1851

McDonald’s has agreed to pay $33.5 million to a Black franchisee who filed a racial discrimination lawsuit against the QSR franchise in February, <a href="https://apnews.com/article/sports-business-discrimination-race-and-ethnicity-racial-injustice-a12c6c026e47aca98d3da27d8b84db1d?utm_source=1851franchise.com&utm_medium=article&utm_campaign=mcdonalds-settles-racial-discrimination-lawsuit-with-franchisee-for-335-million-2717527" target="_blank" rel="nofollow">according to the Associated Press</a>. Herb Washington, a former baseball player and owner of more than a dozen McDonald’s locations in Pennsylvania, filed <a href="https://apnews.com/article/mlb-lawsuits-oakland-athletics-ohio-us-news-fb0865e9a066fc0dca8b75f85ccb90be?utm_source=1851franchise.com&utm_medium=article&utm_campaign=mcdonalds-settles-racial-discrimination-lawsuit-with-franchisee-for-335-million-2717527" target="_blank" rel="nofollow">a lawsuit in February</a> that claimed the company favored white owners and denied him the opportunity to buy restaurants in more affluent communities.“McDonald’s has targeted me for extinction,” Washington said when he originally filed the suit. “The arches are in full-scale retaliation mode against me.” He also added that the company had demanded he sell some of his stores before he could receive contract extensions for others.Washington agreed to drop the lawsuit and exit his franchise agreement as part of the settlement. McDonald’s said in a <a href="https://apnews.com/article/cleveland.com/business/2021/12/mcdonalds-pays-335-million-to-end-racial-discrimination-lawsuit-filed-by-black-owner-herb-washington.html?utm_source=1851franchise.com&utm_medium=article&utm_campaign=mcdonalds-settles-racial-discrimination-lawsuit-with-franchisee-for-335-million-2717527" target="_blank" rel="nofollow">statement</a> 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.”“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. “Discrimination has no place at McDonald’s.”In September 2020, more than 50 Black former franchise owners filed a <a href="https://1851franchise.com/mcdonalds-faces-1-billion-discrimination-lawsuit-from-52-black-ex-franchise-owners-2713798">$1 billion discrimination lawsuit</a> against the company. A suit in January also accused the company of <a href="https://1851franchise.com/dozens-of-black-mcdonalds-franchisees-are-cutting-ties-with-the-golden-arches-2711810">pushing Black executives from senior leadership</a> under former <a href="https://1851franchise.com/mcdonald-s-ceo-steve-easterbrook-fired-over-relationship-with-employee-2711491">CEO Steve Easterbrook</a> and current CEO Chris Kempczinski, as well as forcing Black operators out of the system.&nbsp;Related articles:<ul><li><a href="https://1851franchise.com/mcdonalds-faces-another-lawsuit-over-alleged-harassment-of-black-workers-and-diners-2714085#stories">McDonald's Faces Another Lawsuit Over Alleged Harassment of Black Workers and Diners</a></li><li><a href="https://1851franchise.com/mcdonalds-faces-1-billion-discrimination-lawsuit-from-52-black-ex-franchise-owners-2713798">McDonald’s Faces $1 Billion Discrimination Lawsuit From 52 Black Ex-Franchise Owners</a></li><li><a href="https://1851franchise.com/dozens-of-black-mcdonalds-franchisees-are-cutting-ties-with-the-golden-arches-2711810#stories">Dozens of Black McDonald’s Franchisees Are Cutting Ties with The Golden Arches</a></li></ul>

McDonald’s Settles Racial Discrimination Lawsuit with Franchisee for $33.5 Million

1851 Franchise

As part of the settlement, McDonald's will purchase 13 restaurants owned by former pro baseball player Herb Washington, who sued the legacy franchisor earlier this year.

mcdonalds-settles-racial-discrimination-lawsuit-with-franchisee-for-335-million

SweatHouz

SweatHouz SWTHZ Franchise - Hunter and Mallory Mitchem - Franchisee Feature - 1851 Franchise

