Was the dismissal of the lawsuit against Floyds 99 Franchising, LLC with or without prejudice?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
lution/Columbia Care) in Denver, Colorado.
ITEM 3. LITIGATION
Matthew Chavez and Nicole Deis v. Roise Barbers, Inc., Jonathan M. Roise, Floyd's 99 Holdings, LLC and Floyd's 99 Franchising, LLC, No. 37-2020-00040793-CU-OE-CTL (Superior Court of the State of California for the County of San Diego, filed November 6, 2020). On March 27, 2023, Plaintiffs filed a Second Amended Class Action Complaint to add Floyd's 99 Holdings, LLC and Floyd's 99 Franchising, LLC as defendants to the lawsuit previously filed against Roise Barbers, Inc., a FLOYD'S 99 franchisee,
and Jonathan Roise. Plaintiffs are former employees of Roise Barbers, Inc., and sought damages, relief and restitution under California law for alleged employment and labor violations. Plaintiffs alleged that Floyd's 99 Franchising, LLC was liable as a joint employer or co-employer with Roise Barbers, Inc. On June 14, 2023, Floyd's 99 Holdings, LLC was removed from the litigation when it was dismissed without prejudice. On September 6, 2024, Floyd's 99 Franchising, LLC paid $2,500 as part of a larger settlement with Defendants in order to avoid additional attorneys' fees and all parties entered into a Settlement and Release Agreement. On Dec
Source: Item 3 — LITIGATION (FDD pages 13–14)
What This Means (2025 FDD)
According to the 2025 Floyds 99 Franchise Disclosure Document, a lawsuit involving Floyds 99 Franchising, LLC was dismissed without prejudice. The lawsuit, initially filed in the Superior Court of the State of California for the County of San Diego on November 6, 2020, involved Matthew Chavez and Nicole Deis as plaintiffs and Roise Barbers, Inc., Jonathan M. Roise, Floyd's 99 Holdings, LLC, and Floyd's 99 Franchising, LLC as defendants. The plaintiffs, former employees of a Floyds 99 franchisee, Roise Barbers, Inc., alleged employment and labor violations, claiming that Floyds 99 Franchising, LLC was liable as a joint employer or co-employer.
Floyds 99 Holdings, LLC was dismissed from the litigation without prejudice on June 14, 2023. Subsequently, on September 6, 2024, Floyds 99 Franchising, LLC paid $2,500 as part of a settlement to avoid further legal costs, and all parties signed a Settlement and Release Agreement. The court then dismissed the lawsuit against Floyds 99 Franchising, LLC without prejudice on December 12, 2024.
The dismissal of the lawsuit "without prejudice" means that the case was dismissed, but the plaintiffs retain the right to bring the same claim again in the future. This contrasts with a dismissal "with prejudice," which would permanently bar the plaintiffs from refiling the lawsuit. For a prospective franchisee, this indicates that while the specific legal matter was resolved, there remains a possibility of similar claims being brought again, although Floyds 99 took steps to settle and release themselves from the suit.