Burger King Holdings Inc. won dismissal of part of a lawsuit brought by franchisees over the $1 double cheeseburger promotion, but a Miami court will hear arguments on whether the company acted inappropriately in implementing the deal.
On Thursday, U.S. District Judge K. Michael Moore ruled that Burger King can set maximum prices that franchisees must follow, a victory for the parent company.
But the franchisees said they scored some wins as well.
The court will now hear arguments on the franchisees’ claim that Burger King acted in bad faith in implementing the $1 double cheeseburger promotion, which many franchisees said forced them to sell the double cheeseburger at a loss.
Related reading at DDIFO.org: Have It Whose Way: Franchisees or Franchisor? Burger King franchisees fight to have it their way