Changeflow GovPing Banking & Finance JKN Universe LLC - Franchise Fraud Consent Order
Priority review Enforcement Added Final

JKN Universe LLC - Franchise Fraud Consent Order

Favicon for dfi.wa.gov WA DFI Securities Enforcement
Filed March 5th, 2026
Detected April 6th, 2026
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Summary

The Washington State Department of Financial Institutions Division of Securities issued a Consent Order (S-24-3863-25-CO01) against JKN Universe, LLC for violating the Franchise Investment Protection Act (RCW 19.100.170). The company must pay $8,000 in investigative costs and is subject to a cease and desist order for making material misstatements regarding VVV Global's role in franchise operations.

What changed

JKN Universe, LLC was found to have violated RCW 19.100.170, the Franchise Investment Protection Act, by omitting material facts about VVV Global's involvement in the day-to-day operations of the franchise system. The Washington State regulator determined that statements made in connection with franchise offerings were misleading due to these omissions. The consent order imposes $8,000 in investigative costs and requires the company to cease and desist from the violative conduct.

Franchisors and franchise sellers operating in Washington State must ensure full disclosure of all parties involved in franchise operations, including any third parties performing day-to-day functions. Any franchise disclosure documents or offering materials should accurately reflect the roles of named partners and service providers. Prospective franchise investors should verify independently that disclosed partner roles match actual operational involvement.

What to do next

  1. Review franchise disclosure documents for accuracy of partner roles and operational involvement
  2. Ensure all material facts about third-party operators are fully disclosed in franchise offerings
  3. Verify that representations about VVV Global or similar partners are complete and not misleading

Penalties

$8,000 investigative costs; cease and desist order

Source document (simplified)

JKN Universe, LLC – Consent Order – S-24-3863-25-CO01

Case summary

On March 5, 2026, the Washington State Department of Financial Institutions Division of Securities entered a Consent Order (S-24-3863-25-CO01) against JKN Universe, LLC.

Order details

Order File: S-24-3863-25-CO01

Laws & Rules: RCW 19.100.170

Penalties/Remedies:

  • Investigative costs: $8,000
  • Cease and desist

Findings

JKN Universe, LLC violated RCW 19.100.170, the violation section of the Franchise Investment Protection Act, by making untrue statements of material fact or omitting to state material facts necessary to make the statements made, in light of the circumstances in which they were made, not misleading by omitting material information related to the role of VVV Global in the day-to-day operations of the franchise system.

Order file

View order file

Named provisions

RCW 19.100.170 Franchise Investment Protection Act

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Source

Analysis generated by AI. Source diff and links are from the original.

Classification

Agency
WA DFI Securities
Filed
March 5th, 2026
Instrument
Enforcement
Legal weight
Binding
Stage
Final
Change scope
Substantive
Document ID
S-24-3863-25-CO01
Docket
S-24-3863-25-CO01

Who this affects

Applies to
Investors
Industry sector
4539.9 Other Direct Selling
Activity scope
Franchise Investment
Geographic scope
Washington US-WA

Taxonomy

Primary area
Securities
Operational domain
Compliance
Topics
Consumer Protection Corporate Governance

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