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Dozens of Black former franchisees sue McDonald's, alleging 'systematic' racism
Posted on 9/1/20 at 4:25 pm
Posted on 9/1/20 at 4:25 pm
quote:
In a lawsuit filed Tuesday in the U.S. District Court for the Northern District of Illinois, 52 Black former McDonald's franchise owners say the company denied them the same opportunities as white franchisees, and steered them instead to "locations that are destined to fail."
The lawsuit alleges McDonald's misled these Black entrepreneurs and they were "denied equal opportunity to economic success by McDonald’s systematic and covert racial discrimination."
The plaintiffs seek a jury trial and damages of between $4 million and $5 million per store.
"Each and every one of these businessmen and women tell a story of dashed hopes and lost dreams," attorney James Ferraro, who is representing the plaintiffs, said in a statement. "The world will soon see how these 52 people of color risked everything on the Golden Arches only to be kept down, marginalized and driven to ruin."
quote:
While in 1998 there were 377 Black McDonald's franchisees, today there are only 186 left standing, according to a statement from Ferraro's office. During that same period, however, McDonald's stores have increased from 15,086 to 36,059.
Moreover, the cash flow gap for Black McDonald's franchisees has tripled between 2010 and 2019, the court documents state, citing National Black McDonald's Operators Association data.
read more
Posted on 9/1/20 at 4:27 pm to RLDSC FAN
How were they oppressed?
ETA
And of course this is how this author chooses to end this column.
ETA
quote:
The complaint alleges the company steered Black franchisees to locations with low sales, high security and insurance costs, and were essentially a "financial suicide mission." It also states that Black franchisees were treated differently by being denied assistance during financial hardships that white franchisees were given, and claims the Black franchisees were denied the same growth opportunities that were offered to white franchisees.
quote:
The company noted that Black franchisees, including former franchisees who are part of the complaint, operate in rural, urban and suburban communities and that its inaccurate to suggest McDonalds limits opportunities for Black franchisees to certain communities. McDonald's added that while it may recommend locations, franchisees ultimately select the location they wish to purchase themselves. The company also says it's inaccurate and there is no evidence to suggest that McDonald's evaluates Black franchisees differently than other franchisees.
And of course this is how this author chooses to end this column.
quote:
The lawsuit comes as much of the nation and corporate America has been thrust into a racial reckoning as protests over the police-killing of Black Americans have brought longstanding issues of systemic racial inequity into the spotlight.
This post was edited on 9/1/20 at 4:31 pm
Posted on 9/1/20 at 4:27 pm to RLDSC FAN
Posted on 9/1/20 at 4:28 pm to RLDSC FAN
Of course it's racism, of course it is.
Posted on 9/1/20 at 4:28 pm to RLDSC FAN
This has absolutely nothing to do with the demographic in which these were opened I’m sure. I’m sure they also received the sub-standard ice cream machines .
This post was edited on 9/1/20 at 4:45 pm
Posted on 9/1/20 at 4:29 pm to RLDSC FAN
Sorry, lawsuit machine broken
Posted on 9/1/20 at 4:29 pm to RLDSC FAN
McDonalds should be sued for contributing to the overt fatness of black people. They have systematically targeted them with their advertising for the last two decades.
Posted on 9/1/20 at 4:30 pm to RLDSC FAN
quote:
While in 1998 there were 377 Black McDonald's franchisees, today there are only 186 left standing
Wonder why
Posted on 9/1/20 at 4:31 pm to RLDSC FAN
quote:
steered them instead to "locations that are destined to fail.
The frick is this shite?
Can ANYONE think of a McDonald's ANYWHERE that has ever failed??
Posted on 9/1/20 at 4:31 pm to LSUballs
Not reading the article, cuz don't care, but someone help me understand what McDonald's as a corporation would stand to gain by driving a bunch of it's franchisees out of business.
Posted on 9/1/20 at 4:31 pm to RLDSC FAN
They gave them all broken ice cream machines
EDT: Dammit!
EDT: Dammit!
This post was edited on 9/1/20 at 4:32 pm
Posted on 9/1/20 at 4:32 pm to RLDSC FAN
Thats the 2nd time they sued McD's today. African Germans going in hard
Posted on 9/1/20 at 4:32 pm to Rize
quote:
shite happens.
Usually after eating at McDonald's.
Posted on 9/1/20 at 4:35 pm to RLDSC FAN
quote:
steered them instead to "locations that are destined to fail."
Not sure if I believe this - unless there is proof
Most of the time you select your own location for a franchise - although all companies are different and I don’t know anything about McDonalds franchising
I wonder if some of the franchise owners did what Lundy did with his Pizza Hut franchise in the New Orleans area
Posted on 9/1/20 at 4:36 pm to S
quote:
The words “systemic” and “systematic”
Might want to re-check your link.
Posted on 9/1/20 at 4:36 pm to LSUGrad9295
Ryen Russillo did a bit in this when Danny Kannel was his cohost. Kannel said he was part of a group that got pitched franchise ownership and that all the owners brought in to provide testimonials were loaded and one of the big selling points is that less than some obscure number of franchises ever fail (like less than 1%). Russillo said that’s crazy and that he must have lived next to the two in the entire country that failed.
Posted on 9/1/20 at 4:36 pm to RLDSC FAN
Side note
Anyone remember getting these toys in a mcdonalds kids meal back in the day?
Anyone remember getting these toys in a mcdonalds kids meal back in the day?
Posted on 9/1/20 at 4:36 pm to RLDSC FAN
quote:
Dozens of Black former franchisees sue McDonald's, alleging 'systematic' racism
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