Why has the Zoomin Groomin franchisor been required to supplement Item 3 in Washington?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
-
- Franchisor has been required to supplement Item 3 in Washington in furtherance of the objectives of the Washington Franchise Investment Protection Act. Accordingly, Franchisor makes the following additional disclosures related to its litigation history:
Asbestos Workers' Philadelphia Pension Fund, derivatively on behalf of Liberty Tax, Inc., v. John Hewitt. Defendant, and Liberty Tax, Inc., Nominal Defendant, (Case No. 2017- 0883), Erie County Employees Retirement. System, on behalf of Liberty Tax, Inc. v. John T. Hewitt. Defendant, and Liberty Tax, Inc. Nominal Defendant, Case No. 2017-0914, and RSL Senior Partners, LLC, derivatively and on behalf of Liberty Tax, Inc. v Brunot et al, (Case No. 2:18-cv-00127-HCM-DEM).
Source: Item 17 — g. of the Disclosure Document is modified to state that, in addition to the grounds for immediate termination specified in Item 17.h., the franchisor can terminate upon written notice and a 60 day opportunity to cure for a breach of the Franchise Agreement. (FDD pages 51–65)
What This Means (2025 FDD)
According to the 2025 Zoomin Groomin Franchise Disclosure Document, the franchisor has been required to supplement Item 3 in Washington to comply with the Washington Franchise Investment Protection Act. As a result, Zoomin Groomin provides additional disclosures related to its litigation history in Washington.
Specifically, the FDD lists several cases related to Asbestos Workers' Philadelphia Pension Fund, Erie County Employees Retirement System, and RSL Senior Partners, LLC, all involving John Hewitt and Liberty Tax, Inc. These cases are listed by name and case number.
This requirement ensures that prospective Zoomin Groomin franchisees in Washington are fully informed about the franchisor's litigation history, allowing them to make well-informed investment decisions. Supplementing Item 3 addresses concerns and objectives outlined in the Washington Franchise Investment Protection Act, providing greater transparency.