The former CEO of McDonald’s probably won’t be singing his former employer’s motto “I’m lovin’ it” anytime soon.
The fast-food company filed a lawsuit Monday in Delaware against Stephen Easterbrook, who was ousted late last fall, alleging he lied to the board when he said he did not engage in physical, sexual relationships with employees.
McDonald’s fired Easterbrook, 53, in November after he conceded to investigators that he had a nonphysical, consensual relationship with an employee over text and video.
The company’s board had approved a separation agreement “without cause,” which allowed him to keep stock-based benefits. Now, it claims such a separation agreement would never have been struck had the board known about Easterbrook’s alleged sexual relationships with three other employees, according to the Associated Press.
McDonald’s claims Easterbrook lied to investigators and got rid of the evidence of other relationships on his phone.
Through the original severance package, Easterbrook was able to keep $40 million in stock-based benefits plus 26 weeks of pay, amounting to compensation of about $670,000. McDonald’s is now attempting to prevent Easterbrook from exercising his stock options and says it will seek compensatory damages.
Easterbrook was replaced by Chris Kempczinski, who was then the president of McDonald’s USA.
“This was a mistake,” Easterbrook said at the time of his removal. “Given the values of the company, I agree with the board that it is time for me to move on.”
