On August 29, 2011, the United States Department of Justice filed suit under the Fair Housing Act, 42 U.S.C. §§3601, in the United States District Court for the Eastern District of Louisiana, against owners, operators and managers of a 16-unit apartment building in New Orleans, Louisiana. The DOJ alleged that testing completed by the Greater New Orleans Fair Housing Action Center revealed that the defendants had engaged in a pattern and practice of rental discrimination on the basis of race or color. Specifically, the complaint alleged that defendants refused to return phone calls from prospective renters who were African-American, but did return phone calls from prospective white renters, and otherwise made units unavailable to persons of color. The U.S. sought injunctive, declaratory, and monetary relief as well as civil penalties.

Settlement negotiations preceded the lawsuit, and the parties filed a proposed settlement concurrently with the complaint. On September 02, 2011, the Court (Judge Kurt D. Engelhardt) approved that four-year Consent Order. The decree covered all properties in which the defendants have any ownership or management interest; in addition to generally prohibiting discrimination, it required development and posting of non-discrimination policies, prominent posting of availability of units with the Equal Housing Opportunity slogan, explicit anti-discrimination notices in all advertising, and training of all employees. The settlement also provided for a system of recordkeeping to insure people of color were not being turned away, and maintenance of a timely updated list of available units.

Defendants paid $50,000 to the Greater New Orleans Fair Housing Action Center and $10,000 as a civil penalty. The case terminated on September 07, 2011.

Asma Husain - 02/07/2016


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