Panic Peddling Law and Legal Definition

Panic peddling is the illegal practice of inducing people in a neighborhood to sell their homes, by making them believe that members of a minority group are likely to buy property in and around their residential area. It is the practice that real estate licensees employ to solicit listings through the illegal use of written or oral statements, or any other behavior that tends to create fear or alarm concerning the presence or imminent presence in the neighborhood of members of a minority.