SUGGESTED NEWS RELEASES

Activities of your Equal Rights Committee can be the basis for news stories for your local paper. Steps you take to try to resolve minority housing problems, either alone or with other community groups, are news. The public wants to be informed. The editor of your local newspaper, the local television and radio stations, all want to keep the public informed in this sensitive area.

Following is a news release that has been used successfully by local boards in California to announce adoption of the Code of Practices. Two typical printed stories based on this are reproduced following it.

Realtor Board Adopts Equal Opportunity Housing Policy

Members of the (name of local board) are pledged to a new Code of Practices promoting "equal opportunity" in housing, it was announced today by (name of local board president), the board's president.

The Code was drawn up by the California Real Estate Association and recommended to all CREA member local real estate boards for adoption, (last name of board president) said.

"Leaders of our association felt that such a Code will clarify the responsibilities and duties of the Realtor and real estate salesman, as CREA and our own Board sees them," he explained.

"It also stresses our belief that a voluntary approach can solve housing problems arising from the race, color, religion or national origin of the parties involved.

"We're going to do everything we can to make it work."

(The Code of Practices in full, as adopted by the local board, is then inserted as the remainder of the news release.)

[From the La Mirada-Santa Fe Springs & Artesia Zone, Feb. 18, 1965]

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'EQUAL RIGHTS' IN HOUSING PLEDGED BY REALTORS HERE

"Members of the Norwalk-La Mirada Board of Realtors are pledged to a new code of practices promoting ‘equal opportunity' in housing.

"The code was drawn up by the California Real Estate Association and recommended to all CREA member local real estate boards for adoption, Jack D. Hastings, president of the local board, said.

"Leaders of our association felt that such a code will clarify the responsibilities and duties of the Realtor and real estate salesmen, as CREA and our own board sees them,' he explained.

"It also stresses our belief that a voluntary approach can solve housing problems arising from the race, color, religion or national origin of the parties involved.

"'We're going to do everything we can to make it work.'
"The code of practices, as adopted by the group provides:

""The Norwalk-La Mirada Board of Realtors subscribes to the policy that a favorable public attitude for equal opportunity in the acquisition of housing can best be accomplished through leadership, example, education and the mutual cooperation of the real estate industry and the public.'

"This is the code adopted by the Norwalk-La Mirada Board of Realtors: "1. It is the responsibility of a Realtor to offer equal service to all clients without regard to race, color, religion, or national origin in the sale, purchase, exchange, rental, or lease of real property.

"A realtor should stand read to show property to any member of any racial, creedal or ethnic group.

"A Realtor has a legal and ethical responsibility to receive all offers and to communicate them to the property owner. The Realtor being but an agent, the right of decision must be with the property owner.

"A Realtor should exert his best efforts to conclude the transaction. "2. Realtors, individually and collectively, in performing their agency functions have no right or responsibility to determine the racial, creedal, or ethnic composition of any neighborhood or any part thereof.

"A Realtor shall not advise property owners to incorporate in a listing of property an exclusion of sale to any such group.

"A Realtor may take a listing which insists upon such exclusion, but only if it is lawfully done at the property owner's instance without any influence whatsoever by the agent.

"3. Any attempt by a Realtor to solicit or procure the sale or other disposition in residential areas by conduct intended to implant fears in property owners based upon the actual or anticipated introduction of a minority group into an area shall subject the Realtor to disciplinary action. Any technique that induces panic selling is a violation of ethics and must be strongly condemned.

"4. Each Realtor should feel completely free to enter into a broker-client relationship with persons of any race, creed or ethnic group.

"Any conduct inhibiting said relationship is a specific violation of article XVIII of the rules and regulations of this board, and shall subject the violating Realtor to disciplinary action."

[From the Bakersfield Californian, Feb. 18, 1965]

"REALTY BOARD BACKS 'EQUAL OPPORTUNITY'-VOLUNTARY APPROACH ON HOUSING PROBLEMS PLEDGED IN NEW CODE

"Members of the Bakersfield Realty Board are pledged to a new code of practices promoting ‘equal opportunity' in housing, it was announced today by Board President Ralph P. Zellers.

