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Landlord Liable for Retaliating Against Maker of False Discrimination Claim
What responses are available to a landlord after a false claim of discrimination? The Court of Appeals faced that issue in Clifton Park Apartments, LLC v. New York State Division of Human Rights, 41 N.Y.3d 326, and held that a landlord may not seek to recover the damages it has suffered as a result of a false discrimination claim, so long as the claim was made in good faith.
The Clifton Park Facts
CityVision, a not-for-profit corporation, had a tester call the owner of the Pine Ridge apartment complex, purportedly to rent an apartment. CityVision then filed a complaint with the Division of Human Rights (DHR), alleging that Pine Ridge had discriminated against the tester based on her familial status because Pine Ridge had allegedly steered tenant to another apartment complex when Pine Ridge discovered that the tester planned to live in the apartment with children. After investigation, DHR dismissed the complaint, concluding that there was no probable cause to support a finding of discrimination.
Pine Ridge's lawyer, acting on Pine Ridge's behalf, then sent a letter to CityVision and the tester labeling the complaint "false, fraudulent, and libelous" and indicating that Pine Ridge was looking to them for the damages Pine Ridge suffered as a result of the complaint. The letter indicated that if Pine Ridge did not hear from CityVision and the tester within a specified period, Pine Ridge would assume that they were not taking responsibility for their actions, and Pine Ridge would "proceed accordingly."
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