MrBeast Takes Legal Action to Close Ghost Kitchen’s MrBeast Burger

YouTuber MrBeast is suing the ghost kitchen behind MrBeast Burger to stop production of its popular burger, claiming the company is taking advantage of his brand to expand rather than focusing on the quality of the food.

“Because Virtual Dining Concepts was more focused on rapidly expanding the business as a way to pitch the virtual restaurant model to other celebrities for its own benefit, it was not focused on controlling the quality of the MrBeast Burger customer experience and products,” the lawsuit stated.

According to news sources, MrBeast, whose real name is Jimmy Donaldson, contracted Virtual Dining Concepts, based in Orlando, Florida, to launch the MrBeast Burger concept in 2020 during the Covid-19 pandemic. The business goal of working with a ghost kitchen was “simple,” the lawsuit said. The partnership would create a virtual restaurant with MrBeast-branded food and would work with existing restaurants that would prepare the meals and share a “significant” part of the revenue. The items could be ordered through food delivery services, eliminating the need for brick-and-mortar table service.

The lack of quality quickly became apparent, the lawsuit said, materially and irreparably harming the MrBeast brand and reputation. Because of that harm, the lawsuit claims Donaldson has the right to end the breached contract and shut down the MrBeast burger business.

Beast Investments is asking for a jury trial, royalties it says it’s owed and an “accounting of all revenues and expenses of the MrBeast Burger business,” and for VDC to stop from further using the MrBeast brand, MrBeast’s likeness, name, image and intellectual property rights. In a statement, VDC said the complaint was filled with “inaccuracies” and that the lawsuit was in retaliation for the company not agreeing to a new deal with Donaldson. The company said it is filing its own claims against him.

“When VDC refused to accede to his bullying tactics to give up more of the company to him, he filed this ill-advised and meritless lawsuit seeking to undermine the MrBeast Burger brand and terminate his existing contractual obligations without cause,” the statement said.

Donaldson has 172 million subscribers — more than any other individual creator on the platform, YouTube said. He’s built his empire by staging increasingly expensive and eye-popping stunts, along with generous cash giveaways and acts of philanthropy – such as bankrolling cataract surgeries for hundreds of blind people to help them see again. Some of the reviews of the burger, according to the lawsuit: “disgusting,” “revolting,” and even “inedible.”

Donaldson claimed in the suit that more than half of the MrBeast Burger virtual restaurants have reviews of fewer than two out of five stars. For example, MrBeast Burger in New York has 2.1 stars on Yelp. The burger brand has expanded to hundreds of locations globally. Many customers are blaming the MrBeast brand for the bad burgers, the lawsuit alleged.

“…(T)he problem with Beast Burger is i can’t guarantee the quality of the order,” he tweeted. “When working with other restaurants it’s impossible to control it sadly.”

You can’t even get a decent burger without running right into a lawsuit. They are EVERYWHERE! And when those things negatively impact YOU and/or YOUR business including bankruptcies, landlord/tenant matters including unlawful detainers, contract issues, nuisance ADA claims and even collections, call in your good guy business litigator, Dean Sperling to resolve YOUR matter with YOUR best interests in mind! 

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