Byron Allen's $10 Billion McDonald’s Racial Bias Lawsuit: What You Need to Know About the Surprising Settlement

Media tycoon Byron Allen, the driving force behind Allen Media Group, has reached a confidential settlement with McDonald’s Corporation regarding his $10 billion lawsuit that alleged racial discrimination in the fast-food giant's television advertising methods. Announced collaboratively, the agreement concludes a legal dispute poised for trial next month in Los Angeles federal court. File in 2021, Allen's lawsuit accused McDonald’s of excluding Black-owned media from its general advertising budget. He claimed the company relegated these outlets, including his own Entertainment Studios and Weather Group, to a restricted “African American tier,” which he argued provided significantly less financial support. This practice, Allen contended, marginalized Black media entrepreneurs and restricted their advertising access. While McDonald’s denies wrongdoing, the settlement includes a commitment to purchase advertising “at market value” from Allen’s media entities. Allen expressed satisfaction with the resolution, emphasizing McDonald’s dedication to investing in Black-owned media. McDonald’s shared its pleasure over the outcome, recognizing Allen's understanding of their commitment to inclusion.