A Connecticut property management company has a written policy requiring all rental applicants to demonstrate that their monthly income is at least four times the monthly rent. A prospective tenant whose income consists entirely of Social Security Disability Insurance (SSDI) payments cannot meet this threshold and is denied. The tenant files a CHRO complaint. Which Connecticut fair housing analysis is MOST applicable?
Correct Answer
D) The policy may constitute unlawful discrimination based on lawful source of income and disability if it has a disparate impact on protected classes without business necessity
Connecticut's Fair Housing Act prohibits discrimination based on lawful source of income (which includes SSDI payments) and disability. A facially neutral income ratio policy can constitute unlawful discrimination if it has a disparate impact on individuals whose income derives from protected sources such as disability benefits, and if the landlord cannot demonstrate the policy is justified by business necessity. CHRO applies both disparate treatment and disparate impact analyses under Connecticut fair housing law, making this policy potentially actionable on both lawful source of income and disability grounds.
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Related Concepts
Florida brokers are required to maintain transaction records and escrow records for a minimum of five years.
A tie-in arrangement is an illegal antitrust practice in which a seller conditions the purchase of one product or service on the buyer's agreement to purchase a separate product or service.
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.
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