How much did Learningrx agree to reimburse in administrative costs to settle the claim with the Commonwealth of Virginia?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
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ITEM 3 LITIGATION
Governmental Actions:
In the Matter of the Commonwealth of Virginia vs. LearningRx Franchise Corporation, Consent Order SEC-2009-00071. On or about October 15, 2009, LearningRx Franchise Corporation entered into a consent order with the state of Virginia in full settlement of a claim that LearningRx had offered one franchise in the state of Virginia prior to the completion of the registration process allowing it to do so. Pursuant to the consent order agreed to by LearningRx, and without admitting nor denying the claim, a rescission was offered to the Virginia consumer who had entered into a franchise agreement with LearningRx and LearningRx agreed to reimburse adminis
Source: Item 3 — LITIGATION (FDD page 12)
What This Means (2025 FDD)
According to Learningrx's 2025 Franchise Disclosure Document, a consent order was entered into with the state of Virginia on or about October 15, 2009. This order was in full settlement of a claim that Learningrx had offered one franchise in Virginia before completing the registration process required to do so.
Without admitting or denying the claim, Learningrx offered rescission to the Virginia consumer who had entered into a franchise agreement. As part of the consent order, Learningrx agreed to reimburse administrative costs of $1,800 to settle all claims related to this matter.
This settlement indicates that Learningrx had a prior issue with regulatory compliance in Virginia. Prospective franchisees should ensure that Learningrx is currently in full compliance with all applicable state and federal regulations, and should carefully review Learningrx's history of regulatory compliance to assess any potential risks.