"The code was drawn up by the California Real Estate Association and recommended to all CREA member local boards for adoption, Zellers said.

""Leaders of our association felt that such a code will clarify the responsibilities and duties of the Realtor and real estate salesman, as CREA and our own board sees them,' he explained.

"It also stresses our belief that a voluntary approach can solve housing problems arising from the race, color, religion or national origin of the parties involved.

"We are going to do everything we can to make it work,' Zellers added.

"The Bakersfield Realty Board subscribes to the policy that a favorable public attitude for equal opportunity in the acquisition of housing can best be accomplished through leadership, example, education and the mutual cooperation of the real estate industry and the public.

"Zellers said the following is the adopted Code of Practices of the Bakersfield Realty Board:

1. It is the responsibility of a Realtor to offer equal service to all clients without regard to race, color, religion or national origin in, the sale, purchase, exchange, rental or lease of real property.

"a. A realtor should stand ready to show property to any member of any racial, creedal or ethnic group.

"b. A realtor has a legal and ethical responsibility to receive all offers and to communicate them to the property owner. The Realtor being but an agent, the right of decision must be with the property owner.

"c. A realtor must exert his best efforts to conclude the transaction.

"2. Realtors, individually and collectively, in performing their agency duties, have no right or responsibility to determine the racial, creedal or ethnic composition of any neighborhood or any part thereof.

"a. A realtor shall not advise property owners to incorporate in a listing of property an exclusion of sale to any such group.

"b. A realtor may take a listing which insists upon such exclusion, but only if it is lawfully done at the property owner's instance without any influence whatsover by the agent.

"3. Any attempt by a Realtor to solicit or procure the sale or other disposition in residential areas by conduct intended to implant fears in property owners based upon the actual or anticipated introduction of a minority group into an area shall subject the realtor to disciplinary action. Any technique that induces panic selling is a violation of ethics and must be strongly condemned. "4. Each realtor should feel completely free to enter into a broker-client relationship with persons of any race, creed or ethnic group.

"a. Any conduct inhibiting said relationship is a specific violation of the rules and regulations of the Bakersfield Realty Board and shall subject the violating Realtor to disciplinary action."

[From the Salinas Californian, Jan. 8, 1965]

"BOARD OF REALTORS COMMENDED CLERGYMEN ADOPT FAIR HOUSING VIEWS "The clerical community of Salinas has adopted without dissenting vote or voice a statement of principles on fair housing and commendation for the Salinas Board of Realtors position on equal opportunity in the acquisition of housing. "Both statements were adopted by the Salinas Ministerial Association, Roman Catholic clerics and the Rabbi Abraham Haselkorn who endorsed the action 'in principle.'

"In relation to the Board of Realtors, with whom many of the ministers were in disagreement during the recent campaign to repeal the Rumford Fair Housing Act, the ministers stated:

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The clergy of Salinas commends the action taken by the Salinas Board of Realtors which subscribes them to a policy which seeks to accomplish through leadership, example, education and mutual cooperation with the public a favorable attitude for equal opportunity in the acquisition of housing.

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'The clergy also looks with favor upon the adoption of a consequent code of practices which seeks to effect that policy of the Board of Realtors.'

"In a separate action the ministers adopted a statement of principles on fair housing acquisition opportunities which marked the healing of a breach in their own ranks opened during the Proposition 14 fight.

"Core of the statement is contained in a paragraph stating, 'We believe that every person has the right to acquire a home in Salinas without restrictions which are based on race, religion or national origin.'

OTHER POINTS

"The statement says further:

"We believe there to be a high level of fair mindedness in Salinas equal housing opportunities and pledge ourselves to work toward total freedom in housing opportunities as the community grows.

