McDonald's sued Hungry Jack's over the sale of the 'Big Jack' and 'Mega Jack' burgers, which the U.S. fast food retailer claimed infringed on the trademark of the 'Big Mac'.

On Thursday, the Federal Court dismissed the allegations, saying neither burger brand was deceptively similar to the Big Mac and Hungry Jack's had not engaged in trademark infringement.

But McDonald's succeeded on a separate consumer law claim with the court finding Hungry Jack's had misled consumers by advertising that its Big Jack burger contained 25 per cent more beef than its Big Mac counterpart.

At trial, Hungry Jack's chief marketing officer, Scott Baird, told the court there was an "element of cheekiness" in the firm's choice of burger name.

"I was aware that the name would likely be perceived as a deliberate taunt of McDonald's," he wrote in an affidavit.

These kinds of "taunts" were common in overseas markets where the two fast food chains competed, he said.

Justice Stephen Bentley found consumers would not be confused over which restaurant sold which burger, saying McDonald's offered no evidence of confusion or deception.

With AAP.