HUD Finalizes New Fair Housing Rule for Quid Pro Quo, Hostile Environment Harassment

(RECAP: HUD has issued a final rule that makes liability for housing providers for occurrences of “quid pro quo harassment” or “hostile environment harassment.” The new rule, “Quid Pro Quo and Hostile Environment Harassment and Liability for Discriminatory Housing Practices Under the Honest Housing Act,” takes effect on October 14, 2016. Perhaps the most significant impact of the new rule is the imposition of direct liability for the conduct of third parties—housing providers could be liable for behavior among tenants. This liability hinges on whether the housing provider “knew or should have known of the discriminatory conduct and had the power to right it.” The rule neither defines what steps a housing provider must take nor how far it must go in mediating tenant-on-tenant harassment disputes.)

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