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MrBeast Lawsuit: YouTube Star Countersued by Ex-business Partner for Alleged Breach of Contract

MrBeast Sued by Ex-business Partner for Suspected Breach of Contract
Source: Mega

Aug. 7 2023, Published 12:15 p.m. ET

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MrBeast was sued by his ex-business partner this week just days after the YouTube star filed a lawsuit of his own against the virtual dining company, RadarOnline.com can exclusively report.

In a sudden development to come after MrBeast – whose real name is Jimmy Donaldson – sued Virtual Dining Concepts for $10 million on July 31, VDC countersued MrBeast on Monday in a lawsuit that accused the 25-year-old YouTuber of breach of contract.

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MrBeast Sued by Ex-business Partner for Suspected Breach of Contract
Source: MrBeastBurger.com

According to court documents obtained exclusively by RadarOnline.com, VDC also accused MrBeast of “undermining” the brand MrBeast Burger and making “untruthful and misleading statements” about the brand.

“This case is about a social media celebrity who believes his fame means that his word does not matter, that the facts do not matter, and that he can renege and breach his contractual obligations without consequence,” VDC charged. “He is mistaken.”

“Like any party to a contract,” the company continued, “Donaldson must be held to his word, and held accountable for his contractual breaches and other misconduct, including but not limited to: (i) failing to comply with contractual publicity and promotional obligations; (ii) failing to publicly support the Brand and, in fact, undermining it; (iii) making untruthful or misleading statements; (iv) denying access to and blocking jointly-owned social media accounts; (v) making disparaging comments; (vi) failing to form one or more jointly owned entities; (vii) violating non-solicitation obligations; (viii) breaching the implied covenant of good faith and fair dealing; (ix) tortiously interfering with Plaintiffs’ contractual relationships; and (x) tortiously interfering with Plaintiffs’ prospective business advantages.”

VDC also argued that MrBeast’s “baseless and unlawful disparagement” of MrBeast Burger “materially damaged if not destroyed” the brand.

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MrBeast Sued by Ex-business Partner for Suspected Breach of Contract
Source: @MRBEAST/INSTAGRAM; MRBEASTBURGER.COM

According to the lawsuit, the damages caused by MrBeast against MrBeast Burger are in the “nine-figure range.”

“Donaldson’s baseless and unlawful disparagement had the intended effect: MrBeast Burger’s reputation was materially damaged if not destroyed, customers abandoned the Brand, and Plaintiffs’ hard-won relationships with vendors, partners, and suppliers were shattered, causing damages to Plaintiffs that, according to the evidence and Donaldson’s own statements regarding the value of MrBeast Burger, are in the nine-figure range,” VDC argued.

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“Sadly,” the company continued, “Donaldson’s conduct has also damaged the bottom lines of hundreds of restaurants across the country and around the world.”

It is currently unclear exactly how much in damages Virtual Dining Concepts is suing MrBeast for, although the company claims they have lost at least $100,000,000 as a result of MrBeast's comments against the brand.

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MrBeast Sued by Ex-business Partner for Suspected Breach of Contract
Source: Mega

As RadarOnline.com previously reported, MrBeast first sued his ex-business partner for $10 million last week because his reputation was allegedly smeared as a result of the “disgusting, revolting and inedible burgers” MrBeast Burger served to customers.

MrBeast also accused VDC of violating their business agreement by trademarking the MrBeast brand around the world and listing themselves "as the sole owners of the trademarks.”

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Meanwhile, VDC fired back at MrBeast and accused the YouTuber of making “false statements and inaccuracies” in the initial $10 million lawsuit against the virtual dining company.

According to VDC, MrBeast only filed the $10 million lawsuit after the company refused to renegotiate their initial deal.

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MrBeast Sued by Ex-business Partner for Suspected Breach of Contract
Source: Mega

VDC also called MrBeast’s lawsuit a “thinly-veiled attempt to distract from Mr. Donaldson’s and Beast Investments’ breaches of the agreements between the parties."

MrBeast partnered with Virtual Dining Concepts in 2020 to launch and run MrBeast Burger.

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