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Business Organizations Keyed to Chasalow, 3rd Ed.
Miller v. McDonald’s Corp.
Citation:
150 Ore. App. 274, 945 P.2d 1107 (1997)Facts
The plaintiff, Joni Miller, was injured when she bit into a heart-shaped sapphire stone while eating a Big Mac sandwich at a McDonald’s restaurant in Tigard, Oregon. The restaurant was owned and operated by 3K Restaurants under a License Agreement with McDonald’s Corporation. This agreement required 3K to operate in accordance with the “McDonald’s System,” which included proprietary rights in trade names, service marks, trademarks, restaurant designs, color schemes, equipment layouts, food formulas, and detailed operational methods. McDonald’s provided extensive manuals covering business practices, policies, and procedures that 3K was required to follow. The agreement specified that 3K must comply with McDonald’s standards for food preparation, restaurant appearance, employee uniforms, and operational hours. McDonald’s periodically sent field consultants to inspect the restaurant’s operations, and 3K trained its employees according to McDonald’s materials. Despite these controls, the agreement stated that 3K was an independent contractor, not an agent of McDonald’s. The plaintiff testified that she patronized this restaurant because she relied on McDonald’s reputation and expected the same quality of service and food preparation she had experienced at other McDonald’s restaurants. Nothing in the restaurant’s appearance indicated to her that it was owned by anyone other than McDonald’s Corporation.
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