Florida files suit against Target, claiming DEI initiatives 'misled investors'

[groundloop]

Source: AP News

Florida’s new attorney general filed a federal court lawsuit against Target on Thursday, claiming the discount store chain “misled investors” by promoting diversity, equity and inclusion initiatives that prompted a backlash and hurt sales, ultimately costing shareholders.

Before it scaled back its DEI efforts last month, Target was long considered a corporate advocate for the rights of Black and LGBTQ+ people. The retailer’s decision in 2023 to roll out LGBTQ+ merchandise in honor of Pride month outraged some shoppers and sparked confrontations in some stores.

In the lawsuit filed in Fort Myers, Florida, Attorney General James Uthmeier argued that Target violated the Securities Exchange Act by failing to disclose “the known risks” of its DEI and Pride month initiatives.

“Corporations that push radical leftist ideology at the expense of financial returns jeopardize the retirement security of Florida’s first responders and teachers,” Uthmeier said in a statement. “My office will stridently pursue corporate reform so that companies get back to the business of doing business — not offensive political theatre.”

Read more: https://apnews.com/article/target-dei-florida-lawsuit-6eedebd3e088fefbf21951f39a156bd5

[GreenWave]

1. The opposition has gone completely apeshit.

[ancianita]

8. I live in Florida. Florida's government is permanently batshit.

[Doodley]

2. That case is going nowhere.

[kwolf68]

3. Free markets

With exception of course. Just like states rights. It's all rhetoric. These people are idiots.

[Libloom]

4. Doesnt pay to be a liberal business

Get beat up on the left for not being liberal enough and on the right...mainly because they're assholes.

[ancianita]

9. Next they'll go after Costco.

[JustAnotherGen]

13. They already are

But Costco has picked up Black business that has left Wal-Mart and Target.

[Prairie Gates]

5. So having DEI and Pride policies were a material risk factor under the Act and SEC Rules?

Definitely interested in how they get to that point in the filing.

Because it sounds insane.

The stock has suffered significantly since they were forced to drop the DEI and Pride policies. Does the argument go like this:

The company instituted DEI/Pride. That caused their business to increase along with their stock price. But then they were forced to drop DEI/Pride due to pressure from external pressure groups, including, of course, the State of Florida. Dropping DEI/Pride caused the stock to decline rapidly, costing Florida investors (and the state pension plans) tons of money. Therefore, instituting the DEI/Pride policies in the first place should have been disclosed as a material risk factor given the possibility that external pressure groups (including us) would force them to drop those policies and thereby lose money.

I mean, we can follow the logic, but it is hilariously contorted. Of course, all they have to do is install a Musk Teen Ranger at the SEC to rewrite the risk factor rules to read that DEI/Pride should have been disclosed, and then get the Supreme Court to apply that retroactively. All of which is, of course, possible, since we're down the rabbit hole now with the Cheshire Cat and the Queen of Hearts.

[ancianita]

16. The latest national poll (dis)approval numbers show a national consensus: that anti-DEI is bad economics, bad politics,

and underscores how batshit Florida and other anti-DEI states really are -- by national consensus.

That right there is the national consensus beyond the 23%.
That right there means the national majority agree on a whole lot of important things like race, gender, taxation, voting, & immigration, the last being "code" lingo for the rest.

[JustAnotherGen]

6. Oh!

They are going through some things.

Black Americans boycotting and now this!

[tulipsandroses]

10. Yeah they can kiss my black ass

I was a big Tarjay fan. They capitulated to please MAGA. Dumb move.
Black folks are loyal. Especially to those loyal to us. They picked the wrong side.
Now they have to deal with the mess they made.

[JustAnotherGen]

12. Amen

I live 20 miles from the closest one. It was a monthly trip. Not anymore. Especially since we as a couple have committed to only necessities for the next few years.

Shoes, underwear, food, gardening supplies, home cleaning supplies etc etc

[wolfie001]

15. Me too!!!

donald dump BOYCOTT till the fat bastard is gone. Only essentials.

[Montauk6]

7. Ya think they got the gonads to sic their shysters on Disney?

[uncle ray]

11. well, ain't that some shit.

MAGAs bigotry created the need for DEI in the first place. MAGA manufactures the outrage over DEI policies, MAGA attacks, boycott and does everything possible to hurt any business implementing DEI until the policies get rescinded. MAGA shorts the stock, then MAGA sues for the undisclosed risk to investors.

[Timeflyer]

14. This they speak out about, INSTEAD of Musk's infiltration and possible destruction of Social Security Admin. etc.

Flori-duh.