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FHC v. Capital Investments (The Flats)

#W18-165 | Location: Ypsilanti | Court Level: Federal | Settlement: $20,000, Change in tenant screening policy

Categories: Criminal Background, Race, Rental
Tags: Blanket Ban

The Fair Housing Center filed a race discrimination lawsuit against Capital Investments, owner of the The Flats Apartments in Ypsilanti. Filed on April 23, 2020 by Cooperating Attorney William Piper, the suit alleged a violation of HUD’s guidance regarding criminal background and tenancy selection. “The [HUD] Guidance is not ambiguous; it clearly explains how broad-based criminal background policies that rely on criminal histories cause a disparate impact on people of color, how automatic blanket bans that categorically exclude applicants as a result of their criminal histories are not necessary to satisfy a legitimate business interest, and that giving individualized consideration to applicants based on factors such as the nature of conviction and evidence of rehabilitation is a less discriminatory alternative that satisfies legitimate interests in protecting safety and property.” Filed in the Federal Court, the case was assigned to he Honorable Sean F. Cox. The case settled for $20,000 and a change in the tenant screening policy.

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