McDonald’s exits Sri Lanka, terminates agreement with franchisee over poor hygiene
9 months, 2 weeks ago

McDonald’s exits Sri Lanka, terminates agreement with franchisee over poor hygiene

Op India  

American fast food chain McDonald’s has ended an agreement with its local partner, Abans, in Sri Lanka. According to reports, the development comes after McDonald’s had launched a legal battle against its local partner Abans over allegations of “poor hygiene”. According to a report in the Sri Lankan outlet Daily Mirror, the Colombo Commercial High Court issued an order on 24th March preventing Abans from using McDonald’s brand name in any manner possible. A court official said, “The closure was ordered pending an investigation.” Lawyers for McDonald’s told the court that they had terminated a franchise agreement with local company Abans last week. The plaintiff states that it has terminated the right of the defendant to use the name McDonald’s or any name in any way or manner similar to the name McDonald’s and to use any name that would convey to the public that the said restaurant is in any way or manner connected to the McDonald’s, Sri Lankan outlet Daily Mirror reported.

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