Does Brueggers Bagels have any pending administrative, criminal, or material civil actions alleging a felony?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
BFC REPRESENTS THAT THIS DISCLOSURE DOCUMENT DOES NOT KNOWINGLY OMIT ANY MATERIAL FACT OR CONTAIN ANY UNTRUE STATEMENT OF MATERIAL FACT.
Item 3, Additional Disclosures.
Neither BFC nor any person listed in Item 2:
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- Has any administrative, criminal or material 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. There are no pending actions, other than routine litigation incidental to the business, which are significant in the context of the number of EBF franchises and the size, nature or financial condition of the System or its business operations.
Source: Item 23 — RECEIPTS (FDD pages 61–335)
What This Means (2025 FDD)
According to Brueggers Bagels's 2025 Franchise Disclosure Document, Bruegger's Franchise Corporation (BFC) states that neither BFC nor any person listed in Item 2 has any pending administrative, criminal, or material civil action alleging a felony. This declaration provides assurance to potential franchisees regarding the legal standing of Brueggers Bagels and its key personnel.
However, there is an exception for routine litigation incidental to the business. The disclosure clarifies that such routine litigation is not considered significant given the number of existing Brueggers Bagels franchises, as well as the size, nature, and financial condition of the Brueggers Bagels system and its business operations. This suggests that while minor legal issues may arise, they are not substantial enough to pose a major risk to the franchise system.
The FDD also states that BFC represents that the disclosure document does not knowingly omit any material fact or contain any untrue statement of material fact. This statement reinforces the franchisor's commitment to transparency and accuracy in its disclosures, which is crucial for prospective franchisees making informed decisions.