Since February 2021, HUD has approved several arbitration agreements and accused several housing providers of discrimination. Below is a summary of some of HUD`s recent enforcement actions. While the economic and personal impact of the global pandemic continues to dominate the headlines, I see huD (as well as various state, municipal, and regional agencies) stepping up their efforts to address pending complaints of discrimination in the housing market. Under the Fair Housing Act, investigators are responsible for investigating twice when they file a complaint: (1); and (2) to reconcile (legally for attempting unification). Sometimes the process continues at the same time. Sometimes we try arbitration before going through a formal investigation. However, what I mean by this post is that if you are engaging in discussions about the settlement, carefully consider the „boilerplate“ and „public interest“ provisions of your proposed agreement. Almost all investigators will tell you that these provisions are „standard“ and are required in any company. But as someone who has done this with HUD as well as many states can confirm – Boilerplate is always different. And often it can be changed.
In fact, HUD agreements from different regions may also have different requirements. Remember that there is NO one-size-fits-all solution. And you may want a lawyer like me to look at the facts of the case and what your investigator is looking for to determine if the conditions are appropriate. On the part of management, there can be a variety of reasons to find an early (and consensual) solution to a complaint, including cost savings, safety, efficiency, and the ability to move forward with the company and not having to respond to emails/calls from a lawyer like me. Well, make no mistake, there are cases that simply cannot be resolved – such as when unsubstantiated allegations are made by a disgruntled resident/former resident looking to win the lottery – and I will absolutely defend them until I get fired for no probable reason. Alternatively, the agency may require detailed reports for several years and/or a donation to a local fair housing group that makes the settlement of a case untenable for the property. DISCLAIMER: Due to the generality of this update, the information contained in this document may not be applicable in all situations and should not be implemented without specific legal advice based on certain situations. Under the terms of the arbitration agreement, housing providers pay the resident $10,000, provide fair housing education to their employees, create and implement a written policy on reasonable accommodation, and modify any rental forms or materials to comply with the Fair Housing Act. Click here to read the full press release.
Click here to read the mediation agreement. Under the terms of the settlement, the management companies and landlords will pay $90,000 to the Housing Equality Center in Pennsylvania and $25,000 to the original complainant, develop and implement anti-discrimination and reasonable accommodations, train staff, and provide reasonable accommodation to tenants whose claims have already been denied. Click here to read the full press release. Click here to read the mediation agreement. Under the terms of the arbitration agreement, JPMorgan Chase Bank will pay $50,000 to the woman and provide mortgage advisors and account managers with mandatory training on the value review process and fair lending issues related to valuations. Click here to read the full press release. Click here to read the mediation agreement. .