McDonald’s has settled a lawsuit with former CEO Steve Easterbrook, forcing the disgraced executive to repay his severance package of more than $100 million.
Easterbrook was fired in 2019 after the fast-food giant’s board determined that he violated company policy by demonstrating poor judgment involving a recent consensual relationship with an employee. In August 2020, McDonald’s filed a lawsuit against Easterbrook for lying to the board about the extent of his relationships with employees.
In a filing to the US Security and Exchange Commission Thursday, McDonald’s criticized Easterbrook for his misconduct, lies, and efforts to impede investigations into his actions and that the settlement is the best path forward.
This settlement holds Steve Easterbrook accountable for his clear misconduct, including the way in which he exploited his position as CEO, Enrique Hernandez, Jr., the chairman of McDonald’s board of directors, said in the filing. The resolution avoids a protracted court process and allows us to move forward.