Detroit Taproom Abruptly Closes After Racial Discrimination Lawsuit

DETROIT — A popular Detroit taproom in Midtown abruptly closed down Monday after more than six years in the city, officials said.

Founders Brewing Company said the lingering effects of the COVID-19 pandemic and a downturn in the craft beer industry led to its decision to permanently close down.

"Unfortunately, our Detroit location has not been immune to the struggle to regain foot traffic after temporary COVID closures that have impacted restaurants and bars across the nation," officials from the brewery said in a Facebook post. "We are working diligently to find new positions within the company for the employees impacted by this closure."

"We felt that maintaining this additional operation was no longer a viable option," the post added.

The news of the taproom's closing also came just hours after a former employee filed a racial discrimination lawsuit against the taproom.

Naeemah Dillard, a Black resident who worked at the Detroit taproom from June 2021 to April 2023, accused management of creating an "objectively racially hostile" work environment that forced her to resign, according to the complaint.

Dillard claims she was promoted from a server to a "part-time" management position for "purely optic purposes," according to the complaint.

As part of the management team, Dillard "was treated much differently than her Caucasian counterparts," her attorneys said.

Dillard was the only management employee that was still required to still work serving shifts, and was still paid as a server and not a manager, her attorneys said.

Moreover, Dillard's attorneys said "the previous Caucasian part-time managers were quickly promoted when focus areas and/or additional tasks arose," but Dillard was "overlooked for additional tasks and focus areas."

Moreover, Dillard claims workers intentionally mispronounced her name and that she was warned to make sure her toddler does not "steal any money," according to the complaint.

When Dillard reported the incidents of discrimination, management threatened to cut her hours or her complaints were dismissed altogether, according to the complaint.

Patch requested a comment from the brewery about the lawsuit and whether the suit was connected to the Detroit closure.

The popular taproom opened in 2017 on Charlotte Street between Cass and 2nd Avenue. Founders Brewing, which is based in Grand Rapids, still has its original taproom location open there.