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A licensee in Illinois directs minority buyers away from certain neighborhoods and places rental ads specifying a preferred national origin. Which of the following correctly describes the legal consequences under fair housing law?

Correct Answer

C) Both steering and discriminatory advertising are prohibited practices under federal and Illinois fair housing law

The federal Fair Housing Act (42 U.S.C. § 3604(c)) expressly prohibits making, printing, or publishing any notice, statement, or advertisement indicating a preference, limitation, or discrimination based on a protected class. Steering — directing buyers or renters toward or away from neighborhoods based on protected characteristics — violates 42 U.S.C. § 3604(a) and (b). The Illinois Human Rights Act (775 ILCS 5/3-102) mirrors these prohibitions. Neither practice requires proof of overt intent; effect and pattern are sufficient bases for a violation.

Answer Options
A
Only the refusal to rent or sell constitutes a violation; advertising content and neighborhood guidance are not regulated
B
Both practices violate fair housing law, but only if the licensee acted with proven discriminatory intent
C
Both steering and discriminatory advertising are prohibited practices under federal and Illinois fair housing law
D
Advertising is exempt from fair housing rules when the property owner has approved the wording in writing

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Related Topics & Key Terms

Key Terms:

advertisingdifficulty_1fair_housingfederal_fair_housing_basics_in_illinois_contextfederal_fha_ilillinois_statescenariosteering

Related Concepts

License requirements are the mandatory qualifications—including pre-licensing education, examination, and background checks—that a person must satisfy before legally practicing real estate. These requirements are established and enforced by each state's real estate commission.

Market allocation is an illegal antitrust practice in which competing real estate brokerages agree to divide markets among themselves by geographic area, property type, or price range, thereby eliminating competition.

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.

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