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Federal Judge Rules Against Biden Administration's Minority Business Program

A Texas federal judge has declared the Minority Business Development Agency's race-based eligibility criteria unconstitutional, marking a significant legal victory for opponents of race-conscious programs.

The US Department of Commerce building is seen in Washington, DC, on February 2.
Protesters gather outside as the U.S. Supreme Courts hears oral arguments in two affirmative action college admission cases on Oct. 31, 2022.

Overview

  • A federal judge in Texas ruled that the Minority Business Development Agency's race-based eligibility criteria violate the Constitution's equal protection guarantees.
  • The ruling is seen as a major win for conservative activists fighting against race-conscious workplace and educational programs.
  • The lawsuit was filed by the Wisconsin Institute for Law and Liberty on behalf of three white business owners who were denied assistance from the agency.
  • The agency, established during the Nixon administration and expanded under the Biden administration, has been ordered to serve all races equally.
  • The decision could impact similar federal, local, and state government programs that consider certain races inherently disadvantaged.