What prompted the Securities Division of the Washington Department of Financial Institutions to begin an investigation regarding 360 Painting?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
sent Order dated October 4, 2022. In May 2022, the Securities Division of the Washington Department of Financial Institutions (DFI) began conducting an investigation regarding the offer and sale of franchises by Premium Service Brands, LLC and other entities to determine whether there have been any violations of the Washington Franchise Investment Protection Act (RCW 19.100). Following informal discussions with the DFI, effective October 4, 2022, 360 Painting, LLC and Pro-Lift Doors Franchise, LLC elected to enter into separate Consent Orders with the DFI, in which they each agreed, without admitting or denying any of the DFI's statements of fact or conclusions of law, (1) to cease and desist from any violation of RCW 19.100.170; and (2) to
Source: Item 3 — LITIGATION (FDD pages 13–18)
What This Means (2025 FDD)
According to 360 Painting's 2025 Franchise Disclosure Document, the Securities Division of the Washington Department of Financial Institutions (DFI) initiated an investigation in May 2022 to determine if Premium Service Brands, LLC, and other entities, including 360 Painting, violated the Washington Franchise Investment Protection Act (RCW 19.100) regarding the offer and sale of franchises.
Following these discussions, 360 Painting elected to enter into a Consent Order with the DFI effective October 4, 2022. In this order, 360 Painting agreed, without admitting or denying the DFI's statements or conclusions, to cease and desist from violating RCW 19.100.170 and to pay $2,000 for investigative costs.
This type of investigation and subsequent consent order is a matter of public record and is disclosed in Item 3 of the FDD, which covers litigation. Prospective franchisees should carefully review Item 3 to understand the nature and implications of any legal or regulatory actions involving 360 Painting. It is also advisable to seek legal counsel to fully understand the potential impact of such matters on their investment.