A US federal court of appeals panel has suspended Fearless Fund, an Atlanta-based, Black woman-owned venture capitalist firm, from continuing the firm’s Fearless Strivers Grant Contest, a grant program for Black female business owners.
In the 2-1 ruling, the panel of three judges, two appointed by Donald Trump and one appointed by Barack Obama, ruled that the grant program “is substantially likely to violate” section 1981 of the federal Civil Rights Act of 1866, which prohibits the use of race in making contracts. The act aimed to fully integrate formerly enslaved Black Americans as citizens, give them the full rights of American citizenship and to make it illegal to deprive any Americans of rights “on the basis of race, color, or prior condition of slavery or involuntary servitude”.
