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Miller v. McDonald's Corp.

Court of Appeals of Oregon

945 P.2d 1107 (1997)

Relevant factsFree

Miller (plaintiff) sued McDonald's Corporation (defendant) after biting into a sapphire stone in a Big Mac purchased at a restaurant actually operated by franchisee 3K Restaurants under a franchise agreement that tightly controlled 3K's operations to make the restaurant appear identical to any other McDonald's — same signage, food, uniforms, and service standards — while the agreement itself labeled 3K an independent contractor solely responsible for injuries. Aside from a small sign near the front counter listing 3K as owner, nothing distinguished the restaurant from any other McDonald's, and Miller testified she chose the restaurant specifically because it looked like every other McDonald's and she expected the same food and service; the trial court nonetheless granted McDonald's summary judgment, holding it did not own or operate the restaurant and therefore was not liable.

IssueFree

Whether a franchisor is liable for the negligence of a franchisee that is subject to an agreement requiring it to operate in a manner that closely associates it with the franchisor.

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