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Bank Liability for Federal Housing Act Violations

By Stewart E. Sterk

In Bank of America v. City of Miami, 2017 WL 1540509, the United States Supreme Court faced a claim by the City of Miami that two banks had violated the federal Fair Housing Act by issuing loans to black and Latino customers on terms less favorable than loans issued to similarly situated customers who were white and non-Latino. The Court's decision represented a partial victory for each side: It held that the City had standing to bring the claim, but imposed on the City a burden to prove that any violation constituted the proximate cause of the City's harm.

Case History

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