McDonald’s is facing a lawsuit alleging discrimination

McDonald's is facing a lawsuit alleging discrimination

Two companies owned by a powerful black businessman have filed a lawsuit against McDonald’s in the United States alleging that it discriminated against African-American regulators in its advertising spending and demanded $ 10 billion from it. Damages and benefits.

The lawsuit was filed in a California court by Entertainment Studios Networks and Weather Group, owned by businessman Byron Allen, who is arguing for bigger companies to buy more ads in the African-American media.

The Alan Media / Entertainment Studios team produces films and owns over a dozen television channels in the United States.

The claimant argues that the fast food group spent about $ 1.6 billion on TV commercials in the United States in 2019, but only 0.31% of that went to African American controlled media.

“McDonald’s is taking billions from African American consumers and not giving them anything in return.

His complaint alleges that McDonald’s deliberately discriminated against his businesses by refusing contracts based on racial stereotypes.

A McDonald’s spokesman told The Wall Street Journal that the committee would investigate the complaint.

McDonald’s announced on Thursday that it would more than double its advertising spending on media owned by black and Hispanic minorities, women and other representative groups over the next four years. During this period, he said, spending on African-American media would fall by 2% to 5% of the national total.

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About the Author: Cory Weinberg

Cory Weinberg covers the intersection of tech and cities. That means digging into how startups and big tech companies are trying to reshape real estate, transportation, urban planning, and travel. Previously, he reported on Bay Area housing and commercial real estate for the San Francisco Business Times. He received a "best young journalist" award from the National Association of Real Estate Editors.

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