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Practice Of Real EstateFair HousingHARD

A Maryland real estate brokerage has a written policy requiring all agents to obtain manager approval before showing properties priced above $800,000. In practice, this policy is applied only when the prospective buyers are of a particular national origin, while buyers of other backgrounds are shown these properties without manager approval. A fair housing investigator reviews the brokerage's records. Which of the following best describes the legal status of this policy under the Maryland Fair Housing Act?

Correct Answer

C) The policy is unlawful because its discriminatory application based on national origin violates the Maryland Fair Housing Act.

Under the Maryland Fair Housing Act, Md. Code Ann., State Gov't §§ 20-701 et seq., national origin is a protected class (inherited from the federal Fair Housing Act, which Maryland's law incorporates and expands upon). A facially neutral policy that is applied in a discriminatory manner based on a protected class constitutes disparate treatment discrimination. The fact that the policy is written does not immunize it from fair housing scrutiny when its application is discriminatory.

Answer Options
A
The policy is lawful because it is written and applied to a specific price range, not to a protected class.
B
The policy is lawful because national origin is only protected under federal law, not under the Maryland Fair Housing Act.
C
The policy is unlawful because its discriminatory application based on national origin violates the Maryland Fair Housing Act.
D
The policy is unlawful only if the brokerage can be shown to have intended to discriminate in writing.

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Related Topics & Key Terms

Key Terms:

fair_housingnational_origindisparate_treatmentenforcementbrokerage_policy

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