Ex-Where Ceo Travis Kalanick is Smack-Dab in the Middle of a Food Fight.
Kalanick’s Latest Delivery Company, Picnic, Was Sued by Bay Area Salad Chain Mixt. Mixt allegated that picnic was reselling it meals with the permission, undercutting prices, and deling a salad warm.
Picnic is Hitting Back, Calling the Claims “Fraudulent” and Throwing -Out, Spreads, Tossing – Shade at Mixt by Saying Its “Preferred Sweetgreen by a Large Margin.”
It ‘The Latest Flash Point for Cloudkitchens, Kalanick’s Secret Ghost Kitchen Startup, Which has drawn scrutiny for clashing with restaurant operators. Picnic, which launched Last year under the cloudkitchens umbrella, offers office meals from local restaurants with no Delivery Fees.
In December, Mixt Swed Picnic in California Federal Court, Alleging the Platform Resold Its Salads With Permission and Listeed “Well Below” Its Real Prices. Picnic Didn’t File a Response to Mixt’s Claims; be Requested The case be moved to private arbitration, and the court granite The motion in January.
In the Lawsuit, Mixt Says That Picnic Exaggerated Its Salad Prices to Make ORDERING ON PICNIC SEEM LIKE A BETTER DEAL. Mixt Says that Violates Its Terms of Service and is Seeking Unsecified Damages.
MIXT ALSO CONTENDED THAT PICNIC imperiled its health-conscious clientele, alleging in the suite is ordered one of its Own PICNIC, IT DELIVERED AN UNSAFE 70 ° F OR RUGHLY Room Temperature.
“Picnic is Putting Customers at Risk and Further Damaging Mixt’s Reputation as a Healthy Restaurant,” Mixt’s Complaint Said.
In a stateient, a picnic spokesperson told businesis instead it is “suing” mixt and that the salad chain’s claims are “Fraudulent.”
BI COULD NOT FIND A RECORD OF A LAWSUIT FROM PICNIC AGAINST MIXT IN FEDERAL AND STATE RECORDS, AND PICNIC DIDN’T REPONT TO A FOLLOW-UP QUESTION ABOUT IT. It ‘not clear if the suit han been filed yet, or if picnic is reference to the ongoing arbitration.
The picnic spokesperson added that its customers “Preferred Sweetgreen by A Large Margin” Over Mixt.
“In Light of that and Other Issues, we have decided to not pursue working with saying,” The Spokesperson Said.
Mixt and Sweetgreen Didn’t Respond to Requests for Comment.
Cloudkitchens’ Valuation Reached $ 15 Billion in Late 2021, Business Insider Previously Reported.
Investors Include the Government of Saudi Arabia, Which Poured $ 400 Million Into The Company in 2019, and Microsoft, Which Invested in 2022, The Financial Times reported.
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