TALLAHASSEE, Fla. — The newly appointed attorney general of Florida has initiated a lawsuit against Target in federal court, alleging that the retail giant misled its investors by endorsing diversity, equity, and inclusion (DEI) initiatives. These initiatives, according to the complaint, have led to negative consumer reactions and ultimately a decline in sales, which has adversely affected shareholders.

Historically, Target had positioned itself as a supportive entity for the rights of marginalized communities, including Black and LGBTQ+ groups. However, their 2023 introduction of LGBTQ+ products in celebration of Pride Month resulted in public outrage, leading to confrontations at various store locations, prompting the company to reconsider its DEI strategies last month.

In the lawsuit submitted in Fort Myers, Attorney General James Uthmeier contended that Target breached the Securities Exchange Act by not revealing “the known risks” associated with its DEI initiatives and Pride Month campaigns. Uthmeier expressed that “Corporations that promote radical leftist ideology at the cost of financial stability risk the retirement savings of Florida’s first responders and educators.” He emphasized his commitment to driving corporate reform in order to refocus companies on their core business functions rather than engaging in political matters.

Having been appointed by Republican Governor Ron DeSantis just days prior, Uthmeier has committed to leveraging the state’s legal authority to support an “America-first agenda” and to oppose elements he deems to be “the left.”

As of yet, Target has not issued any statement regarding the lawsuit. Earlier this year, the company announced the discontinuation of a program specifically designed to enhance support for Black employees, shoppers, and Black-owned enterprises, a commitment that arose in response to the police killing of George Floyd in 2020.

In recent years, DEI initiatives have faced increasing criticism from conservative factions and the federal government. Several major corporations, including Walmart, have either diminished or completely abandoned their DEI efforts.

In a related legal action this month, the attorney general of Missouri filed suit against Starbucks over its diversity policies, accusing the coffee chain of “systemic racial, sexual, and sexual orientation discrimination.” Starbucks has responded by labeling these accusations as “inaccurate.”