Industry News | December 18, 2000

Federal Court Rules In Favor of Burger King

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Judge Marianne Battani of the United States District Court for the Eastern District of Michigan entered a summary judgment today dismissing all claims made by La-Van Hawkins and his operating companies against Burger King Corporation (BKC), thereby paving the way for BKC to pursue an injunction that would demand Hawkins to relinquish control of the restaurants. Burger King Corporation had been attempting to reach a settlement with Hawkins for more than 18 months and began seeking relief through the courts in April 2000.

"We are pleased by the court's ruling. It's well reasoned and applies the law correctly,'' said Barry Blum, chief legal counsel for Burger King Corporation. "This ruling will allow us to now focus our attention on an orderly transition of Mr. Hawkins' 22 restaurants in Chicago, Detroit, Atlanta and Maryland. It is our hope that we can come to terms with Mr. Hawkins to transfer ownership as quickly as possible, thereby assuring the employees, suppliers, and customers that these restaurants will remain open.''