In the Liebeck v. McDonalds case, here’s what the media failed to mention:
Ms. Liebeck wasn’t even driving. She was in the passenger seat with her nephew who had just accepted food from the drive-thru.
Ms. Liebeck attempted to settle with McDonalds for $20,000 to cover her past medical expenses, future medical expenses and loss of income. McDonalds countered with a settlement offer of $800.
$800 for:
The coffee scalded Mr. Liebeck’s groin, thighs, and buttocks and, after going to the hospital, where she remained for eight days, it was determined that there were third-degree burns on six percent of her body and lesser burns over 16%. During her hospital stay, Ms. Liebeck lost 20 pounds (which lowered her weight to 83 pounds) as she underwent multiple skin graft operations. Two more years of treatment and more skin grafting would be necessary.
The trial also revealed that
McDonalds had over 700 burn complaints prior to Ms. Liebeck’s law suit for their hot coffee. McDonalds quality-control manager explained that, in his opinion, such a “small” number of complaints did not warrant the company to take any action.
BUT WHAT ABOUT THE FACT THAT SHE SPILLED THE COFFEE? ITS NOT LIKE A MCDONALD’S EMPLOYEE THREW COFFEE AT HER!!!! What also went under-reported is the fact that the
jury considered this information and apportioned her with 20% of the fault associated with spilling the coffee. As would happen in any trial, this apportionment of liability, by the jury,
reduced Ms. Liebeck’s verdict by 20%.
In the end, the jury awarded $160K in compensatory damages (medical bills, lost wages, pain & suffering) and $2.7 Million in punitive damages.
The punitive damages represented two-days’ worth of McDonald’s coffee sales.
What also went largely unreported is the fact that the
$2.7MM in punitives was reduced, by the judge, to $480K. Not only that, but
Ms. Liebeck settled her case with McDonald’s for an undisclosed sum before the case could go up on appeal.
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