McDonald’s Malaysia withdraws lawsuit against boycott movement

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McDonald’s Malaysia has withdrawn a brand defamation legal suit against the Boycott, Divestment, Sanctions (BDS), a Palestinian-led movement for freedom, justice and equality that has been vocal in calling out brands who have affiliations with Israel.

"McDonald’s Malaysia filed a brand defamation legal suit to ensure McDonald’s Malaysia’s position on the Middle East conflict is made clear," it said, referencing the suit in which it accused BDS of allegedly inciting the public to boycott McDonald's Malaysia early this year. It claimed that these statements hurt its business and was seeking damages.

Don't miss: BDS Malaysia thanks McDonald's Malaysia for suing them

It said:

With the positive outcome of the mediation and clarifications made by BDS in its recent statements, acknowledging that the actions of McDonald’s operator in Israel are wholly independent of McDonald’s Malaysia, we will be withdrawing the legal suit.

McDonald's Malaysia added that its stance remains firm in that it does not support or are complicit in any conflicts or wars.

McDonald's Malaysia added that it is proud to be a 100% Muslim-owned business and member of the local community.

It added that its hearts go out to the "innocent victims in Gaza" who are caught in the conflict and that it firmly condemns all forms of violence and is praying for an end to the war and continued peace.

McDonald’s Malaysia said that it continues to support Palestinians impacted by the violence through its contribution to the Palestine Humanitarian Fund and various employee fundraising initiatives to further support relief efforts in Gaza, adding:

We hope that the decision made today will allow all parties to move forward and focus on finding a resolution that upholds justice.

McDonald's Malaysia first sued the movement earlier this January for false and defamatory statements and for allegedly inciting the public to boycott the fast-food chain. It claimed that the statements hurt its business and were seeking damages amounting to US$1.31 million.

"McDonald's Malaysia wish to confirm that based on external legal advice, we have filed a civil suit against BDS Malaysia to protect our rights and interests in accordance with the law," said McDonald's Malaysia when MARKETING-INTERACTIVE reached out at the time.

"We have been transparent and consistent with our communications that McDonald's Malaysia does not support nor condone the current conflict in the Middle East and like all Malaysians, our utmost sympathies go out to the innocent victims in Gaza," it added in January.

It reiterated that it does not channel any sales, profits, royalties or franchise fees from restaurant operations to support any political cause or conflict in any part of the world.

Two months after the suit, BDS thanked McDonald's Malaysia for making the group famous. The remark comes from a press statement in which BDS Malaysia shared its upcoming mediation session with the fast-food brand early this month.

In a statement, the NGO said "BDS Malaysia also thanks McDonald's because its lawsuit against us has helped make BDS Malaysia famous not only in Malaysia but also around the world."

The fame, added BDS Malaysia, helped to publicise its campaigns to boycott Israel and companies linked to it.

In tandem, it said that the lawsuit had made Malaysians and consumers worldwide even angrier towards McDonalds.

"Whenever the news of McDonald's lawsuit against Malaysia's BDS comes out, consumers will feel more upset towards McDonald's," said BDS Malaysia.

"Moreover, McDonald's suing BDS Malaysia has caused the International BDS movement to start a particular global campaign to boycott McDonald's," it said at the time.

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