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Federal judge dismisses lawsuit challenging minority representation on Alabama board
Federal judge dismisses lawsuit challenging minority representation on Alabama board

Yahoo

time12-06-2025

  • Politics
  • Yahoo

Federal judge dismisses lawsuit challenging minority representation on Alabama board

The Alabama State Capitol in Montgomery, Alabama as seen on Feb. 4, 2025. A law that maintains diversity on the Alabama Real Estate Appraisers Board remains after case challenging it is dismissed. (Brian Lyman/Alabama Reflector) A federal judge dismissed a lawsuit last week that challenged a state law and administrative regulation requiring the Alabama Real Estate Appraisers Board to have at least two minority members. U.S. District Judge R. Austin Huffaker, Jr. dismissed the case on Friday after both parties agreed to end the proceedings after the plaintiff in the case, American Alliance for Equal Rights (AAER), objected to being subjected to discovery. With both parties agreeing to end the litigation, Huffaker then agreed to the stipulations from both parties and ended the case with prejudice. The American Alliance for Equal Rights (AAER), a group founded by anti-affirmative action activist Edward Blum, argued that a 1989 law requiring that 'no less than two of the nine board members shall be of a minority race' on the board violated the Equal Protection Clause of the Fourteenth Amendment of the U.S. Constitution. Huffaker, appointed to the bench by President Donald Trump, dismissed the case without weighing in on the merits of the case after the litigants agreed to end it. Pamela Wyatt, president of the Alabama Association of Real Estate Brokers (AAREB), a mostly-Black organization that intervened to preserve the law, said in a statement that the case 'allowed us to demonstrate how important state laws ensuring diversity on state boards are to people in Alabama.' 'State boards make decisions that affect all Alabamians and should be reflective of the communities they serve,' the statement said. 'For the past three decades, this Alabama law has aimed to ensure that state boards reflect the state's rich diversity, and we are thrilled that this case has been dismissed with prejudice.' The association intervened in the case after Gov. Kay Ivey's office said in court filings that the regulations were an 'unconstitutional requirement that 'she does not—and will not—enforce,'' according to court documents. The governor's office did object to AAER's challenge to inclusivity language in the statute. Blum, the founder of the AAER, brought a lawsuit that led to the U.S. Supreme Court in 2023 to strike down race-conscious college admissions. The AAER sued the state after the appraisers board rejected an application filed by Laura Clark, a member of AAER, because her appointment would have violated state statute that at least two of the board members be nonwhite. Clark, who is white, also serves as the interim president of the Alabama Center for Law and Liberty, a conservative nonprofit law firm that says it advocates for 'limited government, free markets, and strong families.' The AAREB said Alabama's long history of racial discrimination in housing made minority representation on the state appraisal board critical to fairness. 'This particular law is critically important for that organization and many, many, other real estate professionals of color, and people of color in the state, who will suffer immensely if the law is struck down,' said Brooke Menschel, an attorney with Democracy Forward, representing the AAREB, last year. The parties proceeded to discovery last July after Huffaker rejected a request for summary judgment filed by AAER for the court to rule in its favor. AAER was listed as a plaintiff in the case, which subjected it to discovery. That meant opposing counsel could depose the members and staff of the organization and request documents to be used as evidence during litigation. 'Rather than continue to litigate an issue that both plaintiff and defendant agree is unconstitutional, we went ahead and agreed to have the case be dismissed,' said Haley Dutch, an attorney with Pacific Legal Foundation. In the spring, AAER requested to be removed as a party to the case and have Clark added instead, which would have subjected her to discovery. 'AAER brought this case on Ms. Clark's behalf, relying on the doctrine of associational standing to assert her interests, not its own,' AAER said in a request filed with the court in March to substitute Clark for AAER as the plaintiff. 'AAER is thus not a necessary or indispensable party to the litigation.' Democracy Forward opposed the request. 'It is a fundamental rule of litigation that when you choose to sue you have to expose yourself to discovery,' Democracy Forward said in a filing in April opposing the substitution. 'AAER has a clear choice. If AAER does not want to litigate this case, it may voluntarily dismiss this litigation and Ms. Clark can file a new case if and when she has standing with regard to a live controversy. But if AAER wants to maintain this action, it must sit for a deposition, like all other litigants. It cannot shirk its discovery obligations.' Huffaker rejected the request for substitution. 'What does appear clear is that AAER declared itself the jockey in a race that it started and has ridden this horse in this manner since February 2024,' Huffaker said. 'Clark could have been the jockey from the outset, but AAER chose not to proceed in that manner. Similarly, AAER could have switched riders (i.e., Clark for AAER) well before the amended pleadings deadline.' 'The Court will not tolerate such tactics,' Huffaker added.

