The Drive-Thru: McDonald's CEO sex scandal, mask mayhem continues, and the invention of 'leisurée'

Happy Friday! I hope this edition of The Drive-Thru finds you well. If this is your first time receiving the newsletter, welcome to BI Retail's weekly rundown of everything you need to know over the past week. You can subscribe here to get me, Kate Taylor, and my colleague, Shoshy Ciment in your inbox every Friday.

This week started out with a bang, as news broke of allegations against McDonald's former CEO. Read on for what is going on at the fast-food giant, as well as more stories about the chaos and confusion that engulfed the world of retail this week.

McDonald's sues its ex-CEO over alleged sexual relationships with employees

McDonald's abrupt ouster of Steve Easterbrook in November 2019 was surprising at the time. This week, the fast-food giant made some even more more shocking allegations.

In a complaint, McDonald's claims that Easterbrook had sexual relationships with three McDonald's workers in his last year at the company. The company apparently discovered evidence of these relationships when they looked through Easterbrook's email and found nude photos, following an anonymous tip in July.

For more details on the case, read:

• My article on a general overview of the case, as well one breaking out some of the most bizarre details.
• An in-depth look at everything that has happened at McDonald's since Easterbrook left. It's been an unusually dramatic year.
• Shoshy on what Easterbrook achieved during his time at McDonald's.
• Áine's reporting on what is actually on the line: Easterbrook's severance package, which could be valued as high as $57 million.

Mask mayhem continues

Assaults by people infuriated by COVID-era safety measures continued this week, with teenage employees at theme park Sesame Place and Chili's being attacked on the job.

Meanwhile, other customers' appreciations for the necessity of masks are only growing. A Lowe's shopper from Virginia has started a Change.org petition, calling on the company to enforce its mask policy. The petition has been signed by more than 115,000 people.

As retailers roll out national mask policies, companies are looking to police to help enforce the orders. Hayley reports that, due to a new new law, any assault against a retail worker who is communicating mask guidelines will now be considered "aggravated battery." As a result, these attacks are now considered felonies and can carry a sentence of two-to-five years in prison.

Read the full story about Illinois' new law here.

Lively founder reveals how she coined the term 'leisurée'

Catherine talked to the founder of Lively, Michelle Cordeiro Grant, about VCs' anti-lingerie biases.

"You could see their eyes start to shift," Grant said. "When they hear the word 'lingerie,' they're hearing 'push-up' and 'corset,' and they see Victoria's Secret."

To combat the disinterest, Grant created a new word: "leisurée." The rebrand worked — Lively was acquired for $85 million by Wacoal in 2019.

Read the full story here.

The US' largest mall operator is 'totally confused'

Madeline reported on the pandemic-era struggles of Simon Property Group. The company said it was still struggling to collect rent from tenants, collecting just 73% of owed rent in July.

"I was feeling pretty good in June about finally getting back to work, and I feel less good in July, and now I'm totally confused," CEO and President David Simon said in response to a question about future rent payments.

Read Madeline's full explanation of the situation here.

Everything else you need to know

• Irene goes inside the sneaky world of "virtual brands."
• Steinmart files for bankruptcy, and plans to close all stores.
• How much Nike pays its tech workers.
• A new lawsuit alleges that SoulCycle's ex-CEO told an executive that "paternity leave is for pussies."
• Nordstrom is hiring mask-clad influencers to post on Instagram about how safe they feel while shopping.
• Back-to-school marketing campaigns feel pretty bleak.
• Also bleak? The work-from-home playset for kids.
• Taco Bell's potatoes are officially off the menu.
• White Castle created a cocktail pairing menu, after losing its drunk late-night customers.
• Kamala Harris's husband played a role in a decade-long legal battle over Taco Bell's chihuahua.
• The last Blockbuster in the US is putting itself on AirBnb for a few days.
• Starbucks and Dunkin' are starting Pumpkin Spice season earlier than ever because Americans are all kind of depressed.
• Mr. Peanut died and was reborn as Baby Nut. Now, the legume formerly known as Baby Nut is a 21-year-old that goes by Peanut Jr. I hate it!