McDonald's Case
Essay by n3twOrK_89 • November 7, 2012 • Case Study • 336 Words (2 Pages) • 1,394 Views
In August 1992, 81 year-old Stella Liebeck pulled up to a McDonald's drive-through
window in Albuquerque, New Mexico, to purchase a cup of coffee. After buying a 49-
cent cup of coffee, Liebeck placed the coffee container between her legs, removed the lid,
and proceed to pull away from the drive-through window. As she drove away, coffee
spilled. She suffered from second and third degree burns on her inner thighs, buttocks,
and groin area. Treatment of the inquiries required hospitalization and surgery. Stella
Liebeck asked McDonald's to reimburse her with a $11,000 for medical bills.
McDonald's responded to Liebeck's request by presenting her with a counteroffer of a
lesser amount. Dissatisfied with that offer, Liebeck sought legal representation.
During the trial, attorneys for Liebeck argued that McDonald's was negligent in its
failure to reduce the temperature of its coffee. According to Morgan, McDonald's
officials have known about hundreds of java-related injuries dating back to 1978, and
could easily have solved the problem by serving their coffee at a lower temperature.
Testimony from an array of burn experts approximately support this argument. The
temperature of the coffee that injured Liebeck was estimated at between 180-l 90 degrees
based on advice from a coffee consul.tant, who said that its coffee is served at tastes best
at that temperature. The restaurant had received more than '7~0 reports ,,f coffee burns
ranging from mild to third degree.
In August 1994, almost 2 years after Stella Liebeck had been burned. anAlburquerque,
New Mexico jury decided in favor of the plaintiff. The jury awarded Liebeck $2.7
million in punitive damages and $160,000 in compensatory damages -a sum almost tern
times the $300,000 originally sought. McDonald's said it believed the settlement was
excessive and immediately followed with a statement announcing it would appeal the
decision. McDonald's coffee continues to be served at the 180 to 190 degree industry
standard.
i. Who
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