Southwest Airlines to pay 1 cent in lawsuit over Hispanic scholarship program
Southwest Airlines to pay 1 cent in lawsuit over Hispanic scholarship program

USA Today

time17-05-2025

  • Business
  • USA Today

Southwest Airlines to pay 1 cent in lawsuit over Hispanic scholarship program

Southwest Airlines to pay 1 cent in lawsuit over Hispanic scholarship program Show Caption Hide Caption The companies standing up to Trump on DEI Companies like Costco and Levi's are rejecting the White House's position on diversity, equity and inclusion. A U.S. judge signaled he will order Southwest Airlines LUV.N to pay 1 cent to end a lawsuit by a conservative group alleging that a now-defunct program awarding free flights to Hispanic college students was discriminatory. U.S. District Judge Sidney Fitzwater on Wednesday rejected a request by Edward Blum's American Alliance for Equal Rights to address the merits of its case, after Southwest "unconditionally surrendered" by scrapping its ¡Lánzate! program. Blum has tried for decades to remove racial considerations from parts of American life, including a successful push to essentially end affirmative action in college admissions. U.S. President Donald Trump, meanwhile, has made removing diversity, equity and inclusion policies from society a hallmark of his second White House term. Southwest's ¡Lánzate! program had since 2004 provided assistance to 1,500 Hispanic undergraduate and graduate students who lived at least 200 miles (322 km) from campus. Workplace diversity: What is DEI and why is it so divisive? What you need to know. Fitzwater said it would waste time and money to keep litigating whether the program violated a Civil War-era law barring racial bias in contracting, because the plaintiff achieved "total victory" after Southwest effectively gave up. "Granting an obstinate plaintiff total victory upon the defendant's unconditional surrender is a reasonable response to the problems and needs confronting the court's fair administration of justice," the Dallas-based judge wrote. Fitzwater gave both sides until May 28 to object. Southwest, based in Dallas, had no immediate comment on Thursday. Lawyers for the plaintiff did not immediately respond to requests for comment. While the plaintiff had sought 1 cent in damages, its lawyers said the case's merits should be addressed because it concerned "issues of substantial public importance" regarding intentional ethnic discrimination by a major company. "Southwest cannot avoid liability by paying the Alliance via a judgment that's not really a judgment, any more than it could avoid liability by paying the Alliance via no judgment," the lawyers wrote. The case is American Alliance for Equal Rights v Southwest Airlines Co, U.S. District Court, Northern District of Texas, No. 24-01209. Reporting by Jonathan Stempel in New York; Editing by Bill Berkrot

Southwest Airlines likely to pay 1 cent to end DEI-related lawsuit
Southwest Airlines likely to pay 1 cent to end DEI-related lawsuit

Yahoo

time15-05-2025

  • Politics
  • Yahoo

Southwest Airlines likely to pay 1 cent to end DEI-related lawsuit

By Jonathan Stempel (Reuters) - A U.S. judge signaled he will order Southwest Airlines to pay 1 cent to end a lawsuit by a conservative group alleging that a now-defunct program awarding free flights to Hispanic college students was discriminatory. U.S. District Judge Sidney Fitzwater on Wednesday rejected a request by Edward Blum's American Alliance for Equal Rights to address the merits of its case, after Southwest "unconditionally surrendered" by scrapping its ¡Lánzate! program. Blum has tried for decades to remove racial considerations from parts of American life, including a successful push to essentially end affirmative action in college admissions. U.S. President Donald Trump, meanwhile, has made removing diversity, equity and inclusion policies from society a hallmark of his second White House term. Southwest's ¡Lánzate! program had since 2004 provided assistance to 1,500 Hispanic undergraduate and graduate students who lived at least 200 miles (322 km) from campus. Fitzwater said it would waste time and money to keep litigating whether the program violated a Civil War-era law barring racial bias in contracting, because the plaintiff achieved "total victory" after Southwest effectively gave up. "Granting an obstinate plaintiff total victory upon the defendant's unconditional surrender is a reasonable response to the problems and needs confronting the court's fair administration of justice," the Dallas-based judge wrote. Fitzwater gave both sides until May 28 to object. Southwest, based in Dallas, had no immediate comment on Thursday. Lawyers for the plaintiff did not immediately respond to requests for comment. While the plaintiff had sought 1 cent in damages, its lawyers said the case's merits should be addressed because it concerned "issues of substantial public importance" regarding intentional ethnic discrimination by a major company. "Southwest cannot avoid liability by paying the Alliance via a judgment that's not really a judgment, any more than it could avoid liability by paying the Alliance via no judgment," the lawyers wrote. The case is American Alliance for Equal Rights v Southwest Airlines Co, U.S. District Court, Northern District of Texas, No. 24-01209.

