McDonald's Sued Over Alleged Algorithmic Price-Fixing With Franchisees

MT Newswires Live03:18

McDonald's (MCD) is facing a proposed class-action lawsuit alleging it used an algorithm-driven pricing tool to fix menu prices across its US restaurants, according to a complaint filed in federal court.

Michael Thomas, a customer, filed the suit Oct. 2 in the US District Court for the Northern District of Illinois, alleging that McDonald's has run a machine-learning "pricing engine" since at least 2019 that uses franchisees' confidential sales data to recommend menu prices, resulting in inflated prices for consumers.

The complaint also alleges McDonald's pressured franchisees to use the tool and has required its use since January 2026.

Thomas seeks damages and an injunction under Section 1 of the Sherman Act and Illinois consumer protection and antitrust laws.

McDonald's has disputed the claims, said it doesn't use dynamic pricing, as per several US news reports. It said it provides franchisees with the tools and resources to help them make decisions.

McDonald's didn't immediately respond to a request for comment.

Price: 232.43, Change: +0.54, Percent Change: +0.23

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