Question 75

The action violates the Sherman Anti-trust Act.

Restricting brokerages from listing properties outside their office locations can limit competition and create unfair practices in the real estate market, which is a violation of the Sherman Anti-trust Act.

A) Civil Rights Act

The Civil Rights Act primarily addresses discrimination in housing based on race, color, religion, sex, or national origin. While this act is crucial for protecting fair housing, it does not pertain to restrictions on brokerage practices or competitive behavior in the market.

B) Diversity Jurisdiction

Diversity jurisdiction refers to the ability of federal courts to hear cases where the parties are from different states. It does not relate to real estate practices or laws governing competition among brokerages, making it irrelevant to the question.

C) Sherman Anti-trust Act

The Sherman Anti-trust Act aims to promote fair competition and prohibits monopolistic practices. By limiting where brokerages can list properties, the decision by the MLS board members restricts competition, thus violating this act.

D) Housing and Community Development Act of 1974

This act focuses on providing assistance for housing and community development, particularly for low-income individuals. While significant for housing policies, it does not address competitive practices among real estate brokerages, hence it is not applicable to the situation described.

Conclusion

The Sherman Anti-trust Act is the relevant law here, as it directly addresses competitive practices and aims to ensure fair competition in the marketplace. The other options, while important in their respective realms, do not pertain to the issue of restricting brokerage listings and the implications for competition in real estate. Thus, the MLS board's decision is a clear violation of the Sherman Anti-trust Act.