A startup called Kytch created a device to fix notoriously finicky ice cream machines at McDonald’s and saw sweet, albeit brief, success. Now the company is shaking up the fast food giant in a new $900 million lawsuit, accusing the restaurant chain of ruining its business.
The 133-page complaint, filed Tuesday in Delaware federal court, claims McDonald's stole Kytch's technology to reverse engineer it and create their own competing product as part of an alleged multimillion-dollar "repair racket."
Further, it accuses McDonald’s of publishing a series of "deceptive ads" in November 2020, claiming Kytch Solution technology was a safety hazard.
Kytch co-founders Jeremy O’Sullivan and Melissa Nelson in 2019 launched the product trial of Kytch Solution, a computer device with an online interface that allows customers to remotely run the soft serve machines, the lawsuit said.
It "adjusts settings hidden deep in the machines, which can prevent outages before the machines can detect an error," the lawsuit said.
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