Urgent, Help, Potential Tenant with Pitball

[Jo Zhou]

Please help me look at my situation: My PM threats me that the potential tenants will sue my insurance company and me for not taking them because they have a pitbull. Seriously, my Property Manager threated me that If we don't take this potential tenants, the tenant will sue. My PM is siding with the tenants? They said that the Fair Housing Act prevents people from discriminating the tenants with dogs. I am in California, is it true? 

Can I fire the my PM right away? I feel they are forcing me to take the tenants and they said they had to do it because it is fair to the tenants. They have to be fair.

Before we made the decision not to take this tenant with Pitbull, I read through all the posting in biggerpocket, majority of the landlords will not take the pitbull because of the liability issue. My insurance company sent me a special message and warned me not to rent the house to the tenant with 6 types of dogs, pitbull is one of them.

Please give me some advise what I should do, please, thank you.