OSAKA -- In a case that human rights lawyers and activists worry could condone racial discrimination against foreigners by Japanese businesses, the Osaka District Court rejected a lawsuit Monday that was filed by a black American man who was denied entry to a store apparently due to his color.

Steve McGowan, 41, a resident of Kyoto Prefecture, filed the 1.5 million yen suit after he was denied entry in September 2004 to a store in Osaka Prefecture that sells eyeglasses. He claimed the owner shouted at him to leave and told him he hated black people.

But presiding Judge Yoshifumi Saga ruled that, while it was inappropriate for McGowan to have been asked to leave, there was no evidence the store owner had made discriminating remarks against blacks and said it was questionable whether McGowan had understood what the owner had said.