( Reporting by Jonathan Stempel in New York; Editing by Cynthia Osterman).
In April, General Motors Corp. vowed to advertise more with Black-owned media, after Allen and other entrepreneurs took out full-page paper advertisements accusing the automaker of ignoring those media.
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The grievance filed in Los Angeles County Superior Court stated McDonalds breached federal and state civil rights laws through its “racial animus and racial stereotyping” in assigning advertisement dollars.
” We have actually doubled down on our relationships with diverse-owned partners,” McDonalds said in a statement. It stated it will “evaluate and react accordingly” to Allens lawsuit.
He settled in June, three months after the U.S. Supreme Court agreed Comcast in setting a high burden for Allen to prove he was victimized.
McDonalds Corp. was sued on Thursday for a minimum of $10 billion by 2 companies owned by media business owner Byron Allen, who accused the fast-food chain of racial discrimination for not advertising enough with Black-owned media outlets.
Top Photo: Comedian and media mogul Byron Allen. (AP Photo/Chris Carlson).
According to the grievance, Chicago-based McDonalds has refused to promote with Allens Entertainment Studios Networks, which owns several lifestyle channels, or his Weather Group, which owns The Weather Channel.
A former stand-up comic and co-host of the NBC reality TELEVISION show “Real People,” Allen also took legal action against Comcast Corp. for $20 billion in 2015 over its refusal to carry his channels.
” McDonalds, like much of business America nowadays, publicly promotes its commitment to variety and inclusion, but this is nothing more than empty rhetoric,” the complaint stated.
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The complaint stated Blacks consist of about 40% of McDonalds consumers, but the company dedicated less than $5 countless its $1.6 billion U.S. ad spending plan in 2019 to Black-owned media.
Allen took legal action against on the same day McDonalds said it would improve its nationwide advertisement costs with Black-owned media to 5% from 2% by 2024, and also spend more on Hispanic-, Asian-American, ladies- and LGBTQ-owned platforms.