Q
QuestionBusiness Law

Did Ray Kroc honor the handshake deal regarding the 1% profits in perpetuity (i.e., "forever")? A. Yes B. No
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Answer

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Step 1
To answer this question, I'll provide context and analysis about Ray Kroc's deal with the McDonald brothers:

Step 2
: Understanding the Original Agreement

The McDonald brothers (Dick and Mac) originally started the McDonald's restaurant concept. Ray Kroc became their franchise agent in 1955 and later bought the entire company. During initial negotiations, the brothers believed they had a handshake agreement for 1% of future profits in perpetuity.

Final Answer

No, Ray Kroc did NOT honor the handshake deal regarding the 1% profits in perpetuity.