A fair housing tester poses as a prospective buyer and contacts a Memphis real estate firm. The tester, who is Black, is told that no listings are available in a desirable suburban neighborhood, while a white tester who contacts the same firm the same day is shown multiple listings in that neighborhood. The firm argues that because the tester never intended to actually purchase property, no real harm occurred and no fair housing violation exists. Under Tennessee and federal fair housing law, which statement best evaluates the firm's argument?
Correct Answer
D) The firm's argument is invalid because fair housing testing is a recognized enforcement tool and testers have standing to file complaints.
Fair housing testing is a well-established and legally recognized enforcement tool under both the federal Fair Housing Act and Tennessee's Human Rights Act. The U.S. Supreme Court confirmed in Havens Realty Corp. v. Coleman (1982) that testers have standing to bring fair housing complaints because the act of providing false information to a tester itself constitutes a violation of the Fair Housing Act. Tennessee's THRC recognizes testing evidence as valid in fair housing investigations. The firm's argument that no 'real harm' occurred because the tester did not intend to buy is legally incorrect.
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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.
More Practice Of Real Estate Questions
In Wyoming real estate practice, an associate broker or salesperson is not associated with a responsible broker at renewal. What should the licensee remember?
In Wyoming real estate practice, a first-time salesperson applicant completes coursework. What should the licensee remember?
A Wyoming licensee is reviewing an out-of-state salesperson applicant prepares for testing. What is the best answer?
In Wyoming real estate practice, a salesperson applicant age is reviewed. What should the licensee remember?
A responsible broker in Wyoming asks about a nonresident applicant provides home-state evidence. Which answer follows Wyoming law?
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- → For the Wyoming salesperson state portion, a licensee asks how long Wyoming renewal periods are. Which statement is correct?
- → Which Wyoming rule applies when a licensee does not timely submit the complete renewal application, proof of CE, and renewal fees?
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