Each week, Crowell & Moring’s State Attorneys General team highlights significant actions that State AGs have taken. See our State Attorneys General page for more insights. Below are the updates from June 4-10, 2026:

New York

• New York Attorney General James secured a settlement exceeding $3.9 million from Xponential Fitness, Inc. and its current and former subsidiaries, resolving allegations that the company violated New York’s Franchise Sales Act by providing prospective franchise owners with materially misleading estimates of how long it would take to open new studio locations. OAG’s investigation found that while Xponential consistently disclosed opening timelines of three to six months in Franchise Disclosure Documents filed with the state, the company simultaneously reported substantially longer timelines—as many as 15 months—in annual reports filed with the U.S. Securities and Exchange Commission. The $3,971,250 settlement will be distributed entirely as restitution to impacted franchisees, with $3,000,000 allocated among 70 franchisees who experienced longer-than-disclosed opening delays and $971,250 paid to 25 franchisees who were ultimately never able to open their studio locations.