Last Wednesday, the racial discrimination lawsuit filed by three Black real estate investors in Texas was dismissed “without the option to refile.”
“The decision hinged less on whether the family had been discriminated against than whether the Fair Housing Act, which prohibits discriminating in the ‘sale or rental of a dwelling,’ had been violated,” the Houston Chronicle reports.
In 2022, James Ra-Amari and his wife Misty Ra-Amari, and Misty’s sister Rosemary Afful filed a civil lawsuit in federal court against realtor Josie Lin, “Lin’s company, UMRE; Grand West Condominiums; Grand West Residential Condominium Association, Inc.; United Property Management; and RE/MAX and EXP Reality, two real estate brokerages.”
The three investors purported that Lin “refused them the option to purchase three condominiums in a newly constructed community. They say that they were denied the units because of their race.”
The Ra-Amaris and Afful sought “compensatory, special, and punitive damages, economic damages for alleged violation of the Fair Housing Act, and infliction of emotional distress.”
According to the civil lawsuit, the condos’ marketing materials were “advertised as ‘…a new option for a safe and simple Asian life’ and [said], ‘Katy Asian town is within walking distance.’”
In addition, there was allegedly an “information packet [that] marketed the complex as a ‘new option for Chinese and Asian communities.’”
The suit also claimed that Lin told the three real estate investors that “all the current owners were personal friends and knew each other.”
The Black family’s argument: Lin’s comments in concert with the promotional materials explicitly targeting “‘Asian communities’ established discrimination.”
But the judge dismissed many of the defendants from the suit, citing that the Ra-Amaris and Afful failed to establish a business relationship between themselves and Lin or that Lin was an agent “acting on their behalf.”
The defendants filed a motion to dismiss the case in its entirety, arguing semantics, pointing out that “a condo is only a ‘dwelling’ if the buyer planned to occupy it, and the family had identified themselves instead as investors in court documents. Additionally, they argued that the family had never indicated in court documents that they had actually made an offer.”
United States District Judge David Hittner largely sided with the defendant’s assertions that the Black family had failed to demonstrate they even “had a case.”
In a written statement, the plaintiffs’ attorney Justin Moore said “This case highlights the ongoing challenges and importance of the Fair Housing Act.”
“Our stance is that real estate investment has historically been a pathway for many Americans to build wealth, and our clients’ endeavors align with this tradition,” Moore continued. “Property at its essence is an investment…Your home is an investment whether you live in it or not.”