Byron Allen’s $10 billion lawsuit accusing McDonald’s of racial discrimination is heading to trial, following a federal judge’s ruling, according to Variety.
The media mogul alleges that the fast-food giant denied advertising opportunities to his Black-owned media outlets while reserving substantial budgets for general-market advertising.
Court Allows Jury to Decide
United States District Judge Fernando M. Olguin found sufficient grounds for the case to be heard by a jury.
In his decision, he noted that this type of case benefits from a full hearing.
Allen’s lawsuit claims that McDonald’s created a separate “African American tier” with significantly lower advertising budgets for Black-owned media.
He argues this systemic exclusion cost his companies, Entertainment Studios and The Weather Channel, millions in revenue annually.
Racial Discrimination Allegations
Allen has been vocal about McDonald’s alleged racial biases, citing examples of lawsuits filed by Black franchisees and employees.
He also criticized the fast-food giant for spending a meager $5 million of its $1.6 billion annual advertising budget on Black-owned media, despite African Americans representing 40% of its U.S. sales.
In response, McDonald’s dismissed the claims as baseless, asserting that their advertising strategy aligns with audience reach and business goals.
Feature Image Credit: Greg Doherty
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