EstatePass
Practice Of Real EstateFair HousingHARD

A Colorado landlord owns a four-unit residential building and lives in one of the units. He refuses to rent a vacant unit to an applicant because of the applicant's ancestry. The applicant files a complaint with the Colorado Civil Rights Division. Which of the following statements BEST describes the legal situation under Colorado law?

Correct Answer

B) The landlord is subject to CADA because ancestry is a protected class and Colorado's exemptions are narrower than federal exemptions.

Under CADA, C.R.S. § 24-34-502, ancestry is a protected class. Colorado's exemptions from fair housing law are generally narrower than the federal Fair Housing Act's exemptions. While the federal Fair Housing Act has a 'Mrs. Murphy' exemption for owner-occupied buildings with four or fewer units (when no discriminatory advertising is used), Colorado's CADA does not provide the identical broad exemption. Colorado's law applies more broadly, and ancestry discrimination is prohibited. The applicant's complaint under CADA is valid.

Answer Options
A
The landlord is exempt from CADA because owner-occupied buildings with four or fewer units are fully exempt from Colorado fair housing law.
B
The landlord is subject to CADA because ancestry is a protected class and Colorado's exemptions are narrower than federal exemptions.
C
The landlord is exempt from CADA but not from the federal Fair Housing Act, because federal law has no small landlord exemption.
D
The landlord is subject to CADA only if he used a real estate licensee to advertise the unit.

Why This Is the Correct Answer

Sign up free to unlock full analysis

Why the Other Options Are Wrong

Sign up free to unlock full analysis

Deep Analysis of This Practice Of Real Estate Question

Sign up free to unlock full analysis

Background Knowledge for Practice Of Real Estate

Sign up free to unlock full analysis
Sign up free to unlock full analysis

Real World Application in Practice Of Real Estate

Sign up free to unlock full analysis

Common Mistakes to Avoid on Practice Of Real Estate Questions

Sign up free to unlock full analysis

Related Topics & Key Terms

Key Terms:

CADAancestrysmall_landlord_exemptionowner_occupiedcolorado_vs_federalMrs_Murphy

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.

Was this explanation helpful?

More Practice Of Real Estate Questions

People Also Study

Related Articles

Practice More Questions

Access 2,000+ practice questions and pass your real estate exam.

Start Practicing