Byron Allen, Founder, Chairman and CEO of Entertainment Studios and Allen Media Group,, has recently filed a $100 million lawsuit against McDonald’s Corporation for violating a California anti-fraud law that prohibits making false promises to advertise with Black-owned media.
This is the second lawsuit that Allen has filed against McDonald’s, alleging discrimination against Black-owned media.
The lawsuit accuses McDonald’s of fraudulently misleading and deceiving Black-owned media companies into believing that they would receive advertising opportunities as part of the corporation’s diversity and inclusion initiatives.
The mogul claims the fast-food giant made empty promises and gave false information about the company’s advertising practices.
In the complaint filed in Los Angeles County Superior Court, Byron alleges that McDonald’s told Black-owned media companies that it would allocate at least 5% of its advertising spending to Black-owned media.
However, the lawsuit claims that McDonald’s spent only about 0.5% of its advertising budget on black media in 2020.
Allen has been a vocal advocate for greater diversity and inclusion in the media industry, particularly in advertising.
In his first lawsuit against McDonald’s, filed in 2020, he alleged that the company engaged in racial discrimination by refusing to advertise on his networks, which include The Weather Channel, Comedy.TV, and JusticeCentral.TV. The case is still ongoing.
The current lawsuit against McDonald’s comes as more attention is being paid to the issue of racial disparities in advertising spending.
According to a report from the Alliance for Inclusive and Multicultural Marketing, only 5.2% of total advertising spending in the U.S. in 2020 went to Black-owned media, despite Black consumers making up nearly 14% of the population.
Allen’s lawsuit seeks $100 million in damages and an injunction to prevent McDonald’s from making false promises about advertising spending with Black-owned media.
The case is expected to shed light on the issue of racial discrimination in advertising and hold corporations accountable for their promises to support diversity and inclusion in the media industry.
In response to the lawsuit, McDonald’s released a statement emphasizing its commitment to diversity and inclusion, stating that it has “increased its advertising investment with diverse-owned media from 4% to 10% of its national advertising spend.” The company also stated that it is “disappointed” by the lawsuit and believes that it is “without merit.”
The lawsuit filed by Byron Allen against McDonald’s highlights the ongoing struggle for greater diversity and inclusion in the media industry. By holding corporations accountable for their promises to support Black-owned media, Allen is helping to pave the way for a more equitable and just media landscape.
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