ABOUT THE CASE AND SETTLEMENT: On September 11, 2024, the Fearless Fund, an Atlanta-based venture capital firm, announced it would close its grant and mentorship program for Black women. The firm’s decision comes after a yearlong battle over racial discrimination. Following the U.S. Supreme Court’s ruling against affirmative action in June 2023, diversity, equity, and inclusion (DEI) initiatives came under attack across industries, including the charitable sector. Several discrimination lawsuits were brought by the American Alliance for Equal Rights, led by conservative active Edward Blum, under Section 1981 of the 1866 Civil Rights Act, a Civil War-era statute which grants all individuals within the US jurisdiction the same rights and benefits as "enjoyed by white citizens" regarding contractual relationships (42 U.S.C. § 1981(a)). Among them was the case against the Fearless Fund, which tested the legal limits of diversity-focused funding.
On June 3, 2024, the U.S. Court of Appeals for the 11th Circuit, in a split vote, issued a decision blocking the Fearless Fund’s 501(c)(3) arm - the Fearless Foundation - from operating its Strivers Grant Contest, which awards $20,000 grants and mentorship to businesses majority-owned by Black women. In an unprecedented interpretation, the court ruled that the American Alliance for Equal Rights was likely to succeed in its claim that the contest violated section 1981.
The Fearless Fund decided to withdraw and agreed to settle, to prevent a binding precedent in three Southern states. As part of the agreement, Fearless Fund agreed to permanently close its grant contest. The case and settlement were “closely watched because of its possible implications for race-conscious programs in the private sector, particularly in the world of grant-giving and foundations.”
IN OUR CONFERENCE PLENARY SESSION, experts and leaders will give an overview of the decision and settlement, and share perspectives on the implications and best practices for continuing to advance DEI and racial equity in the field of nonprofit, philanthropy, and fundraising. BID Conference participants will have the opportunity to ask questions and gain additional insights.
BREAKIN' IT DOWN WEBSITE: https://lnkd.in/g2zrhWQs
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Medical executive and health policy wonk
1wCongratulations, Janice, on a well-deserved award for a lifetime of service to the community.