Plus, McDonald’s franchisees are begging for a chicken sandwich like Chick-fil-A’s, and more news to start your day
. The jury found that Huy Fong Foods broke its contract with Underwood Ranches and committed fraud by misrepresenting and concealing information.
Huy Fong first filed a lawsuit against Underwood Ranches in 2017, alleging that the ranch owes the hot sauce manufacturer $1.5 million for not refunding an overpayment and terminating their partnership. Underwood countered with a $20 million lawsuit of its own, alleging that Huy Fong breached its verbal contract and owed them for costs incurred preparing for future crops. The jury, in siding with Underwood, found that Huy Fong owed Underwood for two years of monetary losses, totaling $14.
Undergirding everything revealed in the three-week trial was the human drama of how the decades-long relationship between David Tran, founder and CEO of Huy Fong Foods, and Craig Underwood, of Underwood Ranches, deteriorated. They had been “like family,” ; Underwood had attended the weddings of Tran’s children. “A relationship that lasted 28 years, today, we ended up in court.”McDonald’s U.S. franchisees want a Southern-style “premium” chicken sandwich to compete with Chick-fil-A, which is now the nation’s third-largest restaurant chain by sales, and the top-ranked in customer satisfaction. “A Chicken Sandwich at McDonald’s should be our top priority,” a board of operators wrote in an email.
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