HUD Guidance on Limited English Proficiency

On September 15, 2016 HUD published a guidance memo on the Fair Housing Act (FHA) - Protections of Persons with Limited English Proficiency. Specifically, the guidance addresses how disparate treatment and discriminatory effects can occur when housing providers base an adverse action – such as a refusal to rent or renew a lease – based on an individuals limited ability to read, write, speak or understand English. The guidance memo concludes the close relationship with English proficiency and the national origin (a specifically protected class of persons under FHA) can create FHA violations in some circumstances where limited English Proficiency is the basis for denying housing.

While the recent memo focuses on policies for renting a dwelling, it does also impact mortgage loan transactions. Additionally, limited English proficiency and its impact in FHA claims are not new in federal regulatory schemes with executive orders from 2000 and numerous legal cases.

For a full overview of the guidance memo and how a proposed action might be initiated and defended, Jim Milano, partner with Weiner Brodsky Kinder PC, has written a summary of the new HUD guidance memo. Jim’s summary also discusses possible considerations of additional accommodations housing providers might want to consider in their policies and documents, such as giving disclosures in other languages or allowing applicants to use a translator. However, even these accommodations can generate more questions, and should be reviewed carefully with individual counsel.

A reminder, TMHA now provides majority of the most commonly used community forms and notices in Spanish for our members.