Which federal law prohibits discrimination based on race?

The Civil Rights Act of 1866 is a landmark federal law that prohibits discrimination based on race, ensuring that all individuals have the same right to enter into contracts and to sue for damages resulting from discrimination. This legislation was aimed at combating racial discrimination and was part of a broader effort to secure civil rights for newly freed African Americans following the Civil War.

This act establishes that all persons are entitled to the same rights and, importantly, it addresses discrimination in a wide array of contexts, including property rights. While other laws, such as the Civil Rights Act of 1968 and the Fair Housing Amendments Act of 1988, specifically tackle discrimination in housing and lending arenas, the 1866 Act explicitly sets the foundation for prohibiting racial discrimination in a more general context.

Understanding this law is critical for anyone involved in real estate, as it underscores the legal framework protecting against racial discrimination in all contracts and agreements, which includes real estate transactions.