Los Angeles, CA – Media mogul Byron Allen’s legal battle with McDonald’s has hit a roadblock as a Los Angeles Superior Court judge ruled against him in his $100 million lawsuit. The lawsuit alleged that McDonald’s did not fulfill its promises to increase advertising with Black-owned media companies as part of its diversity efforts.
In response to discrimination claims, McDonald’s had announced a “four-year plan” in May 2021 to increase its national media spending with Black-owned companies from 2% to 5%. However, Allen’s Weather Group, LLC and Plaintiff Entertainment Studios Networks, Inc claimed that McDonald’s only intended to generate positive publicity and had no real intention to follow through with the plan.
However, Judge Mel Red Recana sided with McDonald’s, stating that the evidence presented by the plaintiffs failed to demonstrate that McDonald’s did not intend to fulfill its promise. The judge noted that McDonald’s still had time to meet its commitment and allocate the necessary spending with Black-owned media.
Following the court’s decision, McDonald’s issued a statement calling the lawsuit “frivolous” and part of Allen’s “smear campaign.” The company also emphasized its commitment to diversity and inclusion efforts and stated that it would continue to collaborate with diverse-owned partners.
On the other hand, Allen’s legal team expressed disagreement with the decision and announced plans to appeal. They emphasized that a separate $10 billion racial discrimination lawsuit against McDonald’s is still pending in federal court.
The legal battle between Allen and McDonald’s is ongoing, and its outcome remains uncertain. As both parties continue to pursue their respective claims, the case highlights the complexities and challenges involved in addressing diversity and inclusion issues in corporate advertising practices.