Legacy Academy franchise complaints include deceptive and illegal earnings claims, and exaggerated potential profits, furnished to prospective franchisees.
Are you familiar with the Legacy Academy franchise? Please share your opinion or insight – positive or negative – as a comment below.
(UnhappyFranchisee.Com) According to the Legacy Academy child care franchise website, “Legacy Academy offers investors an exciting opportunity to earn a profitable return, while helping families and children with our very successful Daycare Franchises.
“Legacy Academy’s, success is tied to the success of each new childcare franchisee, so it is our goal for each franchisee to build and manage a well-run and profitable center. Franchise operation is not for everyone but it is one of the most secure forms of business operation available for those with good business skills and a desire to be successful by following a proven system.
“Ours is a massive open market with tremendous potential.
“The minimum investment to begin operating a Legacy Daycare Franchise is approximately $405,000 + Operating Capital. Legacy will work to help you obtain the necessary financing, choose the best site, build and begin operating your new center.”
Legacy Academy: Franchisee Litigation & Controversy
Legacy Academy is a small chain with a (relatively) massive number of franchisee lawsuits and complaints.
As we reported in the post LEGACY ACADEMY Ichter Thomas Wins Suit for Legacy Academy Franchise Owners, a jury awarded former Legacy Academy franchise owners Michele and Lorraine Reymond $1,155,000 after concluding Legacy made misleading and deceptive earnings claims to the Reymonds as an inducement to enter into a franchise agreement.
After hearing a case presented by attorney Cary Ichter, the jury concluded that Legacy and its owners and officers—Frank and Melissa Turner—had engaged in at least two acts of theft by deception, which is a criminal offense.
As of April, 2013, Legacy was involved in five (5) other lawsuits with former Legacy franchisees, all of whom are represented by Ichter Thomas, LLC, and all of who have similar claims alleging fraud and/or a pattern of racketeering activity.
In 2010, the Superior Court of Gwinnett County confirmed an arbitration award finding Legacy had given “misleading financial information” to prospective franchisees, awarding five (5) former franchisees more than $1 million in damages and rescinding both $1 million in promissory notes and their franchise agreements.
That’s a total of eleven (11) lawsuits, which just happens to be the same as the number of Legacy Academy daycare centers listed on the company website.
UPDATE!!! The Georgia Supreme Court reversed the decision in Michelle & Lorrane Reymond’s (Mamilove, Inc.) lawsuit and ruled in Legacy Academy’s favor. That nullified the damages award. Read the Judge’s decision and what the franchisee’s did wrong here: LEGACY ACADEMY, INC. v. Mamilove LLC Franchisee Award Reversed (Court Ruling)
Has Legacy Academy Ceased Its Deceptive Franchise Practices?
The Legacy Academy website lists 11 child care locations in Florida (Lake Mary), Georgia (Berkeley Lake, Flynn Crossing, Satellite, Snellville, Suwanee, Suwanee Dam), North Carolina (Morrisville, Chapel Hill), & South Carolina (Greenville, Woodruff Rd.).
One would think that perhaps after 11 legal disputes involving deceptive sales practices, Legacy Academy and it owners Frank and Melissa Turner may have learned their lessons, cleaned up their acts, seen the light, and raised themselves up onto the righteous path of franchise sales compliance, stellar franchisee support, and positive franchisee-franchisor relations.
In addition to inviting franchisee complaints, UnhappyFranchisee.Com has also invited Legacy Academy to provide us with a rebuttal, explanation, clarification or other statement regarding these franchisee complaints. We have also asked them to tell us what changes they have made in their franchise sales process and their franchisee relations efforts as a result of these lawsuits.
Disclosure: Cary Ichter and Ichter Thomas law firm are featured in the UnhappyFranchisee.Com Franchise Attorney Directory.
ARE YOU FAMILIAR WITH LEGACY ACADEMY CHILD CARE OR THE LEGACY ACADEMY FRANCHISE OPPORTUNITY? PLEASE SHARE A COMMENT BELOW.
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