The Minority Business Development Agency (MBDA) will now have to serve all clients regardless of race. That ruling came down on Mar. 7 from Judge Mark Pittman of the U.S. District Court of the Northern District of Texas.
This ruling was in response to a violation of the Fifth Amendment of the U.S. Constitution. Even though there is no explicit protection clause in the Fifth Amendment like there is in the Fourteenth Amendment, the Fifth Amendment implicitly guarantees protection from racial discrimination, including in this case.
The lawsuit against the MBDA was filed by the Wisconsin Institute for Law and Liberty on behalf of three plaintiffs: Jeffrey Nuziard, Christian Bruckner and Matthew Piper.
The three men, who are all White, wanted to obtain federal funding from the MBDA for their small business. But they originally could not obtain the financial help they needed from the business because of their race.
The MBDA’s mission statement explicitly says that the business exists to ensure economic prosperity for all American business enterprises. But according to Pittman’s court order, the plaintiffs did not fit any of the races eligible for federal assistance.
Pittman also stated in his order that the MBDA awards assistance to those who the agency presumes are economically and socially disadvantaged. The MBDA also has a codified list of races it perceives as disadvantaged.
The list includes people from groups such as: African Americans, Asian Americans, Hispanic Americans, Hasidic Jews, Native Americans and Pacific Islanders. This did not sit well with Judge Pittman
“The Agency presumes anyone from the listed groups is ‘socially or economically disadvantaged’ and is thus entitled to services,” Pittman said. “Anyone outside those groups, white or otherwise, is presumptively not disadvantaged and thus not entitled to benefits.”
This victory is just one of many taking place around the country, as conservatives fight back against the Diversity, Equity and Inclusion movement.
But while many are celebrating the victories achieved against DEI in the legal arena, not everyone is happy.
A federal judge in Texas has ruled that the Minority Business Development Agency, a 55-year-old agency, discriminates against white people. This is exactly what I’ve been warning about. Republicans are dismantling all the progress of the 20th century. https://t.co/LhfBM4uQNf
— Keith Boykin (@keithboykin) March 6, 2024
Fearless Fund CEO Arian Simone, whose foundation helps women of color start their own businesses, is afraid that legal decisions could reopen what she sees as an economic gap between white people and minorities.
“Practically every day there seems to be a new legal ruling that chips away at our attempt to close economic gaps that exist for people of color,” she said. “The inaction by those who claim to be committed to equity has created the vacuum for this to happen.”
As the legal battle between DEI and conservatism continues, more cases and decisions like this are bound to happen in the future.