FDD Items 3 & 4 · 2025 filing
The Dripbar litigation history
What The Dripbar 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 (litigation) & 4 (bankruptcy) at a glance
What the filing discloses
- Cases disclosed
- 3
- Item 3, as counted in the filing
- Largest settlement, franchisor's own cases
- $635K
- As stated in Item 3
- 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
One pending case: Refresh Wellness LLC v. Long Island Peptides LLC et al. (NY Supreme Court, Case No. 625891/2024) alleging breach of contract, fraud, and misrepresentation with $5.8M in damages sought. One prior action: Fort Collins TDB, LLC and DRIPBaR Franchising, LLC v. Drip Lounge et al. (CO District Court, Case No. 2022CV30536) involving trade secret misappropriation and breach of contract.
Item 3 (litigation) · 3 matters disclosed · 1 pending listed
Litigation cases
The franchisor
Pending (1)
Refresh Wellness LLC v. Long Island Peptides LLC et al.
pendingfiled 2024 · Supreme Court of the State of New York, Suffolk County, New York · 625891/2024
“… Supreme Court of the State of New York, Suffolk County, New York, Case No. 625891/2024.”Page 13 of the 2025 FDD, Item 3
Concluded (2)
Fort Collins TDB, LLC and DRIPBaR Franchising, LLC v. Drip Lounge d/b/a Nourish IV Lounge, INAT, LLC, Joshua K. Fulenwider, Stephanie Wuerker, and Kristin Drago Baca
settledBrought by the franchisor · filed 2022-10-12 · District Court, Larimer County, Colorado · 2022CV30536
“… District Court, Larimer County, Colorado, Case No. 2022CV30536.”Page 14 of the 2025 FDD, Item 3
Outcome: “We settled the lawsuit with INAT, LLC and Fulenwilder in July 2023, with a payment of $5,000 by the defendants to us. Mark Taylor, Tammy Taylor, and Taylored Franchising LLC v. DRIPBaR Franchising LLC (AAA Case No. 01-22-0004-7942).”
Mark Taylor, Tammy Taylor, and Taylored Franchising LLC v. DRIPBaR Franchising LLC
settledfiled 2022-11-14 · American Arbitration Association · 01-22-0004-7942
“… (AAA Case No. 01-22-0004-7942). On November 14, 2022, Mark Taylor, Tammy Taylor, and Taylored Franchising LLC who were our Area Representatives for certain parts of Florida and”Page 14 of the 2025 FDD, Item 3
Outcome: “repurchase their Area Representative territory (including all area representative rights with respect to all DRIPBaRs operating or in development in the territory) for $635,000, payable as $75,000 immediately and $560,000 on December 31, 2023.”
Item 3 lists the litigation the franchisor must disclose; a matter against a parent, an affiliate or a named officer is not a matter against the franchisor, and pending claims are allegations, not findings.
Disclosure signals that moved the score
How this shows up in the verdict
- Pending $5.8M litigation (co-defendant), 3 total matters
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?