A U.S. district judge dropped a $10 billion discrimination lawsuit against McDonald's on Tuesday.
Judge Fernando Olguin in Los Angeles dismissed media mogul Byron Allen's lawsuit that accused McDonald's of racial discrimination for allegedly not doing enough business with black-owned media agencies.
There was not sufficient evidence to prove the fast-food chain "intentionally and purposefully discriminated against them," Olguin said, according to a report that cited the complaint.
MCDONALD'S SUED FOR 'SYSTEMATIC BUT COVERT' DISCRIMINATION AGAINST BLACK EMPLOYEES
Allen alleged that McDonald's, on the basis of race, would not advertise with outlets owned by his companies, Entertainment Studios and Weather Group. While black Americans make up 40% of fast-food customers, he claimed in the complaint that McDonald's only used 0.3% of its U.S. ad budget in 2019 with black-owned media groups. The company's ad budget was reportedly $1.6 billion that year.
His legal team plans to file an amended complaint.
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"We will be adding more details to the complaint as directed by the court; and fully expect the case to go forward with discovery and trial," said Louis Miller, Allen's attorney, on Wednesday, according to Reuters.
A lawyer for McDonald's called the legal claims "meritless."
"This case is about revenue, not race," said Loretta Lynch. "We believe there is no evidence supporting this meritless case."