The Department of Housing and Urban Development is set to propose a rule that would make it harder to bring discrimination claims against lenders, developers, municipalities and others under the Fair Housing Act.
The rule would set a five-step test for plaintiffs to prove unintentional discrimination based on race, color, religion, sex, national origin, disability or familial status. Defendants would only have the burden of proving that their programs are not discriminatory if plaintiffs could meet that five-part test, according to the proposal that HUD sent to Congress July 29 and was obtained by Bloomberg Law.
The HUD proposal would ...