From Aerospace to Wellness: Hunter Mitchem’s Journey to a SweatHouz Empire

sweathouz-franchise-hunter-mitchem-6g

Onigilly Japanese Kitchen

Onigilly - Low Operating Costs Drive High Returns for Franchisees - 1851 Franchise

Maximize Your ROI: How Onigilly’s Low Operating Costs Drive High Returns for Franchisees

onigilly-franchise-fast-casual-franchise-opportunity

Layne's Chicken Fingers

What Is the Layne’s Franchise Disclosure Document, and What Will I Find in It?

laynes-franchise-disclosure-document

Athletech News: How SWTHZ Delivers on Wellness Demands of All Kinds

swthz-delivers-wellness-demands-contrast-therapy

TruBlue Home Service Ally

Why Protected Territories Matter and How the TruBlue Franchise Delivers

why-protected-territories-matter-and-how-the-trublue-franchise-delivers

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Development Website Builder

Franchise Resources

What ALEC-Laffer's Report Means for Franchising

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

1851 Login

GROWTH CLUB LOGIN

facebook

instagram

twitter

linkedin

youtube

Bed Bath & Beyond - Franchise Expansion - Retail Strategy - 1851 Franchise

Bed Bath & Beyond Launches Franchise Model as Part of Comeback Strategy

bed-bath-beyond-franchise-expansion-retail-strategy

Senior Entrepreneurship - Franchising - 1851 Franchise

Senior Entrepreneurship Is Rising — And Franchising Is a Key Outlet

senior-entrepreneurship-franchising-silver-startups

U.S. Government Shutdown - Impact on Franchises - 1851 Franchise

Government Shutdown Stalls SBA Loans: How the Shutdown Could Impact Franchises

government-shutdown-impacts-sba-loans-tourism-franchises

Subway Franchisees Resist Expensive Remodel Directives

subway-franchisees-resist-expensive-remodel-directives

The American Franchise Act: What It Means for Franchisors and Franchisees - 1851 Franchise

The American Franchise Act: What It Means for Franchisors and Franchisees

american-franchise-act-joint-employer-standard

image of franchise deep dive from 1851 franchise on doody calls franchise authority brands

DoodyCalls Franchise Costs, Fees, Profit and Data for 2025

doodycalls-franchise-deep-dive

image of mellow mushroom deep dive into financials article from 1851 franchise

Mellow Mushroom Franchise Costs, Fees, Profit and Data for 2025

mellow-mushroom-franchise-deep-dive

How goGLOW Turned Clean Beauty Into a Scalable Franchise and Why It’s Accelerating Now

goglow-clean-beauty-tanning-franchise

How Capriotti’s Sandwich Shop Has Expanded Into One of the Restaurant Industry’s Most Exciting Franchise Opportunities

meet-the-franchisor-capriottis-david-bloom

Top Education Franchises To Consider for 2025 - 1851 Franchise

Top Education Franchises To Consider Investing In for 2025

top-education-franchises-investment-opportunities

Power Eats: Smoothie King Rolls Out Food Nationwide To Fuel Franchise Growth

smoothie-king-food-menu-power-eats

Top Early Childhood Education and Child Care Franchises for 2025 - 1851 Franchise

Top Early Childhood Education and Child Care Franchises for 2025

early-childhood-education-child-care-franchises

Top Arts and Creative Learning Franchises for 2025 - 1851 Franchise

Top Arts and Creative Learning Franchises for 2025

top-arts-creative-learning-franchises

1851 Franchisee Spotlight graphic with photo of Barb Volk and KidStrong logo

Why This Orangetheory Fitness Franchise Owner Is Developing KidStrong Franchises

kidstrong-franchise-owner-barb-volk-2025

McDonald’s Settles Racial Discrimination Lawsuit with Franchisee for $33.5 Million

MORE STORIES LIKE THIS