In Chicago Lawyers' Committee for Civil Rights Under Law, Inc. v. Craiglist, Inc., (7th Cir. March 14, 2008), the U.S. 7th Circuit Court of appeals held that the online classified ad service, Craiglist, is not responsible under federal housing discrimination laws for discriminatory language in ads posted by third parties. Relying on the Communications Decency Act of 1996, the court, in an opinion by Judge Easterbrook, held that Craiglist is not to be treated as the publisher of the ads. Among the ads plaintiffs found objectionable was one which read "Catholic Church and beautiful Buddhist Temple within one block". Plaintiffs claimed this ad suggested a religious preference. The federal Fair Housing Act prohibits the publication of ads offering real estate for sale or rent where the ad indicates "any preference, limitation, or discrimination based on race, color, religion, sex, handicap, familial status, or national origin."
In a statement issued after the decision, the Lawyer's Committee for Civil Rights said: "While we are of course disappointed with the overall outcome of the case, we are gratified that the Court emphasized in the final paragraph of its decision that landlords and other housing providers who post discriminatory advertisements remain fully liable under the federal fair housing laws." Today's San Francisco Chronicle reports on the decision.