What is the case number for the Yoga Six Lawsuit mentioned in the Body20 FDD?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
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American Health Concepts, LLC and Yaqim Lalani v. Yoga Six Franchise, LLC, Xponential Fitness, LLC, Anthony Geisler, and Lindsay Junk, filed December 11, 2024, Superior Court of Dekalb County, State of Georgia, Case No. 24CV11069. A former Yoga Six® franchisee and its owner filed this action against Y6, Xponential, the former Chief Executive Officer of Xponential, Anthony Geisler, and the President of Y6, Lindsay Junk. Contending that the Franchise Disclosure Document that Y6 provided to them in connection with their signing of a Yoga Six® development agreement and franchise Agreement in 2019 failed to include certain disclosures required by the Federal Trade Commission Franchise Rule, plaintiffs allege that (i) (a) defendants violated the Federal Trade Commission Act, for which plaintiffs seek damages in the amount of $430,600, and (b) the development agreement was void for lack of consideration, for which plaintiffs seek damages in the amount of $135,000; or, alternatively, (ii) (a) defendants committed fraud in the inducement, for which plaintiffs seek damages in the amount of $430,600, (b) defendants breached the franchise agreement when defendants failed to return a transfer fee paid by plaintiffs when the subject proposed transfer of the franchise agreement was not consummated, for which plaintiffs seek damages of not less than $5,000, and (c) defendants were unjustly enriched by plaintiffs' payment of certain initial fees under their Yoga Six® agreements and the above-referenced transfer fee, for which plaintiffs seek damages of not less than $140,000. Plaintiffs also seek unspecified punitive damages, attorneys' fees, and other relief as the court may determine. On March 12, 2025, defendants filed a Notice of Removal to remove the action to the United States District Court for the Northern District of Georgia (Case No. 1:25-cv-01315-SCJ).
Xponential Fitness, Inc. ("XFI"), which is a publicly-traded company, and certain of its officers, including Anthony Geisler, have been named in securities-related lawsuits that are pending as of the date of this Disclosure Document. As of the date of this Disclosure Document there are three currently pending securities-related lawsuits and, given the nature of these types of claims, we expect additional similar lawsuits to be filed on behalf of other XFI shareholders, with respect to the same set of facts.
In re Xponential Fitness Securities Litigation*,* filed February 9, 2024, United States District Court for the Central District of California, Southern Division, Case No. 8:24-cv-00285. Two actions, (1) City of Taylor General Employees Retirement System v. Xponential Fitness, Inc., Anthony Geisler, and John Meloun, filed February 9, 2024, United States District Court for the Central District of California, Southern Division, Case No. 8:24-cv-00285 and (2) City of West Palm Beach Police Pension Fund v. Xponential Fitness, Inc.,
Anthony Geisler, John Meloun, Mark Grabowski, Brenda Morris, Chelsea Grayson, BofA Securities, Inc., Jefferies LLC, Morgan Stanley & Co. Inc., Raymond James & Associates, Inc., Roth Capital Partners, LLC, and R. Seelaus & Co., LLC, filed June 18, 2024, United States District Court for the Central District of California, Southern Division, Case No. 8:24-cv-01333, were consolidated into this action on October 3, 2024 (we refer to this consolidated action as the "Securities Litigation").
In the Securities Litigation, Plaintiffs, purported shareholders of XFI during the period between July 23, 2021 through May 10, 2024 (the "Class Period"), filed a putative class action in which they purported to be and sought to represent themselves and other similarly-situated shareholders who held Class A common stock shares of XFI during the designated Class Period.
Source: Item 3 — LITIGATION (FDD pages 13–17)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, there are two Yoga Six lawsuits mentioned. The first lawsuit, American Health Concepts, LLC and Yaqim Lalani v. Yoga Six Franchise, LLC, Xponential Fitness, LLC, Anthony Geisler, and Lindsay Junk, was filed on December 11, 2024, in the Superior Court of Dekalb County, State of Georgia, with Case No. 24CV11069. This case was later removed to the United States District Court for the Northern District of Georgia with Case No. 1:25-cv-01315-SCJ.
The second lawsuit, Enlightened Armadillo, Inc., et al. v. Yoga Six Franchise, LLC, et al., was filed on November 22, 2023, in the Superior Court of the State of California, County of Orange, with Case No. 30-2023- 01367265-CU-AT-CXC. This lawsuit involves allegations of pre-sale disclosure violations, fraudulent inducement, breach of implied covenant of good faith and fair dealing, and unfair and deceptive trade practices.
It is important to note that Body20 states that they are not affiliated with Xponential and these lawsuits do not involve them or their affiliates. However, Lindsay Junk, Body20's Chief Executive Officer, previously served as Brand President of Y6, and Anthony Geisler, the Chief Executive Officer of Sequel Brands, previously served in the same role for Xponential and various subsidiaries of Xponential. Both have been named as defendants in lawsuits involving Xponential and its affiliates.