Grill’d burger chain sued over alleged greenwashing by consumer watchdog
Summary
The Australian consumer watchdog (ACCC) has sued the Grill’d burger chain, accusing it of misleading customers about donations to its tree-planting campaign. Grill’d claimed it would donate $1 for each burger sold on Tuesdays, but only about 4% of sales actually qualified, leading to much smaller donations than advertised.Key Facts
- The ACCC took legal action against Grill’d over its Tree Day Tuesday campaign.
- Grill’d said it would donate $1 per burger sold on Tuesdays to plant trees.
- Between January 2021 and April 2024, Grill’d sold over 5 million burgers on Tuesdays.
- Only about 4% of these burger sales triggered a donation due to strict conditions.
- Conditions required customers to be in the loyalty program and buy only at the front counter, excluding online, takeaway, or QR code table orders.
- Grill’d donated about $250,000 during the entire campaign, far less than customers might have expected.
- The ACCC said this was a case of greenwashing—making environmental claims that are misleading.
- Grill’d stated the promotion was done with good intentions and insisted it follows Australian Consumer Law.
- Grill’d runs about 180 stores and is also facing a separate lawsuit about workers’ unpaid rest breaks.
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