“With the positive outcome of the mediation and clarifications made by BDS Malaysia in their recent statements, acknowledging that the actions of McDonald’s operator in Israel are wholly independent of McDonald’s Malaysia, we will be withdrawing the legal suit,” Azmir said in a statement today.

He said that with the decision made today, he hoped all parties will move forward and focus on finding a resolution that upholds justice.

Azmir reiterated that McDonald’s stands firm in not supporting or taking part in any conflicts or wars.

“Having operated for more than four decades in Malaysia and being a 100% Muslim-owned business, we are proud to be a member of the local community – unwavering in our commitment to transparency, ethical business practices, and social responsibility towards Malaysians,” he said.

Last December, McDonald’s, through the franchise owner, Gerbang Alaf Restaurants Sdn Bhd, filed a defamation suit against BDS Malaysia.

It sought an unconditional apology from BDS Malaysia within 48 hours and RM6 million in damages, comprising RM3 million for loss of revenue, RM1.5 million for employees who were laid off and RM1.5 million for expiry of materials.

Gerbang Alaf Restaurants also sought an injunction against BDS Malaysia from repeating its calls for a boycott of McDonald’s restaurants, among other franchises, allegedly for “colluding with Israel in the genocide of the Palestinian people”.

On Feb 18, FMT reported that the defamation suit between the parties had been referred for mediation. The mediation took place on March 18 at the Shah Alam High Court.

BDS Malaysia lawyer M Reza Hassan later said the mediation between his client and McDonald’s had been positive and that the next round of talks, due on April 30, would focus on ironing out “two or three more issues”.