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McDonald’s Settles Lawsuit Filed by Black Franchise Operators

Signage outside a McDonald's Corp. fast food restaurant in Simpsonville, Kentucky.
Photographer: Luke Sharrett/Bloomberg

McDonald’s Corp. settled a lawsuit that had accused the fast-food chain of discrimination by the Black franchise operators of four of its restaurants in Tennessee.

The agreement Friday came more than a year after the complaint was filed by brothers James Byrd and Darrell Byrd, who were seeking as much as $5 million per store they operate to compensate for their losses. The suit showed they had alleged the chain gives preferential treatment to Whites among the ranks of its executives and workers.