Does Cr3 American Exteriors have any pending criminal actions alleging embezzlement?
Cr3_American_Exteriors Franchise · 2025 FDDAnswer from 2025 FDD Document
With the exception of what is stated above, the following applies 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 53–150)
What This Means (2025 FDD)
According to Cr3 American Exteriors' 2025 Franchise Disclosure Document, there are no pending criminal actions alleging embezzlement against the franchisor, its predecessor, any person identified in Item 2, or an affiliate offering franchises under the franchisor's principal trademark. The FDD confirms that no such party has an administrative, criminal, or civil action pending against them alleging a felony, a violation of franchise, antitrust, or securities law, fraud, embezzlement, fraudulent conversion, misappropriation of property, unfair or deceptive practices, or comparable civil or misdemeanor allegations.
This statement provides assurance to potential franchisees that the key figures associated with Cr3 American Exteriors are not currently facing legal action related to financial impropriety or other significant legal violations. This lack of pending actions is a positive indicator, suggesting a stable and legally compliant leadership.
It is important to note that this disclosure only pertains to pending actions. The document also states that there are no 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. Furthermore, the FDD confirms that 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. This provides further reassurance regarding the financial and legal standing of Cr3 American Exteriors and its key personnel.