Does the Beem Light Sauna FDD state that Beem Light Sauna or its affiliates are involved in the Yoga Six lawsuit?

According to the 2025 Beem Light Sauna FDD, Beem Light Sauna and its affiliates are not involved in the Yoga Six lawsuit. The FDD specifies under Item 3, Litigation, that there are no pending or prior actions involving Beem Light Sauna, its parents, predecessors, or affiliates. However, the document does mention several lawsuits involving Yoga Six franchisees against Yoga Six Franchise, LLC, Xponential Fitness, Inc., and related individuals, alleging violations of pre-sale disclosure obligations, fraud, breach of contract, and unfair trade practices. These lawsuits seek various remedies, including declaratory and injunctive relief, rescission of franchise agreements, and monetary damages.

Notably, the FDD also discloses pending securities-related lawsuits against Xponential Fitness, Inc. and certain of its officers, as well as derivative litigation and other legal actions involving Xponential Fitness and its affiliates. These lawsuits involve similar claims and allegations to those in the Yoga Six cases. The FDD emphasizes that Beem Light Sauna is not affiliated with Xponential and that these lawsuits do not involve Beem Light Sauna or its affiliates.

Prospective Beem Light Sauna franchisees should be aware of the legal landscape surrounding Xponential Fitness, given the past affiliations of Beem Light Sauna's Chief Executive Officer, Ryan Junk, and Sequel Brands' Chief Executive Officer, Anthony Geisler, with Xponential. While the FDD asserts that these lawsuits do not involve Beem Light Sauna, franchisees should consider the potential impact of these ongoing legal issues on the broader franchise industry and the individuals involved. It is advisable to consult with legal counsel to fully understand the implications of these disclosures.