JeOPARDy Property Management


M & CHANGES THAT PROPERTY LAWS


ANAGERS NEED TO KNOW


ON JUNE 25, 2015, THE U.S. SUPREME COURT DECIDED IN A 5-TO-4 DECISION THAT BUSI- NESS PRACTICES WHICH UNINTENTIONALLY IMPACT TENANTS OR APPLICANTS WITHIN THE FAIR HOUSING PROTECTED CLASSES TO A DISPROPORTIONATE DEGREE COULD BE A VIOLA- TION OF FAIR HOUSING LAW IF THE BUSINESS PRACTICE IN QUESTION IS NOT GROUNDED IN SOUND BUSINESS CONSIDERATIONS. YOU WILL HEAR THIS BROADLY REFERRED TO AS “DISPARATE IMPACT.” SINCE THIS HISTORIC SUPREME COURT RULING, HUD HAS ISSUED SOME NEW GUIDANCE FOR LANDLORDS AND PROPERTY MANAGERS.


On September 15, 2016, I listened to a presentation from two attorneys, one of whom represents HUD and the other an expert in landlord/tenant law. They discussed these Dis- parate Impact issues. One scary fact that came out of the pre- sentation is that there is no penalty of any kind for an applicant or tenant when they fi le Fair Housing complaints against property managers regardless of how frivolous or fraudulent


the accusations. And every complaint that is fi led must be investigated. If you are ever investigated for a potential viola- tion of Fair Housing law, you can anticipate a time-consum- ing and costly process even if you are fully exonerated. Even if you win, you lose — a lot of time and money. So the “best practice” is to adopt practices which will help you avoid hav- ing a Fair Housing complaint fi led to start with.


26IGEORGIA REALTOR®


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