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Pa Fair Housing Human Relations ActPa_human_relations_actMEDIUM

A real estate broker in Pennsylvania learns that one of his agents has been telling Hispanic clients that they would be 'more comfortable' in certain neighborhoods. The broker takes no action. Under the PA Human Relations Act, the broker's liability is:

Correct Answer

A) The broker may be held vicariously liable for the agent's discriminatory conduct, especially after becoming aware and failing to act

Under the PA Human Relations Act and agency principles, brokers can be held vicariously liable for discriminatory conduct by their agents. When a broker becomes aware of discriminatory practices and fails to take corrective action, the broker's liability increases significantly.

Answer Options
A
The broker may be held vicariously liable for the agent's discriminatory conduct, especially after becoming aware and failing to act
B
Limited to a written warning in the agent's file
C
None, because the broker did not personally engage in the discriminatory conduct
D
Limited only to potential SREC disciplinary action, not a PHRC complaint

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Related Topics & Key Terms

Key Terms:

vicarious_liabilitybroker_responsibilitysteeringsupervisory_duty

Related Concepts

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.

Florida brokers are required to maintain transaction records and escrow records for a minimum of five years.

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