What specific act does Brightstar Care deny committing in the Ryan's counterclaim?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
We initiated action against a former franchisee and its guarantors, whose franchise
agreement was terminated for clinical non-compliance, to enforce post-termination obligations (particularly the non-competition and non-solicitation requirements) and to seek payment of post-term liquidated damages and other amounts totaling at least $700,000. On or about March 21, 2025, the respondents Ryan Home Healthcare, LLC and Colleen M. Ryan filed counterclaims against us for breach of the franchise agreement and a related forbearance agreement, breach of the duty of good faith and fair dealing, tortious interference with their efforts to transfer their franchise agreement and business, civil conspiracy with respect to the proposed transfer, and violation of the Illinois Franchise Disclosure Act for alleged wrongful termination and discrimination among franchisees. The counterclaims seek in excess of $2 million, interest, attorneys' fees, costs, and punitive damages. We intend to pursue our claims and defend against the counterclaims vigorously.
Source: Item 3 — LITIGATION (FDD pages 15–16)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, Brightstar Franchising, LLC initiated action against a former franchisee, Colleen M. Ryan, Daniel D. Ryan and Ryan Home Healthcare, LLC, due to clinical non-compliance. The action was to enforce post-termination obligations, particularly the non-competition and non-solicitation requirements, and to seek payment of post-term liquidated damages and other amounts totaling at least $700,000.
In response, Ryan Home Healthcare, LLC and Colleen M. Ryan filed counterclaims against Brightstar Care. These counterclaims allege breach of the franchise agreement and a related forbearance agreement, breach of the duty of good faith and fair dealing, tortious interference with their efforts to transfer their franchise agreement and business, civil conspiracy with respect to the proposed transfer, and violation of the Illinois Franchise Disclosure Act for alleged wrongful termination and discrimination among franchisees. The Ryans are seeking in excess of $2 million, interest, attorneys' fees, costs, and punitive damages.
Brightstar Care intends to pursue their original claims against the Ryans and defend against the counterclaims vigorously. The document does not specify which particular allegations Brightstar Care denies, only that they intend to defend against all of the counterclaims.