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De Reyes v. Waples Mobile Home Park Ltd. P'ship

Citation: 903 F.3d 415Docket: No. 17-1723

Court: Court of Appeals for the Fourth Circuit; September 12, 2018; Federal Appellate Court

Narrative Opinion Summary

The case involves four Latino couples challenging the lease renewal policy at Waples Mobile Home Park, arguing it violates the Fair Housing Act (FHA) through disparate impact on Latinos. The policy required documentation of legal status, disproportionately affecting Latino tenants, who constitute a significant portion of the undocumented population. Plaintiffs filed a six-count complaint, including an FHA claim under both disparate-treatment and disparate-impact theories. The district court initially dismissed the disparate-impact claim for lacking causation but allowed the disparate-treatment claim to proceed, using disparate impact evidence to infer discrimination. On appeal, the court found that the plaintiffs provided sufficient evidence to establish a prima facie case of disparate impact, contrary to the district court's conclusion. The appellate court vacated the summary judgment in favor of Waples, remanding for further consideration of whether the policy can be justified through a valid interest and if less discriminatory alternatives exist. The dissent argued the plaintiffs failed to show robust causality. The appellate decision emphasizes the FHA's protection against practices causing significant disparities in housing for protected classes.

Legal Issues Addressed

Burden-Shifting Framework for Disparate-Impact Claims

Application: The court outlines the three-step, burden-shifting framework for evaluating disparate-impact claims, emphasizing the need for plaintiffs to show a strong causal link.

Reasoning: The Supreme Court established a three-step, burden-shifting framework for analyzing disparate-impact claims...

Causation Requirement in Disparate-Impact Claims

Application: The appellate court finds that the district court erroneously concluded that plaintiffs did not meet the robust causation requirement, as plaintiffs demonstrated a significant disproportionate effect on Latino residents.

Reasoning: The appellate view disagrees with this conclusion, indicating that the Plaintiffs did provide sufficient evidence to advance their claim.

Disparate-Impact Theory under the Fair Housing Act

Application: The court examines whether the policy at Waples Mobile Home Park disproportionately impacts Latino tenants, focusing on whether the policy lacks legitimate justification.

Reasoning: The Court determined that the statistical evidence presented by the plaintiffs established a prima facie case for a Fair Housing Act (FHA) violation due to the disparate impact of the policy requiring tenants over eighteen to prove their legal status.

Disparate-Treatment Theory under the Fair Housing Act

Application: The district court allows plaintiffs to proceed with housing discrimination claims under disparate treatment, using evidence of disparate impact to infer intentional discrimination.

Reasoning: The court allowed plaintiffs' housing discrimination claims to proceed as disparate treatment claims, permitting evidence of disparate impact to infer intentional discrimination.

Judicial Review Standards for Summary Judgment

Application: The appellate court reviews the district court's summary judgment de novo, focusing on whether genuine disputes of material fact exist.

Reasoning: The court also reviews summary judgments de novo, determining if there are genuine disputes of material fact.

Relevance of Statistical Evidence

Application: Statistical evidence showing that the policy disproportionately affected Latinos in the area supported the plaintiffs' prima facie case under the FHA.

Reasoning: The plaintiffs demonstrated robust causality by showing that the eviction policy led to a higher rate of evictions among Latino tenants.