THE Court of Appeals has ordered F&B International, Inc. to pay nearly $300,000 in damages to A&W Restaurants, Inc., the American fastfood chain known for their branded rootbeer and bear mascot, for failing to meet its franchising deal.
In the decision promulgated June 30, the appellate court’s Sixth Division upheld the Makati City Regional Trial Court’s summary judgment which ordered F&B to pay a total of $294,834.04 in damages to A&W.
A&W franchises in the Philippines have been shuttered since 2004.
The case stemmed from the disputed master licensing agreement (MLA) signed by A&W and F&B on June 26, 1995, which granted the latter a license to use A&W trademarks, product formulae, and business systems and methods in restaurants it will establish in the country in return for the payment of monthly royalties.