McDonald’s Settles Lawsuit With Michigan Muslims

The outline of the settlement was negotiated in January

   

McDonald’s Settles Lawsuit With Michigan Muslims

04 05 11 McDonalds web 300x200 McDonalds Settles Lawsuit With Michigan MuslimsA Michigan judge has approved the settlement of a class-action lawsuit against McDonald’s (NYSE:MCD) over improper sales of non-halal chicken.

The lawsuit began after Ahmed Ahmed, a Muslim, purchased chicken that was advertised as being prepared in accordance with Islamic halal requirements at a Dearborn, Mich., McDonald’s. Concerned that the food might not have been prepared as advertised, he contacted an attorney who discovered that the restaurant sometimes sold non-halal foods as halal when it ran out of the halal items, the Press and Guide noted.

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McDonald’s and the franchise owner of the restaurant agreed to a $700,000 settlement in January. Under the settlement, Ahmed will be paid $20,000, while his lawyers will get $286,941.  A local clinic that caters to Muslim patients will receive $274,000, and the Arab American National Museum will get $115,559.

An attorney for Ahmed said the money would be paid to the recipients inside 30 days. Only two U.S.-based McDonald’s restaurants — both located in Dearborn — sell halal foods.

Shares of McDonald’s fell more than 1% in Thursday morning trading.


Article printed from InvestorPlace Media, http://investorplace.com/2013/04/mcdonalds-settles-lawsuit-with-michigan-muslims/.

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