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HUD/FHEO RIN: 2529-AB00 Publication ID: Spring 2020 
Title: ●Reconsideration of Third-Party Liability Under the Fair Housing Act (FR-6214) 

In 2016, HUD issued a new rule that, among other things, set forth in 24 CFR 100.7 several direct and vicarious liability principles for who may be liable under the Fair Housing Act, which were not previously contained in HUD’s regulations.  Subsequent developments in case law, primarily the U.S. Court of Appeals for the Second Circuit’s December 2019 opinion in Francis v. King’s Park Manor , have caused HUD to reconsider its 2016 rulemaking on one of those principles of liability, 24 CFR 100.7(a)(iii), which allows for liability on the part of a housing provider for the actions of a third party (third party liability).  HUD’s considered view is now that existing law does not support the interpretive position that the Fair Housing Act creates negligence-based liability for a property owner or manager for discriminatory conduct by a third party who is not a common law agent of such property owner or manager.  This proposed rulemaking would strike 24 CFR 100.7(a)(iii) from the regulation while leaving the remainder of the 2016 rulemaking intact. This would better allow courts to develop the Fair Housing Act in the area of third party liability.

Agency: Department of Housing and Urban Development(HUD)  Priority: Other Significant 
RIN Status: First time published in the Unified Agenda Agenda Stage of Rulemaking: Proposed Rule Stage 
Major: No  Unfunded Mandates: No 
EO 13771 Designation: Other 
CFR Citation: 24 CFR 100   
Legal Authority: 42 U.S.C. 3535(d)    42 U.S.C. 3601-3619   
Legal Deadline:  None
Action Date FR Cite
NPRM  11/00/2020 
Regulatory Flexibility Analysis Required: No  Government Levels Affected: Undetermined 
Federalism: No 
Included in the Regulatory Plan: No 
RIN Data Printed in the FR: No 
Agency Contact:
David Enzel
Deputy Assistant Secretary for Enforcement and Programs
Department of Housing and Urban Development
Office of Fair Housing and Equal Opportunity
451 Seventh Street SW,
Washington, DC 20410
Phone:202 402-5557