U.S. attorney general challenges Illinois' new nonprofit diversity law
U.S. attorney general challenges Illinois' new nonprofit diversity law

Yahoo

time05-03-2025

  • Politics
  • Yahoo

U.S. attorney general challenges Illinois' new nonprofit diversity law

SPRINGFIELD, Ill. (WTVO) — U.S. Attorney General Pamela Bondi has moved to intervene in a lawsuit against Illinois that requires nonprofits to publicly disclose race and gender demographic information. According to the U.S. Department of Justice, the intent of 'is to encourage nonprofits to discriminate under the guise of making nonprofit boards more 'diverse.'' A national equal rights organization, American Alliance for Equal Rights, filed suit last month, asking an Illinois federal judge to block the state from enforcing the statute it says unconstitutionally requires nonprofits to publicize their demographic data, and encouraging organizations to discriminate based on race. The DOJ said Wednesday's intervention was a step toward 'eradicating illegal race and sex preferences across the government.' 'The United States cannot and will not sit idly while a state denies its citizens equal protection under the guise of diversity,' said Attorney General Bondi. 'Discrimination in all its forms is abhorrent and must be eliminated. The Department of Justice will continue to exercise its statutory right to intervene in cases whenever a state encourages DEI (diversity, equity, and inclusion) instead of merit.' 'This is a case of immense public importance because, as the Supreme Court recognized, ending 'discrimination means eliminating all of it,'' said Acting Associate Attorney General Chad Mizelle. 'This intervention seeks to eliminate discrimination via DEI and ensure the Constitution's guarantee of equal protection is enforced.' Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Chicago sued by white men barred from Bally's casino investment
Chicago sued by white men barred from Bally's casino investment

Chicago Tribune

time30-01-2025

  • Business
  • Chicago Tribune

Chicago sued by white men barred from Bally's casino investment

Bally's Corp. and the City of Chicago were accused of discriminating against White men in a lawsuit by a conservative legal group challenging a $1.7 billion casino project that offered a 25% ownership stake only to women and people of color. The city violated the civil rights of Richard Fisher and Phillip Aronoff, who said they were unable to invest in the project because they're White men, according to the suit filed Wednesday in federal court by the American Alliance for Equal Rights. 'We're not trying to stop the casino, we're trying to stop the race discrimination,' Dan Lennington, a lawyer for the plaintiffs. 'The minute they insert race-based qualifications into an investment, that's when it becomes illegal and invalid under federal law.' Bally's devised the share-purchase program to make good on a pledge made in its casino bid to bring under-represented groups into the project and help build wealth in the local community. But such diversity, equity and inclusion practices have come under fire in the private sector and are getting rolled back by the federal government under the new Trump administration. The suit challenges a provision in the Illinois Gambling Act requiring gaming companies to establish diversity programs that award 25% of contracts and other agreements to women and minority-owned businesses. In 2022, when the city awarded its sole casino license to Bally's, the deal included plans to offer a stake to minorities and women. 'Bally's has a binding Host Community Agreement with the City of Chicago to build what will be the best regional casino in the country,' the company said in an emailed statement. 'Bally's honors its commitments.' A spokeswoman for the Illinois Gaming Board declined to comment. The city of Chicago law office didn't respond to requests for comment on Thursday. Last month, Bally's announced the initial public offering of Class A shares that would provide a 25% equity stake only to women and minorities. But the suit alleges the limitations — which bar initial investors from reselling their shares to White males — are illegal. Fisher and Aranoff 'would like to be dealt in on this offering but are excluded from the table solely based on immutable characteristics,' according to the lawsuit. 'In short, defendants have stacked the deck against them.' The plaintiffs are asking a judge to order Bally's to sell them Class A shares and to lift the restriction in resale of shares to White men. American Alliance for Equal Rights focuses on lawsuits targeting DEI initiatives and 'distinctions made on the basis of race and ethnicity,' according to its website. The organization was founded by conservative legal activist Edward Blum. The case is American Alliance for Equal Rights v. Chicago, 25-cv-01017, US District Court, Northern District of Illinois (Chicago). Originally Published: January 30, 2025 at 2:08 PM CST

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