Well I tested out Urban Dictionary to see if this really was the case, and guess what, yeah its actually quite common I guess.
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A slang term for African Americans used by a small, but growing group of people in Indiana and Chicago. The term was created as a substitute for the pejorative, N**ger, in order to express the term but avoid any conflicts.
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A deregatory term used primarily by white waiters and waitresses to describe black people.
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For example, if there is a group of black people around and you are talking to your white friends, you can't be overheard saying "yeah, my building has a black doorman" so you say "My building has a Canadian doorman" and they know what you mean.
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Who knew.