Under the Assurance of Voluntary Compliance (AVC), what four actions did 360 Painting agree to?

According to the 2025 FDD, in May 2020, 360 Painting entered into an Assurance of Voluntary Compliance (AVC) following an investigation by the Illinois Attorney General's Office. Under the AVC, 360 Painting agreed to four specific actions.

First, 360 Painting agreed to offer affected franchisees the opportunity to rescind their franchise agreements. This means that franchisees who were impacted by the issues that led to the investigation had the option to terminate their agreements and potentially recover some of their investment. Second, 360 Painting agreed to make a $6,000 payment to the state of Illinois. This payment likely serves as a penalty or settlement for the alleged violations of the Illinois Franchise Disclosure Act.

Third, 360 Painting committed to disclosing the AVC in its Franchise Disclosure Document. This ensures transparency for potential franchisees, making them aware of the past issues and the agreement with the Illinois Attorney General. Finally, 360 Painting agreed to comply with the Illinois Franchise Disclosure Act in the future, indicating a commitment to adhering to franchise regulations and avoiding similar issues.

This AVC demonstrates the importance of franchise compliance and the potential consequences of failing to meet disclosure requirements. For prospective 360 Painting franchisees, it highlights the need to carefully review the FDD and understand the franchisor's history of regulatory compliance.