FOR IMMEDIATE RELEASE:
September 12, 2023

Equal Rights Center Files Suit Against Kettler Management Over Rampant Source of Income Discrimination at Multiple D.C. Properties

(WASHINGTON, D.C.) — Today, the Equal Rights Center (ERC) filed a lawsuit in D.C. Superior Court claiming that Kettler Management, Inc. (Kettler) unlawfully refused to accept housing vouchers at its D.C. residential apartment properties, including the Rise at Temple Courts, Lotus Square, Solstice, Park Kennedy, Union Heights, and Dock 79. The ERC alleges that Kettler’s conduct constitutes unlawful housing discrimination in violation of the D.C. Human Rights Act (DCHRA) and the D.C. Consumer Protection Procedures Act (DCCPPA). 

The ERC is a civil rights organization that identifies and seeks to eliminate unlawful and unfair discrimination in housing, employment, and public accommodations in its home community of Greater Washington D.C. and nationwide. Since July 2022, the ERC has been contacted by at least seven different housing voucher holders seeking to use vouchers at six different Kettler-managed properties, who reported that Kettler was: 

  • Imposing minimum income requirements on voucher holders seeking to rent with the assistance of their voucher, and rejecting such voucher applicants;
  • Denying applicants who are voucher holders based on source of income, including those using Rapid Rehousing Subsidies from the D.C. Department of Human Services;
  • Denying applicants who are voucher holders because of poor credit history; and,
  • Unduly delaying the lease up process and prohibiting voucher holders from securing housing. 

ERC staff investigated and verified the allegations, ultimately leading to the filing of this lawsuit alleging Kettler has a policy or practice of discriminating against voucher holders. Despite the ERC’s repeated efforts to educate Kettler that its practices are discriminatory, the lawsuit claims Kettler has continued those practices, with the latest voucher applicant contacting ERC staff for help in August 2023. 

ERC Executive Director Kate Scott comments, “Over the last year, our intake program has been inundated with complaints from local voucher holders who experience rampant discrimination and we’ve realized that we cannot possibly solve this crisis through individual advocacy on a case-by-case basis. We hope that today’s action will prompt better compliance with vital local protections against discrimination, by Kettler and other landlords doing business in the District.” 

The ERC is represented in this matter by Crowell & Moring LLP and Handley Farah & Anderson. 

In 2022, The D.C. Council amended the DCHRA as part of the Eviction Record Sealing Authority and Fairness in Renting Amendment Act of 2022, effective May 18, 2022. As amended, DCHRA Section 2-1402.21(g) prohibits a landlord from refusing to rent to an applicant using a voucher based on the applicant’s income level, credit score, or lack of credit score. Additionally, since a voucher fundamentally alters the economic reality of its recipient, it also prohibits a landlord from considering prior nonpayment, late payment of rent, or any credit issues that arose during a period in which the applicant did not have a voucher. 

Scott adds, “Vouchers are a critical part of solving the District’s housing crisis, which the Council has recognized by enacting important anti-discrimination protections for voucher holders in local law. But those protections are meaningless if landlords are allowed to disregard them.”

To try and mitigate the harm that Kettler’s alleged ongoing violations caused, the ERC diverted significant time and resources to conduct education and outreach to housing voucher holders, local service providers, ERC members, and the general public. The ERC also assisted two voucher holders in bringing complaints against Kettler with the D.C. Office of Human Rights.

In one particularly egregious instance cited in the complaint, a voucher holder was able to obtain a unit at a Kettler managed property — Lotus Square — only after the ERC advocated on her behalf. However, conditions at the property were egregiously bad due to rat infestations and other housing code violations. As such, it failed D.C. Department of Human Services (DHS) habitability inspections and accordingly, DHS refused to make rent payments. Because of the terrible conditions of the unit, the voucher holder attempted to apply to live at a different Kettler managed property. Kettler denied her application, citing derogatory credit information. The voucher holder again sought assistance from ERC, who discovered that the derogatory credit information was that DHS refused to make rent payments because the property failed inspections. In other words, the complaint alleges that Kettler refused to rent a unit at a different property it managed to the voucher holder after Kettler’s own refusal to maintain the initial unit she rented in acceptable condition created derogatory credit information for her.

Matthew Handley, of Handley Farah & Anderson, comments, “The ERC’s investigation has revealed outrageous barriers for voucher holders trying to rent homes at Kettler managed properties. By filing this action, we are asking the court to find these barriers to be unlawful and help us bring Kettler into compliance with local laws, which will make the homeseeking process for voucher holders fairer and more effective.”

The ERC seeks declaratory, injunctive, and monetary relief through the lawsuit.

The full complaint is available here

CONTACT:
Kate Scott, Executive Director
Equal Rights Center
kscott@equalrightscenter.org, (202) 370-3220

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ABOUT THE EQUAL RIGHTS CENTER: The ERC is a civil rights organization that identifies and seeks to eliminate unlawful and unfair discrimination in housing, employment and public accommodations in its home community of Greater Washington D.C. and nationwide. The ERC’s core strategy for identifying unlawful and unfair discrimination is civil rights testing. When the ERC identifies discrimination, it seeks to eliminate it through the use of testing data to educate the public and business community, support policy advocacy, conduct compliance testing and training, and, if necessary, take enforcement action. For more information, please visit www.equalrightscenter.org.

ABOUT HANDLEY FARAH & ANDERSON: Handley Farah & Anderson are lawyers who seek to improve the world.  Based in Washington, D.C., they fight for: workers deprived of wages, consumers deceived about products, tenants denied access to housing, farmers mistreated by processors, parents deprived of adequate parental leave, investors who were defrauded, small businesses harmed by antitrust violations, persons with disabilities denied access, whistleblowers who uncover fraud, and women and communities of color subject to discrimination.

ABOUT CROWELL & MORING LLP: Crowell & Moring is an international law firm with operations in the United States, Europe, MENA, and Asia. Drawing on significant government, business, industry and legal experience, the firm helps clients capitalize on opportunities and provides creative solutions to complex litigation and arbitration, regulatory and policy, and corporate and transactional issues. The firm is consistently recognized for its commitment to pro bono service as well as its programs and initiatives to advance diversity, equity and inclusion.

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The ERC is a civil rights organization that identifies and seeks to eliminate unlawful and unfair discrimination in housing, employment and public accommodations in its home community of Greater Washington DC and nationwide. The ERC’s core strategy for identifying unlawful and unfair discrimination is civil rights testing. When the ERC identifies discrimination, it seeks to eliminate it through the use of testing data to educate the public and business community, support policy advocacy, conduct compliance testing and training, and, if necessary, take enforcement action. For more information, please visit www.equalrightscenter.org

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