Legal & Taxation

McDonald’s is no doubt the biggest fast food brand in the world historically. By all accounts, it's a globally recognized brand with an unmatched mainstream appeal. It caters to everyone–from high-ranked corporate CEOs to 12-year-old schoolgirls. It's recognized as one of the largest global employers in the private sector. It is so iconic, that it has even been honoured with a massive 23,000-pound quarter-pounder-shaped sculpture, which also acts as a piece of modernist art. However, it's not all gravy (pun intended) as it appears to be. Read between the lines, and you’ll find a fair amount of unpleasant history that is far shadier than what anyone would expect from a mass-market, family-friendly, mainstream food products brand (unless Pizza Hut on the FBI watchlist? we don't know). There is no doubt that despite its massive success and global presence, it has been a magnet for controversy throughout its history. And at this point, all of that has become somewhat difficult to ignore. McDonald’s rapid expansion throughout the years has raised just as many questions, as it has sold burgers. You don’t have to be a food blogger/historian to be aware of that. It’s always a good time to start a healthy (okay, pun definitely not intended) conversation about this mega-successful but culturally polarizing food brand. Whether you’re someone who has Ronald McDonald pillows at home or an avid health junkie who has been scrutinizing the nutritional value of each 'Fillet-O-Fish'; this is something really worth exploring. And what better place to start with the aspect of McDonald’s that's both the most popular and the most controversial: The McDonald’s Happy Meal. So let’s crack on. Commercializing fast food to a whole new level To quote Oscar Wilde: “The best way to make money is to make children happy.” Okay, I’m just kidding. He never said that. But getting more to the point, it remains ultimately the reason the Happy Meal became so popular in the first place. It wasn't shy about pandering to its core demographic: kids. You may argue that everyone basically does that these days, sure. However, bars that offer drink discounts to couples on Valentine’s Day don’t offer brand collaborations with Star Wars, especially when there is a new film release around the corner. Whatever it takes to sell burgers is fair game.... Yup, McDonald’s was ahead of the game in realizing that their main job wasn’t to sell burgers, it was to commercialize everything around them. By offering franchise ‘toys’ with their meals, and incentivizing the scheme as much as possible —they pretty much ensured that every child around the world would at least pester their parents once into buying them a Happy Meal. For better or worse (mostly worse), they were right. In fact, the Happy Meal itself was invented by Bob Bernstein, an advertising executive in the late 1970s. Who, in his own words , came up with the concept while observing parents desperately trying to pander to their kids to keep them happy during public outings. That’s right, it is an item on a menu that’s invented by an advertising executive. This strikes home the universal basic truth for those who still thought McDonald’s had some culinary merit. The goal is to sell as many burgers as possible. Not to try to make the most delicious burgers possible. This being the reason that the term ‘McDonaldization’ exists in society. McDonald’s is to foodies/burger fans what Deadpool is to hardcore cinephiles: An object of pure mockery and scorn; a symbol of pure, unashamed commerciality. Lawsuits, lawsuits, and more lawsuits Rules of nature state that you can be either a hero or a villain. You can’t be both. So it’s good to know that McDonald’s doesn’t even try to be a hero. It’s more than happy being the villain as long as it’s making money. But in real life, there are no clean getaways. Everything comes at a cost. McDonald’s is a company that has often discovered this the hard way. McDonald's history is covered with shady, gloomy skies McDonald’s has, more than once (euphemism, of course) been sued for ‘unethical marketing’ regarding Happy Meals. This ranges from everything from concerned parents, to regulatory bodies, who deem the practice of professional athletes promoting fast food as creating ‘false images’. The Happy Meal, most infamously has been directly name-checked by major media publications as being one of the leading causes in childhood obesity. Not a good look for a product that is openly targeted towards kids. As recently as the 2020s , McDonald’s has faced a string of lawsuits that have repeatedly reared their ugly head. In fact, between 2020 and 2022; a record 200 overall lawsuits were filed against fast food companies; with McDonald’s representing a huge part of the tally. While a lot of them are just frivolous lawsuits from idiots looking to make a quick buck; a lot of them actually have been settled legally in court (including some famous ones). This implies that there was some truth to them. In one of the most bizarre incidents, the company was found liable to have ‘burned a child’ through overly hot Happy Meal cases. In case you think we’re kidding; you can read all about it here. Put simply, McDonald’s has always been an open target for lawsuits. These include ones from its own staff, who have repeatedly sued it for unsafe, dangerous, sexual-harassment-ridden working environments. Alongside law firms who straight-up seem to hate the company. Not only that, but the legal fiascos extend globally as well with McDonald’s joints in UAE, Japan, India, etc. getting into all sorts of legal troubles. This is a brand that gets more infamous and disreputable, the more it gets successful. As much as everyone seems to dislike McDonald's; no one dislikes it more than its market competitors. Which brings us to our next point.... No respect from the competition Competition is the fuel for a free market and a healthy, working economy. If you respect your competition, you create a product to compete with it. This creates innovation, new jobs, market opportunities, and moves the industry forward. If you despise your competition though, you conduct PR smear campaigns or file lawsuits. And that’s exactly what other brands have done to McDonald’s. The long-talked-about history between Burger King and McDonald’s is well documented. With decades-long back-and-forth of public callouts, slander campaigns, PR hit pieces, and advertising doubling as a direct attack. Both companies paid top agencies and PR experts an insane amount of money to essentially let the public know how much they hated each other. https://www.youtube.com/watch?vqvh8uT68hFQ In 1999, McDonald’s was somehow, brave enough to take Burger King to court, claiming their special “Big Kids Meal” was a ripoff of the Happy Meal. Since then though, they themselves have remained a consistent target from fellow fast food food joints and food authorities who have consistently questioned their advertising ethics and portion sizes. The latest one being settled as recently as 2023. It’s great to see that multinationals who create products to sell to 12-year olds have similar levels of mentality and maturity. Maybe that creates an authentic ‘customer experience’? Who knows…. More on McDonald's happy meal! We hope you enjoyed this calorie-packed deep dive (pun intended, obviously). In part two, we’ll pull back the curtain even further, diving into the economics behind the Happy Meal and how it plays into McDonald’s bottom line. We’ll also explore its toys—the good, the bad, and the downright questionable—along with the love/hate relationship they inspire in consumers. Trust us, you don’t want to miss it. But before we get into all that, we’d love to hear from you. Have any thoughts on McDonald’s, fast food controversies, or corporate giants? Is Ronald McDonald your hero or your villain? Whatever your take, we’re all ears. Drop a comment below or shoot us an email at editor@mindbrews.in if you’re into unpacking topics like this. Who knows? Maybe your thoughts will kick off our next great debate. And remember, if you’re ‘lovin’ it,’ let us know in the comments section below.

The McDonald’s Happy Meal: A History of Controversy (Part One)

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