The chief of Allen Media Group, Byron Allen, has successfully reached a settlement regarding the significant $10 billion lawsuit he initiated in 2021. This lawsuit accused the renowned fast food giant, McDonald’s, of discriminating against Black-owned media companies in their advertising expenditures on television. The case has drawn considerable attention due to its implications for diversity and equity in media representation.
While the specific terms of the settlement remain undisclosed, the agreement successfully avoids a trial that was set to commence next month in a federal court located in Los Angeles. Both parties announced this development in a collaborative statement issued late Friday, indicating a mutual desire to resolve the issue amicably and move forward.
In a statement from McDonald’s USA, the company expressed happiness over Mr. Allen’s recognition of their steadfast commitment to inclusion. They noted that Allen has agreed to redirect his efforts towards fostering a beneficial business relationship that aligns with McDonald’s other supplier partnerships. The statement emphasized the company’s unique three-legged stool model, which is built on principles of mutual respect and collaboration, highlighting their anticipation of contributions from ESN to enhance their overall system.
Allen’s legal complaint was based on allegations that McDonald’s purchasing habits for advertising time on media outlets aimed at Black audiences were discriminatory. He argued that these purchases were made from a budget designated for what the complaint termed as “the African American tier” of media outlets. Allen asserted that this practice was detrimental to Black media owners because the financial resources allocated to that tier were significantly more restricted compared to the budget utilized for broad-based audiences across major networks and platforms.
The lawsuit was filed by Allen Media Group’s Entertainment Studios and Weather Group divisions, underscoring the multifaceted approach to addressing systemic inequities in advertising and media representation.
Expressing satisfaction with the resolution, Allen stated, “We’re pleased to find a resolution that maintains our business relationship.” He further noted that throughout the litigation process, many of their preconceived notions were clarified, acknowledging McDonald’s commitment to investing in Black-owned media properties and enhancing access to opportunities. He concluded by stating that their differences have been set aside, and he looks forward to future collaborations.
At this time, it remains uncertain whether the settlement entails any significant changes to the advertising purchasing practices of the fast food giant. Back in December, a motion to dismiss the complaint was denied by U.S. District Judge Fernando M. Olguin, who stated that he believed the case warranted a thorough hearing due to its complexities and potential implications.
Allen has achieved notable success in a series of civil rights lawsuits against prominent figures in the media and advertising sectors concerning distribution agreements for his channels and advertising sales. Notably, he reached a settlement with Comcast in 2020 after a protracted legal battle that ascended to the U.S. Supreme Court to address one aspect of the dispute. He has also secured settlements with DirecTV and Charter Communications, further establishing his commitment to fighting for equal representation.
Allen founded his company over three decades ago, starting with a single talk show that he hosted. Today, he has expanded his portfolio to include numerous lifestyle channels, the Weather Channel, and digital platforms like The Grio and HBCU Go. Over the past decade, he has invested in several television stations, but earlier this month, he enlisted the help of investment bank Moelis & Co. to assist him in selling a collection of 28 network affiliate stations located in medium and small markets throughout the country.
The post Byron Allen, McDonald’s Achieve Settlement in $10 Billion Lawsuit appeared first on Allcelbrities.

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