In April 2018, two Black men entered a Starbucks shop in the Rittenhouse Square neighborhood of Philadelphia for a business meeting with a white man who had not yet arrived. While they waited, and before ordering, one of the two asked to use the bathroom. He was refused. Eventually, they were asked to leave. When they did not, an employee called the police.

The subsequent arrests, captured in videos viewed millions of times online, prompted accusations of racism, protests and boycott threats. The company’s chief executive apologized publicly, describing the way the men had been treated as “reprehensible.” Starbucks took the extraordinary step of temporarily closing 8,000 stores to teach workers about racial bias.

On Monday, in a surprising twist, a federal jury in New Jersey ordered Starbucks to pay $25.6 million to a former regional manager after determining that the company had fired her amid the fallout from the Rittenhouse Square episode because she was white.

The jury found that Starbucks had violated the federal civil rights of the former manager, Shannon Phillips, as well as a New Jersey law that prohibits discrimination based on race, awarding her $600,000 in compensatory damages and $25 million in punitive damages.

(via Off the Press)

[Good. If states want to pass laws prohibiting such discrimination, then juries should abide by them equally. I’d bet that an appellate court will reduce the punitive damages at some point (as they do more than occasionally with large awards), but Starbucks will have to cough up a lot of cash nonetheless. More likely, the two sides will negotiate a lower number that will allow Starbucks to cut its losses. — Ed]