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MrBeast Burger Surcharge Class Action Lawsuit Overview:
- Who: An Oregon consumer served up a class action lawsuit to Virtual Dining Concepts, LLC, doing business as MrBeast Burger.
- Why: Hedgecock claims MrBeast Burger falsely advertises its food prices by overcharging consumers with an illegal “tax.”
- Where: The class action lawsuit is pending in the Circuit Court for the State of Oregon.
MrBeast Burger falsely advertises its food prices by charging Oregon consumers a “tax” for purchases made at its Portland restaurant, a new class action lawsuit alleges.
Plaintiff Christopher Hedgecock claims MrBeast Burger misrepresents a hidden surcharge on its food as a “tax,” despite sales tax being illegal in Oregon. The “virtual restaurant brand” is run by Virtual Dining Concepts and derives its name from YouTube star “MrBeast,” according to the company’s website.
MrBeast Burger runs out of existing restaurants and customers must order via major food delivery service apps. Hedgecock says he was charged $3.16 more than the advertised price of a Beast Style Burger Combo he purchased near the campus of Portland State University.
Hedgecock claims he realized he had been charged more than the advertised price he was expecting to pay after he completed his transaction and read his receipt, which claimed he had paid tax on his purchase, despite such a tax being unlawful in the state.
MrBeast Burger Illegal Sales Tax Hides Surcharge that Lines Company’s Pockets
Hedgecock claims the “tax” found by Oregon residents on MrBeast Burger receipts is actually just a surcharge that goes directly to the company to increase its own profits.
“Defendant obtained a monetary benefit as increased profits through this material omission and misrepresentation by collecting undisclosed surcharges,” states the class action lawsuit.
Hedgecock wants to represent an Oregon Class of consumers who were issued a surcharge disguised as a “tax” by MrBeast Burgers.
MrBeast Burger intentionally concealed the fact that it was collecting this surcharge from consumers by misrepresenting it as a sales tax, the class action lawsuit alleges.
“(MrBeast Burger) knew or should have known that this omission was in violation of Oregon law and it knew that it would charge plaintiff and the class members the overcharges at its registers despite this material omission,” states the class action lawsuit.
Hedgecock has filed a claim for unjust enrichment and alleged violations of Oregon’s Unlawful Trade Practices Act.
Hedgecock says he is currently only seeking equitable and injunctive relief, though he says he plans to file an amended complaint for damages if MrBeast Burger refuses to cooperate or remedy its alleged wrong.
A class action lawsuit was filed against Dairy Queen in 2018 by Oregon consumers who alleged the company violated the state’s Unlawful Trade Practices Act by advertising “free Blizzard,” coupons which were not approved by the majority of the restaurant’s locations.
Were you assessed an extra charge purported to be a “tax” after purchasing food at a MrBeast Burger in Oregon? Let us know in the comments!
The plaintiff is represented by Michael Fuller, OSB of OlsenDaines and Kelly Donovan Jones, OSB of the Law Office of Kelly Jones.
The MrBeast Burger Surcharge Class Action Lawsuit is Hedgecock v. Virtual Dining Concepts, LLC, Case No. 21-cv-39843, in the Circuit Court for the State of Oregon.
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24 thoughts onMrBeast Burger Hides Surcharges as Sales Tax To Boost Own Profits, Says Class Action
I ordered from Mr. Beast burger on December 7, 2022 in Florida. I was charged tax twice, I thought it was weird, too.
Please add me. My family loves these burgers