FDD Items 3 & 4 · 2025 filing
Restore Hyper Wellness litigation history
What Restore Hyper Wellness 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
- 3
- Item 3, as counted in the filing
- Largest disclosed settlement
- None stated
- Bankruptcy (Item 4)
- Disclosed
- Franchisor, parent, predecessor or officer
- Filing year
- 2025
- Disclosures cover the prior ten years
Extracted from the 2025 Franchise Disclosure Document
Item 3: litigation
Two pending matters: (1) Butterfield et al. v. Restore Franchising LLC (3:23-cv-00820, U.S. District Court, Middle District of Tennessee) - breach of contract, fraudulent and negligent misrepresentation, negligent non-disclosure; damages sought $1,500,000+; litigation stayed due to plaintiffs' Chapter 7 bankruptcy filing on September 25, 2023. (2) Omran Solutions, LLC v. Restore Franchising, LLC (Case No. 01-24-005-5617, AAA arbitration) - violations of Texas and Colorado consumer protection laws and breach of contract regarding exclusive territory; franchisor has asserted counterclaims.
Disclosed in the 2025 Franchise Disclosure Document
Item 4: bankruptcy
Butterfield plaintiffs filed Chapter 7 Bankruptcy on September 25, 2023; litigation stayed as of April 2, 2024
Disclosure signals that moved the score
How this shows up in the verdict
- Two pending franchisee suits alleging fraud/negligent misrepresentation; one seeks $1.5M+
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?