CLEVELAND (AP) — McDonald’s will pay $33.5 million to a former baseball player who owns multiple franchises to end a lawsuit he brought against the company accusing it of racial discrimination.

Herb Washington (Black) owned over a dozen restaurants across Ohio and Pennsylvania at the time he filed. a lawsuit in February According to him, the company had treated his white owner more favourably than he and prevented him from purchasing restaurants in more prosperous communities.

McDonald’s said in a statement Thursday that the amount it was paying Washington for 13 franchises was “no more than what we deem a fair price for the value of the restaurants,” reported.

“While we were confident in the strength of our case, this resolution aligns with McDonald’s values and enables us to continue focusing on our commitments to the communities that we serve,” the company said, adding that “discrimination has no place at McDonald’s.”

Washington was granted the right to withdraw from the suit and to cease to be a franchisee in the settlement agreement.

The lawsuit filed in U.S. District Court in Youngstown said McDonald’s sought to steer Washington toward stores located in poorer neighborhoods and that “Black owners average around $700,000 less in annual sales per store than white owners.”

For comment, the news outlet reached out at New Orleans and Cleveland attorneys for Washington. According to the outlet, last week the company revealed that it will spend $250 million in five years for minority franchise owners.

More than 2,000 people will be in September 2020. 50 Black former franchise ownersSimilar allegations were made against the company. According to the suit, Black owners were offered stores in less secure areas and higher insurance costs. However they were not granted rent assistance during renovations as white owners.

Washington was a track star at Michigan State University who played part of two seasons in the Oakland Athletics’ mid-1970s.


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