Red Lobster Faces Lawsuit Over Endless Shrimp Scheme, Alleging Shellfish Overpayments
Updated
Updated · Patch · Jul 6
Red Lobster Faces Lawsuit Over Endless Shrimp Scheme, Alleging Shellfish Overpayments
2 articles · Updated · Patch · Jul 6
Summary
A new lawsuit alleges Red Lobster’s Endless Shrimp promotion was structured as a scheme that forced the chain to overpay its owner for shellfish.
The claim, highlighted in a California business roundup, centers on the promotion’s underlying economics rather than customer demand, arguing the deal benefited the supplier side at Red Lobster’s expense.
The allegation surfaced alongside other California consumer and retail updates, including Disneyland’s $59 summer ticket offer and In-N-Out’s plans to add locations in the state.
If the suit gains traction, it could sharpen scrutiny of how restaurant chains structure supplier relationships and headline promotions meant to drive traffic.