"We believe it to be in the best interest of our community that all persons of good will actively seek to bring about this freedom of opportunity in housing.' "The ministers did not confine themselves to statements of principles in this vital area of social justices, but also outlined a program of action to be implanted locally in carrying out the enunciated principles.

"Two Portions

"They indicated the plan of action would be carried out in cooperation with the Realtors. The action program is divided into two major portions, education and housing assistance.

"Under education, the ministers propose to develop a speakers bureau to discuss equal housing opportunities before meetings of civil groups; study experience of housing pattern 'in this community and others' and make results of these studies available to guide future local action; and maximum utilization of all news media.

"Direct Action

"The housing assistance portion of the program promises direct action in the field of housing opportunities. The ministers pledge themselves to maintain continued liaison with the Salinas Board of Realtors and seek to open additional doors of cooperation.'

"In addition, they propose a 'concentrated effort. . . in neighborhoods where persons of minority groups are moving in.' For these neighborhoods the ministers propose a three-point program.

"This program would be designed to: 'Find persons in that neighborhood who will welcome and assist the new arrival; inform such persons of pertinent experience elsewhere; and encourage such persons to share their feelings with neighbors.'

"The Christian ministers concluded their combined statements of principles and proposed action by saying: 'We would dedicate ourselves to continued study of housing patterns and relations and to seek cooperative solutions to problems which may arise. We so act unitedly mindful of Christ's high priestly prayer that we may all be one.""

There will be occasions when members of your Equal Rights Committee are called upon to explain its purpose before local groups. This should be encouraged. Kiwanis, Lions, Optimists, Chambers of Commerce, PTA, and similar clubs and associations are constantly looking for timely topics for programs. Contact their program chairmen. Offer to speak before them. Such appearances are newsworthy and can be reported to local news media through a news release similar to the following:

For further information contact: (name)
Phone: (phone number)

FOR RELEASE

(date)

(name of speaker) spoke before the (name of club or assn.) today (yesterday) explaining the purpose of the (name of local board's) Equal Rights Committee. "This new committee." he said, "was formed to try to help solve voluntarily problems that sometimes arise among minority groups seeking housing.

"We believe voluntary acceptance of responsibility by the individual, the property owner, the Realtor, and the community is the key to any solution over the long term. We are ready to meet with leaders of recognized and responsible church and civic groups at any time to discuss such solutions."

(speaker's last name) said the real estate board's "Code of Practices," adopted early this year, reaffirms that board members will "offer equal services to all clients without regard to race, color, religion, or national origin in the sale, purchase, exchange, rental or lease, of real property."

He also pointed out, however, that the ultimate decision as to whom a property owner will sell or rent rests with the property owner, not the real estate agent. "There is a great deal of work to be done," he said, "to examine the problem if and when it exists. It's a process of education on both sides. We're ready to do our part among our members in bringing about a better understanding and solution." SUGGESTED PROPERTY MANAGEMENT DIRECTIVE

(A sample of one form by a Realtor member given to his associates.) BULLETIN to Staff of

Realty Company

With the addition of Section 26, Article 1 (Proposition 14) to the California Constitution, we feel it necessary to clarify certain matters in order to make sure there is no possible misunderstanding by any member of our Staff as to our responsibilities and duties in the management of property and service to our clients.

Consequently, each member of our Staff is directed to read this memo and to sign and return one copy for our file. Please read it carefully before signing.

1. As we understand the law, while most owners are relieved from jurisdiction, discrimination because of race, color, religion or national ancestry is still contrary to the public policy of the State of California and licensees of the State are obliged to give equal services to all.

2. Such discrimination is contrary to the policy of our company, and all Staff members are cautioned against any such discrimination in tenant selection. The only exception to this rule would be in such instances that you are advised in writing by management that an owner who may lawfully do so has given us a written instruction in the matter. To date, no owner of property we manage has given us such an instruction.

3. You are reminded that each tenant applicant is to be required to sign the same credit application form and each is to be processed in the same manner, exactly as per our present policy.

