American Alliance for Equal Rights Files Lawsuit Challenging Race-Based Supplier Program at American Airlines, Inc. and Qurium Solutions, Inc. D/B/A Supplier.IO

AUSTIN, Texas, Feb. 11, 2025 /PRNewswire/ -- Today, the American Alliance for Equal Rights (the Alliance) filed a lawsuit in the United States District Court for the Northern District of Texas against American Airlines, Inc. and Qurium Solutions, Inc. (D/B/A Supplier.io). The Alliance alleges that the companies' supplier-diversity programs unlawfully exclude potential contractors on the basis of race, two of whom are members of the Alliance.

The complaint is attached.

View PDF

As highlighted in the complaint, the Alliance notes that American Airlines explicitly reserves opportunities for businesses owned by individuals from specific racial groups, while excluding others. Supplier.io, a key company in managing supplier-diversity policies for many major corporations, is named as a co-defendant due to its role in facilitating and enforcing these race-restricted criteria.

The Alliance argues that these practices directly violate 42 U.S.C. §1981, a post-Civil War statute passed to ensure equal contracting rights for all Americans, regardless of race. Section 1981 guarantees that every individual is entitled to the same right "to make and enforce contracts," a right the Alliance contends is being denied to its members who are excluded from American Airlines' program solely because of their race. 

Additionally, the Alliance asserts that these programs violate Title VI of the Civil Rights Act which bars racial discrimination by entities receiving federal funds.

Edward Blum, president of the Alliance said, "It is bewildering why American Airlines has continued these racially discriminatory programs long after the courts have rejected the notion that racial favoritism is a benign form of discrimination."

Blum added, "Whether in university admissions, employment, or contracting, the message from the courts is clear: racial discrimination, no matter how well-intentioned it may be, is incompatible with the values of equal opportunity enshrined in our Constitution and federal law. Significant majorities of all Americans do not want race to be a factor in our nation's public policies."

Contact:
Edward Blum
President, AAER
703-505-1922

SOURCE American Alliance for Equal Rights