Housing rental terms: algorithmic devices.
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Majority
Fiscal committee
No
Appropriation
No
Current location
Appropriations
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Progress
Where this bill stands in the legislative process.
- Introduced
- Passed Senate
- Passed Assembly
- To Governor
- Became Law
Overview
This bill aims to regulate the use of algorithmic pricing software in the California rental market. It prohibits the sale, licensing, or provision of such algorithms to multiple landlords, as well as their use to set rental terms, particularly if they rely on nonpublic competitor data. The bill also allows the Attorney General and local city/county attorneys to pursue legal action against those violating these restrictions, seeking damages and penalties.
Key provisions
- Prohibits the sale, licensing, or provision of rental pricing algorithms to multiple landlords.
- Makes it unlawful to use rental pricing algorithms to set rental terms if they utilize nonpublic competitor data.
- Outlaws setting rental terms based on recommendations from algorithms that rely on nonpublic competitor data.
- Defines ‘nonpublic competitor data’ to exclude publicly available information.
- Authorizes the Attorney General and local attorneys to file civil actions against violators.
- Allows for damages, injunctive relief, and civil penalties for violations.
- Establishes a penalty of up to $1,000 per violation.
- Specifies that each month of violation constitutes a separate violation.
Who is affected
- Landlords
- Rental Property Owners
- Algorithmic Pricing Software Providers
- Tenants
- Real Estate Market
Notable changes
Bill text
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