Day 139 - 21 Jun 95 - Page 10


     
     1        I am reading this thing, and it is talking about financial
     2        information; it has nothing to do with Human Resources
     3        information.  They are not obligated -- and maybe this will
     4        help push this along -- they are not obligated to keep any
     5        Human Resource information for me to see.
     6
     7   Q.   Of course, it is hard to judge some of the things, because
     8        so much of this document has been blanked out.
     9
    10   MR. JUSTICE BELL:  What you have now is Mr. Stein, who is,
    11        effectively, Head of Human Resources, which covers
    12        employment problems.  This is the third time I have
    13        suggested this morning that if you have some matter which
    14        you think McDonald's Corporation could stamp on, if it
    15        wanted to, if its licensee did it, then I think you must
    16        put that to Mr. Stein.  Mr. Stein is quite right that, if
    17        we are just looking at the wording of the franchise
    18        agreement, that is a matter of legal interpretation; and
    19        whatever the witness's expertise in the field -- and
    20        Mr. Stein has candidly said he does not purport to have
    21        expertise in the field, although he is a qualified
    22        lawyer -- ultimately, it is a matter of law to decide.
    23
    24        What I think you are getting at is, quite apart from what
    25        is in the franchise agreement, McDonald's Corporation's
    26        muscle is such that if it said "jump on a thing", it would
    27        be commercial suicide for the franchisee not to jump.  Now,
    28        if that is what you are putting, quite frankly, you must
    29        give an example, because my guess is that anyone in
    30        commerce would find one situation different from another.
    31        So you must give an example.
    32
    33        One of the reasons I say that -- I am just looking at
    34        Mr. Chester's statement -- you might put, if you chose the
    35        kind of questions you are raising with Mr. Stein, in
    36        relation to use of particular kind of supplies like food
    37        paper and packaging used in McDonald's restaurants
    38        worldwide, and what would happen if a franchisee somewhere
    39        or other started using a different kind of packaging or
    40        another source of food that was provided for.  But, for
    41        instance, that, I would think, came within Mr. Chester's
    42        field.  Mr. Stein -- if he will excuse me describing him as
    43        such -- is the employment man.  So it is a particular
    44        point, a particular point in relation to employment, that
    45        you ought to be putting to Mr. Stein.
    46
    47        One way of approaching it would be, when you come to
    48        particular instances in a particular country, then you can
    49        say to Mr. Stein at some stage in your cross-examination on
    50        that: "I suggest that if you had wanted to, you, as the 
    51        embodiment of McDonald's Corporation, could have insisted 
    52        that this be done."  Then we will hear Mr. Stein's answer. 
    53        Do you see?
    54
    55   MR. MORRIS:  (To the witness)  I think you have already given
    56        examples, have you not, Mr. Stein?  In Puerto Rico, you
    57        made conditions for the continuing support of McDonald's
    58        Corporation, which you withdrew, because you say it was
    59        because the owner did not live in Puerto Rico; do you
    60        remember?

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