A licensed property manager in Georgia maintains a policy of requiring higher security deposits from tenants who receive disability benefits than from other tenants with comparable income. A tenant who was charged the higher deposit files a fair housing complaint. Which statement best describes the legal exposure for the property manager's license?
Correct Answer
D) The property manager faces potential GREC disciplinary action because imposing different financial terms based on disability status violates fair housing law, and GREC may discipline licensees who engage in discriminatory practices.
Property management requires a real estate license in Georgia (O.C.G.A. § 43-40-29), and GREC has authority to discipline licensees for violations of law in the course of licensed activities (O.C.G.A. § 43-40-25). Charging higher security deposits based on disability status violates both the federal Fair Housing Act (42 U.S.C. § 3604) and the Georgia Fair Housing Act (O.C.G.A. § 8-3-202). While fair housing enforcement itself is handled by HUD and the Georgia Commission on Equal Opportunity, GREC may independently discipline a licensee whose conduct in a licensed activity constitutes a violation of applicable law.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Price fixing is an illegal antitrust practice in which competing real estate brokerages agree to charge the same commission rates, fees, or other pricing for their services. It is a per se violation of the Sherman Antitrust Act.
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.
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