Discussion Prompt:

Geo: State of California

Discuss the following scenarios. For each scenario, putyourselves in the role of the real estate broker and answerthese questions:

"Is there a violation of federal or state laws in this situation?

And if so, what should I do?"

Scenario #1

You have a new job as an assistant property manager for a large apartmentcomplex in your town. During your first week on the job, you "shadow" your bossso you can learn how he handles showing apartments to prospective tenants. Younotice that your boss tells some prospects that the company no longer has anyvacancies, even though you know it does. On one occasion, within a half hour oftelling one couple there was no vacancy, another couple came in and was showntwo different apartments that were currently available. At the end of the week, you are scheduled to have a "debriefing" with your boss, to discuss the first week of

work and any questions you may have.

Questions for Scenario #1:

Should you ask your boss about why he treats differentprospects differently, to clear the air and get a better understanding of what the policies for this complex are? And if you do, and your suspicions turn out to

be correct (i.e., you find that he is discriminating on the basis of race, religion,sexual orientation, and/or other protected characteristics), what should you do (ifanything)?

Scenario #2

You need to add additional salespeople to your staff, and you would like to hirepeople with bilingual skills (Spanish, Chinese, etc.). Your plan is to assign thesesalespeople to particular neighborhoods within your market, where many of theresidents speak these languages. Most of these multilingual neighborhoods aremade up of lower priced homes than the other, more affluent neighborhoods youserve.

Questions for Scenario #2:

Does this plan pose any legal risks for you, as a business

owner and/or real estate licensee? If so, what might you do differently?

Scenario #3

You have been a real estate broker for several years, and have a good workingrelationship with a local lender. However, in the past few months, you have noticeda pattern: this lender seems to charge higher fees and closing costs for your Latinoclients than for your Caucasian clients. The lender also appears to treat these Latino

clients less favorably in terms of customer service: ignoring phone calls andemails, and not providing all therequired disclosures.

Questions for Scenario #3:

As a real estate agent, do you have a legal duty to speakto the lender about your concerns about possible discriminatory treatment, even if you're not really sure? And even if you don't have a legal duty, do you think you

should discuss this issue with the lender or just take your business elsewhere?