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John Deere Company Named in Alabama Discrimination Suit
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Added: 03/30/2004
Type: Summary
Viewed: 582 time(s)
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John Deere Company Named in Alabama Discrimination Suit
John Deere Company has been named in a law suit claiming racial discrimination. The suit, filed in the United States District Court for the Northern District of Alabama, Western Division, by Mr. Kenny Edwards, sites John Deere Company for failure to contract in violation of the Civil Rights Act of 1866, as codified at 42U.S.C. §1981. Mr. Edwards seeks loss of income, nominal, compensatory and punitive damages.
Kenny Edwards, a thirty year career African-American retiree from John Deere, attempted to purchase two John Deere Agricultural Dealerships from Don and Joy Rose – the Tractor and Turf, Inc. in Bessemer, AL and Skyland Equipment Company, Inc. in Tuscaloosa, AL. John Deere Company has refused to sell the dealerships to Edwards by placing terms and conditions upon Edwards for financing that are onerous, arbitrary and capricious, and significantly different from those terms placed on white buyers over the last four years. Prior to April (2003), Don and Joy Rose (a white couple), made aggressive attempts to facilitate the sale of their business to Edwards, upon approval of the sale by John Deere. In September, the Roses agreed to remain on the debt in order to make the sale easier; however, Deere still refused to sell to Edwards.
John Deere, founded in 1837 is the second oldest company listed on the New York Stock Exchange, operates in over 160 countries and has more than 40,000 employees with not more than two African American corporate or operating officers. Presently, John Deere has approximately 1400 dealers in the United Sates – there are no African-American Agricultural Dealers, no Construction Dealerships, and no more than two African-American Commercial & Consumer Equipment (C&CE) Dealerships. Although John Deere has a stated diversity policy and program, the company has no notable diversity in its management ranks, dealers, or Board of Directors.
Edwards’ law suit claims that the John Deere’s financing terms are a pretext for racial discrimination to prevent African Americans from owning John Deere dealerships. Mr. Edwards’ is represented by Byron Perkins, Lee Winston and Rod Cooks (Birmingham). “Mr. Edwards has been a dedicated and dependable director in the John Deere system who expected to be treated fairly. People of color should have the same opportunity to build and own their own franchisees and business. Mr. Edwards should have the same opportunity to own a business and build wealth for his family regardless of his race,” commented Mr. Perkins.
John Deere is one of the world’s largest dealers of golf and turf marketing equipment and controls more than 70% of the agricultural market. A large percentage of John Deere’s income is based on government contracts and they are subject to government regulations.
At the time of Mr. Edwards’ retirement from John Deere, he served as Director of Golf and Turf and Sales worldwide. Edwards enjoyed a successful career at John Deere and was recognized by Golf, Inc. (an industry publication) as one of the industry’s 21 Most Dynamic Movers and Shakers. “I have given conscientious and productive service to the John Deere Company for most of my professional life. It is fitting that I move to the next phase of this industry by owning my business which allows my family to benefit from the fruits of my life long work. I expected John Deere to do the right thing and offer opportunities for individuals who helped them make millions and become the leader in this industry – I guess I was wrong. It’s too bad that one has to turn to the courts for justice in 2003” says Edwards.
In addition to the personal damages sought by Edwards, the law suit challenges John Deere Company to maintain diversity on its Board of Director, increase diversity in upper and mid-level management, and increase the number of African-American dealerships and agencies throughout its system. |
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