The United States Department of Justice logo. (Department of Justice via Bay City News)

A Burlingame landlord has settled with a federal court over allegations she discriminated against a couple and their two children based on their familial status, the U.S. Attorney’s Office said.  

Melinda Bautista Teruel is required to pay $137,500 to the couple. 

According to the U.S. Department of Justice, Teruel managed a two-story, seven-unit apartment complex in Burlingame where the family lived from 2017 to 2020. The government alleged that when Teruel learned the couple was expecting their first child, she told them that a one-bedroom apartment is not for families. Then when she learned they were expecting a second child, she threatened to evict them.  

The lawsuit alleged that Teruel told the couple that families cause more wear and tear and repeatedly pressured them to move from their one-bedroom unit into a larger apartment, prosecutors said. The lawsuit also alleged that Teruel falsely claimed damage to the unit after the couple told Teruel that discrimination against families is illegal and that the family vacated the unit because of Teruel’s continuing pressure.  

After vacating the apartment, the couple filed a complaint with the U.S. Department of Housing and Urban Development, or HUD.   

Based on its investigation, HUD determined that Teruel violated fair housing laws by discriminating based on familial status and issued a charge of discrimination. HUD then referred the matter to the Justice Department when the couple chose to have the matter decided in federal court.  

Filed on July 17, 2023, the lawsuit said that Teruel violated the Fair Housing Act, which prohibits discrimination in housing based on race, color, religion, national origin, sex, disability, and familial status (includes making housing unavailable to families with children, making discriminatory statements about them, and harassing tenants because they are pregnant or have young children). 

According to the U.S. Attorney’s Office, Teruel sold the Burlingame property after the family’s tenancy. The settlement also requires that, if Teruel acquires another residential rental property over the next three years, she must undergo training on fair housing compliance, develop and implement a nondiscrimination policy and complaint procedure, hire a property manager, and submit regular reports concerning her compliance with the order.  

“Housing providers must always comply with federal civil rights laws. They cannot discriminate based on national origin, race, or other protected characteristics, including familial status,” said Ismail Ramsey, U.S. Attorney for the Northern District of California.

Katy St. Clair got her start in journalism by working in the classifieds department at the East Bay Express during the height of alt weeklies, then sweet talked her way into becoming staff writer, submissions editor, and music editor. She has been a columnist in the East Bay Express, SF Weekly, and the San Francisco Examiner. Starting in 2015, she begrudgingly scaled the inverted pyramid at dailies such as the Vallejo Times-Herald, The Vacaville Reporter, and the Daily Republic. She has her own independent news site and blog that covers the delightfully dysfunctional town of Vallejo, California, where she also collaborates with the investigative team at Open Vallejo. A passionate advocate for people with developmental disabilities, she serves on both the Board of the Arc of Solano and the Arc of California. She lives in Vallejo.