Federal Court Dismisses Discrimination Claims by Prospective Low-Income Tenants

LVT Number: #32244

Prospective tenants sued landlord of mixed-use 421-a buildings in Hudson Yards that included affordable rental units and market-rate condominiums. The plaintiff tenants were Black and low income, and were selected by lottery for access to the affordable rental units. They didn't rent the offered apartments after learning of differences they claimed violated the Fair Housing Act. The differences included required use of "poor doors," a separate building entrance, and refusal of access to certain amenities.

Prospective tenants sued landlord of mixed-use 421-a buildings in Hudson Yards that included affordable rental units and market-rate condominiums. The plaintiff tenants were Black and low income, and were selected by lottery for access to the affordable rental units. They didn't rent the offered apartments after learning of differences they claimed violated the Fair Housing Act. The differences included required use of "poor doors," a separate building entrance, and refusal of access to certain amenities.

The federal district court dismissed the case, agreeing with landlord that tenants' claims were about economic discrimination and didn't state a claim under the FHA. The court found that tenants failed to state claims for disparate treatment or disparate impact housing discrimination. Their failure to describe a proper comparator group made it impossible for their factual claims to infer that the disparate treatment was related to their race, color, or national origin. And their claims that landlord's policies disproportionately and adversely affected Blacks and Hispanics in New York City was conclusory.

 

 

 

Moody v. Related Co., LP: Index No. 21-CV-6238, NYLJ No. 1660739657, 2022 WL 3227815 (SDNY; 8/10/22; Caproni, J)