A Florida law that harshly restricts property ownership for people from seven countries will not be suspended while it is being challenged in court, a federal judge ruled Thursday.

District Judge Allen Winsor denied a preliminary injunction, which would have barred the new policy in Florida that Gov. Ron DeSantis signed into law earlier this summer.

A group of Chinese Floridians and a real estate brokerage firm filed a lawsuit against Florida in federal court over SB 264, a law that prevents anyone associated with the Chinese government, political parties, business organizations and people “domiciled” in China who are not U.S. citizens or legal permanent residents from buying property in Florida.

It also limits property ownership for many people from six other countries — Russia, Iran, Korea, Cuba, Venezuela and Syria — from buying agricultural land or any property within 10 miles of military installations or critical infrastructure. The law provides a narrow exception that allows for the purchase of one residential property, which cannot be within five miles of any military installation. 

ACLU plans to appeal for preliminary injunction

“Today’s decision is disappointing, but our clients will continue to fight for their rights to equality and fairness on appeal,” Ashley Gorski, a senior staff attorney at the American Civil Liberties Union National Security Project and one of the lead attorneys in the lawsuit, told USA TODAY, adding that the law “legitimizes and expands housing discrimination."

Two of the plaintiffs have pending real estate transactions for later this year that are being affected, and a real estate firm also behind the lawsuit is already losing business as a result of the new ban, ACLU officials told USA TODAY Thursday. There are also broader concerns over how the law could exacerbate discrimination against the Asian community.

A member of the state attorney general's office declined to comment.

DOJ against Florida law

ACLU officials said the court declined the preliminary injunction because it claimed to not have a substantial likelihood of success on the merits of claim, which is a requirement for a preliminary injunction. However, the U.S. Department of Justice said in a statement of interest filed to the court in June that the plaintiffs will likely win this case, as the law violates both the Fair Housing Act and Equal Protection Clause of the 14th Amendment.

“These unlawful provisions will cause serious harm to people simply because of their national origin, contravene federal civil rights laws, undermine constitutional rights, and will not advance the State’s purported goal of increasing public safety,” the court filing said.

The Justice Department added that the plaintiffs were “likely to succeed” in the suit and demonstrated support for a preliminary injunction.