Lawsuit over ice machines: McDonald’s to pay $ 900 million


The error-prone ice cream machines at McDonald’s have now become a permanent gag on the Internet. The startup Kytch has therefore developed a device that is built into the machines and enables remote maintenance. This is intended to avoid high repair costs and loss of sales due to failures.

Kytch is now suing McDonald’s for $900 million in damages, Wired reports. The reason for this are emails that the fast food company is said to have sent to its franchisees. It says the gadget violates the ice machines’ warranty and intercepts confidential information. In addition, serious injuries can occur if a machine is serviced remotely and at the same time it is cleaned by an employee, for example. The Kytch device must therefore be removed immediately.

Startup against McDonald’s: Plaintiffs want to be reimbursed for lost sales

McDonald’s has to answer in court.

IMAGO

Kytch vehemently rejects these allegations and insists that there are official certificates confirming the safety of the gadget. In addition to the internal mail, McDonald’s also approached other companies such as Coca-Cola and Burger King and warned against buying the Kytch devices.

Sales then plummeted. In court, the founders Melissa Nelson and Jeremy O’Sullivan now want to ensure that McDonald’s pays for this damage.

However, it is still unclear why McDonald’s was so actively involved against Kytch in the first place. The only thing that is certain is that the manufacturer of the ice cream machines, Taylor, has a great interest in ensuring that the devices continue to have to be repaired frequently. In 2018, around a quarter of sales were generated with maintenance work.



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