franchisor financial health and support capability

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.