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A tenant screening company recommends denying an applicant on the basis of a prior eviction. The attached eviction records show that the former landlord sought to evict the tenant for violating its zero-tolerance domestic violence policy after she was assaulted by her ex-husband in the apartment. The former landlord ended up dropping the case. Otherwise, the applicant meets all of the landlord’s rental criteria. What should the landlord do?
Tenant screening has become a $1 billion industry. Like many landlords across America, you may look to third-party screening companies to gather and analyze key information about rental prospects and issue a report assessing how likely they are to pay rent and obey the key terms of their lease. But while enabling you to steer clear of problem tenants and make sounder rental decisions, relying on outside reports to decide whether to accept or reject applicants carries potential fair housing risks.
A landlord committed to fair housing compliance instructs its ad platform provider to ensure that its digital advertising reaches the broadest possible audience. The ad platform uses audience selection tools based on machine learning functions that target ads based on income and past purchasing patterns. Consequently, it excludes Black and Hispanic consumers from the audience. Who would be potentially liable for discriminatory advertising?
