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Two Chinese citizens have filed a federal lawsuit to block a new Texas law designed to prohibit nationals of several countries from buying or leasing property in the state.

The Houston Chronicle reports Peng Wang and Qinlin Li, Chinese nationals with visas, are seeking to void Senate Bill 17 that bars noncitizens from China, Iran, North Korean, and Russia from owning land in Texas. The plaintiffs stated the law, which goes into effect on Sept. 1, is unconstitutional and discriminates based on race and ethnicity.

While supporters of Senate Bill 17 cite national security concerns in prohibiting property transactions involving these nationals, the lawsuit argues federal processes to determine if real estate purchases affect national security preempts the need for the state law.

Wang has resided in Texas for 16 years and is pursuing a Master of Divinity degree at a seminary in Fort Worth, while Li is a recent engineering graduate from Texas A&M who works for a private company that designs wastewater treatment plants. The office of Texas Attorney General Ken Paxton said the new law would not impact Wang and Li because they are residing lawfully in the state. But the lawsuit noted the new law is focused on where people claim their domicile, whereas people such as Li and Wang who are on student or work visas cannot claim Texas as their home.

Justin Sadowsky, the lead counsel for the Chinese American Legal Defense Alliance, which is representing the plaintiffs, argued, “Chinese people in this state of Texas will be terrified of so much as renting a place to live, because if it turns out this law does apply to them. It is a state jail felony, and they can end up in jail for up to two years.”

Texas is among 28 states that place limitations on foreign ownership.