It was asked by McDonald’s on Friday from the judge to dismiss the racial discrimination lawsuit filed by former franchisees by giving an argument that it wants every operator in their system to flourish.
“Vague and conclusory allegations”, the company said to the judge, regarding the 52 Black plaintiffs that they failed to provide the evidence of the breach of contract, fraud, and racial discrimination.
Also was said by McDonald’s that the Statutes for limitation for such claims has expired, it was expired when the franchisees exited the franchise. The Statutes of Illinois place where the suit was filed duration of a contract is four years.
The company also said that the basis of the case that McDonald went into the business with black franchisees with the intention to make them fail is illogical, despite the fact that the company’s core interest is that the franchisees make a successful business and flourish which will eventually be beneficial for the company. Loretta Lynch’s current legal counsel for McDonald’s and former attorney general added.
The former franchisees argued that the fast-food giant did not give them the opportunities which were given to the white franchisees and also they added that the company steered them to the low-income localities where there were higher insurance expenses and security expenses with low sales.
The Plaintiffs claimed to have lost $4 million to $5 million per location on average this loss is calculated by subtracting the restaurant’s cost from missed revenue over the years active.
It has been said by the McDonalds that they are going to take these allegations very seriously, they also added that they will go to any extent to defend that lawsuit as it is challenging their basic core principles of doing business, that being a responsible company it is their duty to provide equal opportunities to its suppliers, employees, and franchisees without any discrimination.
Plaintiff’s representative did not respond immediately to the request for comment when asked by a journalist.
This lawsuit is the fourth case filed against McDonald’s in that year, which claims racial discrimination. Vicki Guster-Hines and Dominica Neal two senior executives of McDonald filed cases claiming racial discrimination in January. The lawsuit filed claimed that the company fired African-American leadership and pushed the black franchisees out.
McDonald argued with the judge to dismiss allegations from the lawsuit regarding those black operators.