4. Nothing in this directive is to imply that minority tenants should be given less scrutiny than members of a minority race; nor are they to be given more.

5. Our obligation to owners is to continue to procure good tenants of whatever race, and this we must continue to do.

6. If you have any question about policy, contact your account executive immediately, or the undersigned.

7. Sign and return the enclosed copy for our record.

President

I have carefully read the above and will comply.

LEGAL OPINIONS

Following are answers by Gibson, Dunn & Crutcher, attorneys to questions submitted to them with respect to the practice application of new Section 26, Article I of the California Constitution (Proposition 14). For convenience, all references to the term "real estate broker" or "broker" also apply to real estate salesmen, since the broker is responsible for his salesmen's conduct.

1. What provisions of the Unruh, Hawkins and Rumford Acts still apply to California property owners and real estate brokers, and how can the real estate broker avoid violating any of such remaining provisions?

Answer. Since the Rumford Act itself incorporated and thus supplanted the Hawkins Act, the above question will be deemed to refer only to the effect of the new initiative constitutional amendment upon the Rumford Act of 1963 and the Unruh Civil Rights Act as amended in 1961. So construed, the questions are answered by the opinion of this office dated December 1, 1964 and entitled "Effect of New Section 26, Article I of California Constitution on the Unruh Civil Rights and Rumford Acts." (See Appendix I)

Of prime importance to Realtors is the fact that carrying on the occupation of a real estate broker constitutes the carrying on of a "business" under the Unruh Act, and the new initiative constitutional amendment does not purport to change that fact. Accordingly, brokers must not themselves discriminate in affording their services on grounds of race, color, religion, ancestry or national origin. The right of refusal to sell or rent is that of the owner of residential real property and his authorized representatives acting on his instructions, and the broker should protect himself by limiting his activities to carrying out the instructions of that owner, whatever they may be.

2. Are there any penalties for violations of any laws on the books not nullified by Proposition 14?

Answer. The answer above recites the extent to which the Unruh and Rumford Acts are affected by the new constitutional amendment and the extent to which such statutes are yet operative. As indicated, neither of the statutes is entirely abrogated; and since each of such statutes provides penalties for violations, the answer to this question must be in the affirmative. There are still penalties for violations of the Unruh Act and Rumford Act insofar as such Acts have not been superseded by the new constitutional amendment.

3. By reason of the passage of the constitutional amendment while some provisions of the Unruh and Rumford Acts remain in effect, is there a requirement that brokers follow any particular procedures in showing property to a minority client or presenting offers from a minority client?

Answer. The only effect of the initiative constitutional amendment is to give the owner of residential real property the right to decline to sell, lease or rent such property to such person as he, in his absolute discretion, chooses: a right which has always been his except for limitations imposed by the Unruh, Hawkins and Rumford Acts. Accordingly, no special procedures would appear to be called for solely by reason of the enactment of the amendment. Naturally, if the property owner includes in his listing or communicates to the broker the fact that he will not sell to a particular group of persons, that fact should be communicated to all prospective participating brokers and to prospective buyers. Similarly, when such a preference is made known by the seller, he should be advised as to whether any offers being presented are by persons within the group to which he had indicated an unwillingness to sell. Where no such preference is made known by the seller to the broker, the only policy which should be necessary to follow is that of responding frankly to questions by the owner with respect to the prospective buyer.

4. If a broker suggests a restrictive listing, is he violating any laws? Answer. As pointed out above, the initiative constitutional amendment does not entirely eliminate all aspects of the Unruh and Rumford Acts. For example, under the Unruh Act, it would be unlawful to engage in the business of renting space in an office building and to exclude tenants from such building on grounds of race, color, religion, ancestry or national origin. The constitutional amendment in no way changes this situation since it protects only the discretion of a seller of residential real property. Since both the Unruh and the Rumford Acts prohibit one from aiding, abetting or inciting another to violate the law, it would be unlawful to attempt to induce the professional seller or renter of nonresidential property to place a discriminatory restriction on his listing with the broker.