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F79/100FDD 2025

Quiznos — Litigation & Risk

Food & Beverage - Full Service · FDD Items 3, 4 & 5

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Moderate — Review

1 case disclosed in FDD Items 3 and 4.

Source: FDD Items 3–5

FDD Items 3 & 4

Litigation Metrics

Cases disclosed
1
Total from FDD Items 3 and 4
Bankruptcy (Item 4)
—
Franchisor or officer bankruptcy
Overall risk score
79 / 100
FranchiseVerdict composite
Rating
AVOID
STRONG / MODERATE / CAUTION / AVOID

7(a) FOIA data · FY2020–present

SBA Loan Performance

Aggregated from public SBA 7(a) loan disclosures. Default rate is the share of loans that were charged off or settled for less than the full balance.

Total 7(a) loans
2,220
Government-backed loans issued
Default rate
28.1%
vs <3% typical · system-wide
5-yr default rate
0.0%
Defaults
620 loans
Loans charged off or defaulted
Total loan volume
$331.9M
Avg loan size
$149K
Participating lenders
323

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
Colorado
State whose law governs disputes — relevant if you're not based there

What drove the 79/100 rating

Risk Score Breakdown

  1. 01MINORDeclining unit count (-1.9% YoY) indicates system contraction and possible franchisee struggles
  2. 02MEDNo disclosed net income data prevents accurate ROI assessment despite $393,944 average revenue
  3. 03HIGHCompleted litigation (2014-2015) for fraudulent schemes and racketeering raises historical trust concerns
  4. 04MINORUnprotected territory creates direct competition risk from other Quiznos locations
  5. 05MINORWide investment range ($213,900–$648,800) with vague cost breakdown suggests inconsistent unit economics
  6. 06MINOROnly 152 units remaining suggests significant attrition from peak system size

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.