James, a licensed Colorado broker, is working with a buyer named David. The listing agent tells James that the seller prefers not to sell to same-sex couples. James proceeds to show David only properties listed by other sellers. Which statement best describes James's legal exposure under Colorado law?
Correct Answer
D) James may face discipline from CREC and a complaint with the CCRD for violating CADA's sexual orientation protections.
Sexual orientation is a protected class under CADA (C.R.S. § 24-34-502). By steering David away from properties based on the seller's discriminatory preference, James is participating in discriminatory steering. He can face disciplinary action from CREC for violating fair housing laws and a complaint filed with the Colorado Civil Rights Division (CCRD) for violating CADA.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A trust account, also called an escrow account, is a separate bank account maintained by a broker to hold funds belonging to others, such as earnest money deposits, security deposits, or other client funds.
Advertising regulations govern how real estate licensees may market properties and services, requiring truthful, non-deceptive advertising that includes proper identification of the brokerage.
Antitrust violations in real estate occur when competing brokerages or agents engage in practices that restrain trade, reduce competition, or harm consumers through collusion. These violations are governed by the Sherman Antitrust Act and can result in severe penalties.
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