CCS Fair Housing Laws 2 — Questions and Answers
Question 1: Under the Fair Housing Act, which of the following actions by a condominium association constitutes illegal steering?
- Directing a prospective buyer of a protected class toward units in a specific section of the complex (Correct answer)
- Requiring all buyers to submit a credit report before purchase
- Enforcing a no-pet policy uniformly across all units
- Charging a standard application fee to all applicants
Correct answer: Directing a prospective buyer of a protected class toward units in a specific section of the complex
Steering — directing buyers or renters toward or away from certain units based on protected class membership — is a form of illegal housing discrimination under the Fair Housing Act.
Question 2: A condo association's rule prohibiting all satellite dishes would most likely conflict with which federal regulation?
- Fair Housing Act
- Over-the-Air Reception Devices Rule (OTARD) (Correct answer)
- Americans with Disabilities Act
- Community Reinvestment Act
Correct answer: Over-the-Air Reception Devices Rule (OTARD)
The FCC's OTARD rule generally prohibits restrictions that impair a resident's ability to install or use antenna or satellite dishes for reception purposes.
Question 3: Which federal agency is primarily responsible for enforcing the Fair Housing Act at the federal level?
- Federal Trade Commission (FTC)
- Department of Justice (DOJ)
- Department of Housing and Urban Development (HUD) (Correct answer)
- Consumer Financial Protection Bureau (CFPB)
Correct answer: Department of Housing and Urban Development (HUD)
HUD is the primary federal agency charged with administering and enforcing the Fair Housing Act, including investigating complaints.
Question 4: A condominium association enforces a rule that all prospective buyers must be interviewed by the board before purchase approval. Under fair housing law, this practice is:
- Always illegal regardless of how it is conducted
- Legal only if conducted in writing
- Permissible if applied uniformly and questions do not solicit protected-class information (Correct answer)
- Permissible only for units over $500,000
Correct answer: Permissible if applied uniformly and questions do not solicit protected-class information
Board interview requirements are permissible when applied consistently to all applicants and when interview questions avoid inquiring about protected characteristics.
Question 5: The Fair Housing Act's prohibition on 'familial status' discrimination primarily protects which group?
- Married couples without children
- Households with children under age 18 (Correct answer)
- Extended families of three or more generations
- Single individuals living alone
Correct answer: Households with children under age 18
Familial status protection covers households with children under 18, including pregnant women and those in the process of securing legal custody of a child.
Question 6: A condominium's governing documents contain a covenant restricting sale to persons of a particular religion. This covenant is:
- Enforceable because it predates current fair housing laws
- Void and unenforceable under the Fair Housing Act (Correct answer)
- Enforceable if approved by a supermajority of owners
- Valid only in states without their own fair housing statutes
Correct answer: Void and unenforceable under the Fair Housing Act
Racially or religiously restrictive covenants are void and unenforceable as a matter of federal law under the Fair Housing Act and subsequent civil rights legislation.
Question 7: Under the Fair Housing Act, 'disparate impact' means that a policy is discriminatory if it:
- Was enacted with proven discriminatory intent
- Results in a disproportionately adverse effect on a protected class even without discriminatory intent (Correct answer)
- Applies different rules to different unit sizes
- Has been challenged by at least three separate complainants
Correct answer: Results in a disproportionately adverse effect on a protected class even without discriminatory intent
Disparate impact liability arises when a facially neutral policy disproportionately harms members of a protected class, even if no discriminatory intent existed.
CCS Fair Housing Laws 2
Under the Fair Housing Act, which of the following actions by a condominium association constitutes illegal steering?