Aventurine One, LLC v. The City of Marshall (E.D. Tex.)

On December 21, 2023, the United States filed a Statement of Interest in Aventurine One, LLC v. The City of Marshall, Texas (E.D. Tex.), a case that includes claims brought under the Fair Housing Act (FHA), the United States Constitution, and state law. The complaint in this case alleges, in part, that the City of Marshall violated the FHA by denying a special use permit for the plaintiff’s proposed Low-Income Housing Tax Credit development based on discriminatory objections raised in public hearings. The City of Marshall moved to dismiss the plaintiff’s complaint. In its Statement of Interest, the United States explains that comments that do not directly reference a protected class may nevertheless be indicative of discriminatory animus, and clarifies that municipalities can be held liable under the FHA for capitulating to constituents’ discriminatory motives.