Organization sues McDonald’s over college scholarships for Latinos


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The American Alliance for Equal Rights is suing restaurant chain McDonald’s for alleged discrimination. The organization, led by Edward Blum, who successfully argued against affirmative action in colleges before the U.S. Supreme Court, is now targeting the golden arches and its scholarship program for Latino and Hispanic students.

The lawsuit alleges that McDonald’s Hacer National Scholarship discriminates against non-Hispanics and racial minorities, such as Black people, Arab people and Native Americans. It claims those groups are barred from receiving the scholarship based on their ethnic heritage and that discrimination is unlawful.

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The lawsuit was filed in Nashville, Tennessee, where the program is administered by a company named International Scholarship and Tuition Service.

Hacer is one of the biggest corporate awards for high school seniors in the country. Those scholarships range from $5,000 to $100,000. The scholarships are limited to students with at least one parent who is of Latino or Hispanic heritage.

Since the mid-1980s, McDonald’s says it has awarded more than $33 million to more than 17,000 Hispanic and Latino students. The company selects recipients based on their academic achievement, community involvement, personal statement and financial need.

The American Alliance for Equal Rights is seeking an injunction because the deadline to apply is less than one month away on Feb. 6. The suit notes that an unnamed high school student from Arkansas, who is not Latino or Hispanic, wants to apply for a scholarship.

Blum wants McDonald’s to put the program on hold “so it can be opened to all under-resourced high-school students, regardless of their ethnic heritage.”

McDonald’s says it is now reviewing the lawsuit. It comes at a time when big companies, including McDonald’s, have begun to roll back their diversity initiatives.

Brock Koller (Senior Producer) and Jack Henry (Video Editor ) contributed to this report.
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