Skip Miller, an attorney for the plaintiffs, said Wednesday they would file an amended complaint with more detailed facts. “I fully expect this case to move forward with discovery and trial,” he said in an email.
Loretta Lynch, an attorney for McDonald’s, said the company would assess the new claims and move again to dismiss them “as we believe there is no evidence supporting this meritless case.”
“This case is about revenue, not race, and was dismissed because plaintiffs have provided absolutely no factual basis for their claims,” she said in a statement provided by the company.
The suit alleged that being excluded from McDonald’s general market budget caused Allen’s companies to lose out on critical advertising dollars. In 2019, McDonald’s spent $1.6 billion on television advertising in the U.S., with $5 million, or less than one-third of 1%, going toward Black-owned media, the lawsuit alleged.
The same day the lawsuit was filed, McDonald’s announced an initiative pledging to increase its advertising spending over four years with companies owned by people from diverse backgrounds, a group that includes African Americans, Hispanics, Asian Americans, Pacific Islanders, women and LGTBQ individuals.
The suit alleged McDonald’s violated federal and California state law prohibiting racial discrimination in contracting and sought actual and triple damages, along with attorney’s fees and costs, with the total estimated at more than $10 billion.
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