Penalties for Fair Housing Violations

Gavel and small wooden home.

Penalties for Fair Housing violations can vary depending on whether the case is processed via court, HUD, or elsewhere. Penalties can include fines, punitive damages, and attorney fees. This is why it’s important to follow a consistent process with every applicant and keep clear records of communications along the way.

Consult a Lawyer

If you get involved in a housing lawsuit, consult a lawyer with experience defending against discrimination claims. There are multiple ways a claim may be filed against you, including tenant complaints to a private lawyer, an investigation by a watchdog group, or a discovery made by a HUD tester posing as a renter in order to find any discriminatory actions made by landlords. If the organization concludes that a landlord is discriminating against certain tenants, they can file a complaint or lawsuit against said landlord independently.

If you’re found to be in violation of Fair Housing laws, penalties can include:

A charge against you by the U.S. Departing of Housing and Urban Development where you’ll need to attend several hearings and defend the claim in front of a HUD Administrative Law Judge. Note that the U.S. Department of Justice (DOJ) may pursue the case on behalf of the plaintiff.
The landlord will be responsible for the plaintiff’s compensatory damages that could include out-of-pocket expenses while finding alternative housing, rent fees associated with alternative housing, and/or legal fees to process the claim.
Non-economic damages may also be awarded for the humiliation, mental anguish, and/or psychological injuries of the plaintiff. These are in addition to the above-mentioned expenses.
Civil penalties may be levied up to $16,000 for the first violation, or $65,000 if there were two or more cases of discrimination up to seven years prior to the present case. In cases where the DOJ is involved, the fine for civil penalties can go up to $100,000.
Punitive damages may also be awarded by federal district courts. These aren’t damages to reimburse the complainant but rather damages to punish the wrongdoer where there is clear evidence of willful or malicious intent.
Courts may issue injunctions if they feel prompt action is necessary to prevent immediate and irreparable harm.

Additionally, HUD keeps a record of all charges that are filed through them and makes this information publicly available , which means past cases of housing discrimination will not be quick to disappear.