07:21 AM EST, 02/03/2025 (MT Newswires) -- McDonald's (MCD) has agreed to revise its HACER National Scholarships Program to eliminate race-based eligibility criteria and extend the application deadline until at least March 6 to resolve a lawsuit filed by the American Alliance for Equal Rights, according to the Stipulation of Dismissal filed on Friday.

"In discussions with franchisees, community leaders and organizations, educational leaders, past recipients of HACER, employees and more, we reached the conclusion that settling this lawsuit and evolving the program is the right thing to do for its recipients," McDonald's said.

The program will no longer require applicants to have Hispanic or Latino heritage and instead will require students to demonstrate their impact and contribution to the Hispanic/Latino community through activities, leadership, and service, the company said.