- McDonald’s Corp MCD has temporarily defeated a lawsuit filed by former black franchise owners.
- The lawsuit was filed by fifty-two black franchise owners who accused the company of causing them to fail by pushing them to open stores in crime-ridden, low-income neighborhoods.
- also read: McDonald’s rejects owners’ request to delay changes in franchise policy
- The franchise owners are seeking $1 billion in damages, claiming that McDonald’s does not offer growth opportunities on par with white franchisees. Reuters reported.
- A federal judge in Chicago dismissed the 2020 lawsuit but said the plaintiff has until Oct. 21 to file an amended complaint.
- The company denied the allegations and said the franchisees decided on the locations of the stores.
- See also: Happy Meals for adults coming to McDonald’s, here’s how Kanye West could be involved
- Price promotion: MCD shares are trading up 1.17% to $238.09 on the latest check Tuesday.
- Photo via company
© 2022 Benzinga.de. Benzinga does not provide investment advice. All rights reserved.
Read full story here https://www.benzinga.com/news/22/10/29139496/mcdonalds-1b-bias-lawsuit-by-black-franchisees-dismissed-by-federal-judge
