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D75/100FDD 2026

Vaura (Athletic Reformer Pilates) — Litigation & Risk

Health & Fitness · 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
75 / 100
FranchiseVerdict composite
Rating
CAUTION
STRONG / MODERATE / CAUTION / AVOID

FDD Items 5, 6 & 17 — what you give up

Contract Risk Indicators

Mandatory arbitration
Not required
You retain the right to sue in court
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 75/100 rating

Risk Score Breakdown

  1. 01MINOROnly 2 units in system with no growth trajectory (100% YoY growth from minimal base suggests stagnation, not expansion)
  2. 02HIGHMultiple litigation matters including franchisee breach/fraud lawsuit and regulatory consent orders across 3 states for FDD violations and misrepresentations
  3. 03MINORNo net income disclosure despite $1.4M average revenue—suggests profitability concerns or deliberate opacity
  4. 04HIGHGoing Concern status is False, indicating potential financial instability or accounting red flags at corporate level
  5. 05MINORHigh initial investment ($867K-$1.36M) and 7% royalty against unproven franchise model with minimal operating history
  6. 06MINORRegulatory settlements evidence of compliance failures and public figure disclosure violations—reputational and legal risk

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.