A $5 million suit was filed in Federal court alleging that Starbuck’s is deceiving customers by filling drinks with too much ice.
1. Based on the allegation, do you think that Starbuck’s should report the lawsuit as a contingency in their upcoming annual report? Why or why not?
2. Besides claiming that too much ice is in drinks, what other issues does the plaintiff allege?
3. After reading Bort’s article, what are some of the other reasons that Starbuck’s has been sued? What is your favorite?
4. What percentage of the suits listed in the Bort article do you estimate are frivolous?
Bort, R. (2016). THE (MANY) REASONS PEOPLE HAVE SUED STARBUCKS. Newsweek, May 6 (Retrievable online at http://www.newsweek.com/starbucks-lawsuits-list-456294)
Bowerman, M. (2016). Starbucks: Lawsuit over ice in chilled coffee, tea is ‘frivolous.’ USA Today, May 4 (Retrievable online at http://www.usatoday.com/story/money/nation-now/2016/05/04/woman-sues-starbucks-5-million-ice-chilled-coffee-tea/83920832/)