5) Aren't the charges against Adam's Mark unproven allegations at this point?

Since 1991, the Adam's Mark chain has been sued at least seven times over charges of racial discrimination, including the two most recent lawsuits filed by the NAACP and the U.S. Department of Justice. Two of the suits, which involved the Equal Employment Opportunity Commission [E.E.O.C. v. HBE Corp., mem. op. (E.D. Missouri, Feb. 8, 1996)], outlined in detail the racially discriminatory practices of the hotel. Among the facts discovered:

• An admission by the chain's owner, Fred Kummer, Jr., that the hotel could not stop its managers from discriminating against its black employees because "you can't beat somebody over the head" to ensure compliance with the law.
• Kummer also argued that African Americans could not be promoted so easily in his company because "these people really don't have the upward latitude."
• Managers at the hotel were instructed to hire blue-eyed blondes for waitress jobs and elderly black men as doormen because it "fit the Old South image Kummer wanted for the hotel."
• Finally, in a televison interview, Kummer stated that "these people (African Americans) have different needs...different foods, different music...so you have to treat them differently."

The court found that Fred S. Kummer, Jr. lacked the willingness or ability "to recognize the possibility that even his decisions may constitute unlawful discrimination. . . ." The court permanently enjoined the Adam's Mark chain from any future discrimination, ordered the company's officers to participate in educational programs regarding civil rights law, and decreed the appointment of a neutral third party to monitor the chain's compliance with Title VII of the 1964 Civil Rights Act.

On appeal, the U.S. Court of Appeals for the Eighth Circuit [Equal Employment Opportunity Commission v. HBE Corporation, 135 F. 3d 543 (1998)] agreed with the lower court's rulings but lowered the total amount of the award to $490,000. The court agreed with the finding that the hotel "showed bias against blacks and sought to exclude them from management positions," "sought to banish music and other atmospheric traits that they associated with blacks," and that "African-American managers received lower compensation than their white counterparts." The court felt that the appointment of a neutral third party was excessive and reversed that order, but held that the hotel would be required to make annual reports to the EEOC regarding its employment practices. These decisions and several others can be obtained through Westlaw, a legal search tool provided by West Group, the publisher of these court proceedings (www.westlaw.com).

The U.S. Department of Justice (DOJ) has also investigated the hotel chain, and has made disturbing findings. The DOJ's press release on the matter cites Attorney General Janet Reno: "This kind of behavior is simply unacceptable. It is hard to believe that 35 years after the Civil Rights Act was passed by Congress, this type of discrimination still exists." Bill Lann Lee, Acting Assistant Attorney General for Civil Rights, added, "The federal government will not tolerate this type of behavior. We hope our lawsuit will keep the doors of all Adam's Mark hotels open to all persons, regardless of their race or color." The full text of the press release is available at: http://www.usdoj.gov/opa/pr/1999/December/601cr.htm.

Meeting News, the newspaper for meeting, convention, incentive and trade show professionals, posted the following article on their website, which notes that the National Park Service and the U.S. Office of Personnel Management both canceled contracts with the Adam's Mark chain. In addition, after hearing the DOJ's charges, the National Bar Association has decided to await the outcome of the lawsuit before doing any further business withthe hotel. This article appears at: http://www.meetingnews.com/story3.htm.