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B61/100FDD 2025
Techtron Environmental Solutions — Litigation & Risk
Other · FDD Items 3, 4 & 5
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
61 / 100
FranchiseVerdict composite
Rating
MODERATE
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
Minnesota
State whose law governs disputes — relevant if you're not based there
What drove the 61/100 rating
Risk Score Breakdown
- 01HIGHGoing Concern status is FALSE — suggests potential financial distress or unresolved viability questions at corporate level
- 02MEDOnly 5 units with unknown growth trajectory — extremely small system with no disclosed expansion data or unit growth rate
- 03MEDNo Item 19 (Financial Performance Representations) disclosed — cannot verify if $113,949 net income claim is achievable or typical
- 04MINORHigh royalty burden (8%) plus $60,000 franchise fee on modest $251,002 average revenue creates tight margin, especially if expenses vary
- 05MED5-year term with protected territory may lock franchisee into underperforming location with limited exit flexibility
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.