Burger King's National Franchisee Assoc. Sues McDonald's Over Rigged Promotional Games

The National Franchisee Association, Inc. ('NFA'), the official representative of the Burger King(R) franchisee community, announced it has filed a lawsuit against McDonald's Corporation seeking damages for unfair competition arising from McDonald's 'false, deceptive and/or misleading representations concerning promotional games that McDonald's used to attract customers to its restaurants and enhance customer loyalty from 1995 (if not earlier) through at least August 2001.' Approximately 50 people have pled guilty to criminal charges associated with the rigging of these McDonald's games.

The suit was filed in the United States District Court for the Northern District of Georgia, Atlanta Division under the Lanham Act, which prohibits false advertising to protect not only the rights of deceived consumers, but also the rights of competitors against unfair competition. The suit alleges that McDonald's rigged promotional games diverted business away from Burger King franchisees restaurants and allowed McDonald's to generate windfall profits, customer loyalty and market share that it would not otherwise have obtained.

Details here from Restaurant News Resource.