factual

What entities are named as defendants alongside Yoga Six Franchise, LLC in the Enlightened Armadillo, Inc. lawsuit, and how might this affect Body20?

Body20 Franchise · 2025 FDD

Answer from 2025 FDD Document

California, County of Orange, Case No. 30-2023- 01367265-CU-AT-CXC. This action was filed by two Yoga Six® franchisees and their owners, including Enlightened Armadillo, Inc., Snug Holding Company LLC, Mark Hrubant, Ella Hrubant, and Melinda Sung (collectively, the "Y6 Plaintiffs") against (i) Y6 and Yoga Six Franchise SPV, LLC; (ii) the Xponential Entities; (iii) the H&W Entities; (iv) LAG Fit, Inc.; (v) MGAG LLC; and (vi) Anthony Geisler, Mark Grabowski, Lindsay Junk, Nate Chang, Jason Losco, Lance Freeman, Ryan Junk, Megan Moen, John Meloun, Sarah Luna, Brenda Morris, and Justin LaCava (collectively, (i) through (vi), the "Y6 Defendants"). The Y6 Plaintiffs alleged that one or more of the Y6 Defendants (a) violated pre-sale disclosure obligations under the California Franchise Investment Law by failing to provide a compliant Franchise Disclosure Document, making statements that they contend were erroneous or prohibited, and failing to disclose information that they contend necessitated disclosure; (b) fraudulently induced them to invest in franchises; (c) breached the implied covenant of good faith and fair dealing (as to the Yoga Six entities only); and (d) engaged in unfair and deceptive trade practices. The Y6 Plaintiffs seek (1) declaratory and injunctive relief regarding the enforcement of the mandatory arbitration provisions in their franchise agreements; (2) rescission of their franchise agreements; (3) actual and special damages; and (4) attorneys' fees, costs, and interest. The Y6 Defendants have all filed a demurrer to the complaint.

  • Nickle Acquisition, LLC, et al v. Xponential Fitness, Inc., et al., filed February 3, 2025, Superior Court for the State of California, County of Orange, Case No. 30-2025-01459041- CU-AT-CXC. This action was filed by a CycleBar® and BFT® franchisee and its owners, Nickle Acquisition LLC, Michael Nickle, and Jana Nickle, (collectively, the "Nickle Plaintiffs") against (i) BFT Franchise Holdings, LLC and BFT Franchise SPV, LLC; (ii) CycleBar Franchising, LLC and CycleBar Franchising SPV, LLC; (iii) the Xponential Entities and Xponential Holdings LLC; (iv) H&W Investco LP and H&W Investco II LP; (v)

LAG Fit, Inc.; (vi) MGAG LLC;

Source: Item 3 — LITIGATION (FDD pages 13–17)

What This Means (2025 FDD)

According to Body20's 2025 Franchise Disclosure Document, Yoga Six Franchise, LLC (Y6) is involved in a lawsuit filed by Yoga Six franchisees, Enlightened Armadillo, Inc., et al. The defendants in this case, besides Y6, include Yoga Six Franchise SPV, LLC; the Xponential Entities; the H&W Entities; LAG Fit, Inc.; MGAG LLC; and individuals Anthony Geisler, Mark Grabowski, Lindsay Junk, Nate Chang, Jason Losco, Lance Freeman, Ryan Junk, Megan Moen, John Meloun, Sarah Luna, Brenda Morris, and Justin LaCava. The franchisees allege violations of pre-sale disclosure obligations, fraudulent inducement to invest in franchises, breach of the implied covenant of good faith and fair dealing, and unfair and deceptive trade practices. The franchisees are seeking declaratory and injunctive relief, rescission of their franchise agreements, actual and special damages, and attorneys' fees, costs, and interest. The defendants have filed a demurrer to the complaint.

While Body20 states it is not affiliated with Xponential, the FDD mentions that 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.

This litigation involving Yoga Six and related parties could indirectly affect Body20. The presence of key Body20 personnel like Lindsay Junk and Anthony Geisler (through Sequel Brands) in these lawsuits might raise concerns for potential Body20 franchisees. It could lead to increased scrutiny of Body20's franchise practices and financial stability, even though Body20 claims the lawsuits do not directly involve them. Prospective franchisees should carefully evaluate the potential impact of these ongoing legal issues on Body20's reputation and operations.

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.