factual

For Big Apple Bagels, does the franchisor have any pending civil actions alleging fraud?

Big_Apple_Bagels Franchise · 2025 FDD

Answer from 2025 FDD Document

Except as provided above, with regard to the franchisor, its predecessor, a person identified in Item 2, or an affiliate offering franchises under the franchisor's principal trademark:

  • A. No such party has an administrative, criminal or civil action pending against that person alleging: a felony, a violation of a franchise, antitrust, or securities law, fraud, embezzlement, fraudulent conversion, misappropriation of property, unfair or deceptive practices, or comparable civil or misdemeanor allegations.
  • B. No such party has pending actions, other than routine litigation incidental to the business, which are significant in the context of the number of franchisees and the size, nature or financial condition of the

franchise system or its business operations.

C. No such party has been convicted of a felony or pleaded nolo contendere to a felony charge or, within the 10 year period immediately preceding the application for registration, has been convicted of or pleaded nolo contendere to a misdemeanor charge or has been the subject of a civil action alleging: violation of a franchise, antifraud, or securities law; fraud; embezzlement; fraudulent conversion or misappropriation of property; or unfair or deceptive practices or comparable allegations.

Source: Item 23 — RECEIPTS (FDD pages 87–319)

What This Means (2025 FDD)

According to the 2025 Big Apple Bagels Franchise Disclosure Document, there are specific stipulations regarding legal actions. The document states that neither the franchisor, its predecessor, individuals identified in Item 2, nor any affiliate offering franchises under the Big Apple Bagels' principal trademark has any pending administrative, criminal, or civil actions alleging a felony, violations of franchise, antitrust, or securities law, fraud, embezzlement, fraudulent conversion, misappropriation of property, unfair or deceptive practices, or comparable civil or misdemeanor allegations.

Furthermore, Big Apple Bagels states that these parties do not have any pending actions, aside from routine litigation incidental to business, that are significant in the context of the number of franchisees and the size, nature, or financial condition of the franchise system or its business operations.

Finally, the document confirms that none of the aforementioned parties have been convicted of a felony or pleaded nolo contendere to a felony charge. Additionally, within the 10-year period preceding the application for registration, they have not been convicted of or pleaded nolo contendere to a misdemeanor charge, nor have they been subject to a civil action alleging violations of franchise, antifraud, or securities law; fraud; embezzlement; fraudulent conversion or misappropriation of property; or unfair or deceptive practices or comparable allegations.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.