Mcdonalds to pay $10 Mil in Beef lawsuit

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Indo-American wins $10-mn case

 

IANS [ FRIDAY, NOVEMBER 01, 2002 12:58:19 AM ]

 

NEW YORK: A US court has approved a $10 million settlement in a

lawsuit by an Indian American against McDonald's Corporation for

misleading customers who don't eat meat by using beef extracts in its

fries.

 

 

 

It did not approve the list of organisations submitted by the fast

food giant for receiving the funds.

 

 

 

Punjab-born Harish Bharti, the feisty lead counsel in the case Sharma

versus McDonald's, said he was elated with the victory for

consumers.

 

 

 

Bharti has filed several cases across the US, in California,

Washington state and Illinois, claiming McDonald's used meat

additives to its fries and hash browns long after making a 1990

pledge to cook them in vegetable oil. McDonald's has admitted to

using beef extract, not beef tallow in fries.

 

 

 

"I won on both counts — I won on the settlement and at the same time

I did not want McDonald's to give the money to its favourites," the

49-year-old Bharti said.

 

 

 

McDonald's had submitted a list of groups it thought should receive

the money. "I opposed the list... I thought it improper because it

included some consultants of McDonald's, and I asked the court to

approve the settlement but not the list. The court could have very

well not agreed to my request. This was a very smart judge." Judge

Richard Siebel of the Chicago Circuit Court of Cooke County in his

ruling said: "The court finds that the settlement is fair, reasonable

and adequate, and is in the best interests of the class."

 

 

 

The case was heard in Cooke County because McDonald's has its

headquarters there, but it will have national implications.

 

 

 

"The court can enforce jurisdiction, because it is not over today,"

Bharti said. "The court has to make sure they comply with the

agreement." Bharti has requested the court to appoint a special

master to determine who should receive the funds. That hearing is

scheduled for January 2003.

 

 

 

"I am very happy and very proud. McDonald's apology has already been

published. The advisory board will be set up. Disclosure has been

done. My clients and consumers have already got the benefits. The

money is also resolved and all I am trying to say is that nobody who

is eligible should be deprived."