A Kentucky-based company has filed a McDonald’s lawsuit on false advertising and unfair competition charges. The company, called Kytch, makes a tool that can repair the broken soft-serve ice-cream machines at McDonald’s restaurants. It claims that the chain is liable for injuries and loss of sales resulting from the device’s failure. If the company wins the case, it will get millions of dollars from the fast-food giant.
Another McDonald’s lawsuit came from the Hot Coffee Case, where a woman filed suit after spilling hot coffee on her lap and was hospitalized.
According to the McDonald’s Encyclopedia, the company has faced numerous lawsuits in its seventy-year history. Most of these lawsuits involved branding issues. In one case, a McDonald’s employee claimed that an African-American franchisee had defamed the company, which was widely considered a public relations disaster.
McDonald’s is pursuing this lawsuit because of its former CEO, Stephen Easterbrook, who was fired last fall.
Investigators found that Easterbrook had an affair with a subordinate, and the company subsequently fired him. As a result, McDonald’s filed a lawsuit to recover the settlement and pay him back his $40 million severance package. The lawsuit also alleges that Easterbrook lied about his relationship with McDonald’s employees, resulting in his termination.
The court ruling in the McDonald’s v. Apple restaurant case reveals a complex case involving the monopoly of the McDonald’s brand.
Applebee’s, for example, has sued several other fast-food companies, and the company was found not guilty of the charges. The company has since settled the case, and the two companies have settled. If the case is settled, it will affect several franchises.
