Court blocks grants to Black women entrepreneurs in case that could restrict DEI efforts by companies and charities

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Angela R. Logan, University of Notre Dame

(THE CONVERSATION) In a 2-1 vote on June 3, 2024, a panel of the U.S. Court of Appeals for the 11th Circuit held that the Fearless Foundation – the charitable arm of the Fearless Fund venture capital firm – must suspend its Strivers Grant Contest. The contest is limited to Black women who are majority owners of businesses.

The Conversation asked Angela R. Logan, a scholar of nonprofit administration and diversity, equity and inclusion policies, to explain the significance of this case, American Alliance for Equal Rights v. Fearless Fund Management, and what’s at stake.

What is the Fearless Fund?

Ayana Parsons and Arian Simone, two experienced Black entrepreneurs, established the Fearless Fund in 2018 to provide financial and technical support to businesses led by other Black women.

The Fearless Fund also runs a charity, the Fearless Foundation. Among other things, it runs the Strivers Grant Contest, which provides four winners with US$20,000 and mentoring to help them grow...