A federal judge has authorized a lawsuit against McDonald’s accusing the fast food giant of discriminating against black American-owned media. Black businessman Byron Allen accused McDonald’s of initiating a “racially discriminatory adjudication process” in the lawsuit filed in May 2021.
The lawsuit was filed with the California Supreme Court and is seeking $ 10 billion in damages. It is part of Allen’s campaign to persuade major US companies to spend more advertising money in black-owned media.
The lawsuit was filed by Allen’s two companies, “Entertainment Studio Inc” and “Weather Group LLC”. Allen Media Group / Internet Studio produces films and owns more than 12 television stations.
The lawsuit claims McDonald’s spent about $ 1.6 billion on US TV advertising in 2018, but only 0.31% went to black-owned media.
But in December, a federal judge dismissed the lawsuit, saying the allegations weren’t sufficiently substantiated. After legal exchanges, the same judge on Friday rejected McDonald’s request to close the case and thus allowed it to continue.
“This is about the economic integration of African American companies into the US economy,” Allen said in a statement at the time of filing the lawsuit. “McDonald’s takes billions of African American consumers and returns almost nothing,” he added.
He continued: “The biggest trade deficit in America is the trade deficit between white companies in America and black America, and McDonald’s is guilty of continuing this disparity.”
The lawsuit alleges that McDonald’s intentionally discriminated against the two plaintiffs through a mold of racial profiling and refusal to enter into contracts.
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