In the lawsuit against Augusta Lawn Care, what does Augusta expect to recoup?
Augusta_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
Abraham Bilgoray v. Mike Andes, Augusta Franchise LLC, Augusta Franchise LLC Suite, and Augusta Lawn Care Corporation, Civil Action No. 7:25-cv-00584, pending in the United States District Court for the Southern District of New York (originally filed in the Supreme Court of New York, Rockland County, on December 16, 2024 and removed to federal court on January 21, 2025). Plaintiff is a former franchisee of Augusta Lawn Care that alleges fraud and negligent
misrepresentation, based on a purported non-receipt of Augusta's pre-signing Franchise Disclosure Document (the "FDD"). Plaintiff therefore seeks rescission of contracts and restitution. Augusta moved to stay, transfer, and/or dismiss on multiple grounds, including: (i) Plaintiff's franchise agreement requires that he bring any claim before the American Arbitration Association ("AAA"); (ii) to the extent Plaintiff was not required to file his claim in the AAA, he was required to file suit in the United States District Court for the Western District of Washington; (iii) Plaintiff's claims are deficient under the Federal Rules of Civil Procedure; (iv) Plaintiff's fraud-based claims are without merit under the applicable documents; and (v) the applicable statute(s) of limitations bar Plaintiff's claims. Augusta denies any liability and is confident it will prevail in the litigation and recoup its attorneys' fees and costs incurred.
Source: Item 3 — LITIGATION (FDD pages 11–12)
What This Means (2025 FDD)
According to the 2025 FDD, Augusta Lawn Care is currently involved in a lawsuit with a former franchisee, Abraham Bilgoray, who alleges fraud and negligent misrepresentation due to the purported non-receipt of the Franchise Disclosure Document before signing. As a result, the plaintiff seeks rescission of contracts and restitution. Augusta Lawn Care has responded by filing a motion to stay, transfer, and/or dismiss the case based on several grounds, including that the franchisee should have brought the claim before the American Arbitration Association, filed suit in the correct district court, and that the claims lack merit.
Augusta Lawn Care denies any liability in the case. The company states that it is confident it will prevail in the litigation. If Augusta Lawn Care prevails, the company expects to recoup its attorneys' fees and costs incurred throughout the legal proceedings.
It is important for prospective franchisees to understand that litigation can be costly and time-consuming. While Augusta Lawn Care expresses confidence in its position, the outcome of any legal matter is inherently uncertain. Franchisees should consider the potential for legal disputes and associated expenses when evaluating this franchise opportunity.