Judge dismisses Trump-tied lawsuit against Houston fintech

Judge dismisses Trump-tied lawsuit against Houston fintech

A federal judge in Ohio has dismissed a lawsuit brought by a former Trump administration official against Houston financial tech firm Hello Alice. The lawsuit, filed by the America First Legal Foundation on behalf of a trucking company and its white owner, alleged racial discrimination in a grant program supporting Black business owners. However, the U.S. District Court judge disagreed and dismissed the case.

The lawsuit followed a 2023 Supreme Court ruling against affirmative action in college admissions, prompting conservative legal foundations to challenge other race-based initiatives. The America First Legal Foundation, led by former Trump adviser Stephen Miller, targeted Hello Alice, an online platform supporting small businesses. Neal Katyal of Hogan Lovells, representing Hello Alice, hailed the dismissal as a victory for small businesses.

Hello Alice’s leaders criticized the lawsuit as a “waste of money and time” and emphasized their support for various small-business programs, including those for Black entrepreneurs. In response to the lawsuit, Hello Alice launched a new program called Elevate the American Dream, providing $1,000 grants to small business owners nominated by anyone. The company remains committed to supporting small businesses despite challenges such as labor shortages and inflation.

The dismissal of the lawsuit signifies a win for Hello Alice and the broader business community, reinforcing the importance of supporting small businesses in the current economic climate.

May 29, 2024

Erica Grieder, Business Reporter for the Houston Chronicle

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