Bill Sponsors
Speakman, Ajello, Morales, Felix, Azzinaro, Stewart, Cruz, Furtado, and Giraldo
Committee
House Judiciary
Summary
Select
This legislation amends the "Residential Landlord and Tenant Act" to prohibit the use of algorithmic rent-setting tools. It makes it illegal for landlords or entities to use "revenue management devices"—software that utilizes nonpublic data from competitors (such as actual rent amounts and occupancy levels)—to determine rental rates or vacancy strategies. The bill defines this practice as an unfair or deceptive trade act. It empowers the Attorney General to enforce the ban through investigations and penalties, while also preserving the right for individuals to file private lawsuits.
Sponsor
Analysis
Pros for Progressives
- Combats the artificial inflation of housing costs by preventing landlords from using algorithms to coordinate price increases, potentially making housing more affordable for working-class families.
- Disrupts corporate collusion in the housing market by banning the sharing of nonpublic competitor data, ensuring that rent prices are determined by fair market competition rather than automated price-fixing.
- Empowers the Attorney General to hold large property management companies accountable for deceptive practices, strengthening consumer protections for tenants against predatory financial technologies.
Cons for Progressives
- Fails to address the underlying shortage of affordable housing or establish rent control caps, meaning rents may remain prohibitively high even without algorithmic price-setting.
- Enforcement may prove difficult if landlords claim they used public data or internal metrics rather than competitor data, potentially allowing the practice to continue in a less obvious form.
- Does not provide immediate financial relief or retroactive restitution to tenants who have already been displaced or impoverished by previously inflated rents resulting from these algorithms.
Pros for Conservatives
- Promotes genuine free-market competition by preventing property owners from effectively forming cartels through data-sharing software, ensuring prices reflect actual supply and demand.
- Protects the proprietary business data of independent landlords from being aggregated and exploited by large corporate entities and software monopolies.
- Upholds existing antitrust principles by clarifying that automated price-fixing schemes are deceptive trade practices, reinforcing the rule of law in commercial transactions.
Cons for Conservatives
- Constitutes government overreach into private business operations by dictating what software and data tools property owners are allowed to use to manage their investments.
- Expands the power of the Attorney General to investigate and penalize businesses, creating a risk of politically motivated targeting of landlords and property management firms.
- Limits the efficiency of the housing market by restricting the use of modern technology that helps property owners optimize occupancy and revenue.
Constitutional Concerns
None Likely. While the bill restricts the use of specific business tools, it regulates commercial conduct akin to antitrust and price-fixing laws, which are generally constitutional. It does not ban the collection of public data, only the use of nonpublic competitor data for coordination, which falls under the state's authority to prevent unfair trade practices.
Impact Overview
Groups Affected
- Landlords
- Tenants
- Property Management Companies
- Software Vendors
- Real Estate Investors
Towns Affected
All
Cost to Taxpayers
Amount unknown
Revenue Generated
Amount unknown
BillBuddy Impact Ratings
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Regulatory
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Environmental Impact
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Bill Status
Current Status
Held
Comm Passed
Floor Passed
Law
History
• 01/15/2026 Introduced, referred to House Judiciary
Bill Text
SECTION 1. Chapter 34-18 of the General Laws entitled "Residential Landlord and Tenant Act" is hereby amended by adding thereto the following section:
34-18-63. Prohibition on algorithmic rent setting.
(a) Definitions. As used in this section:
(1) “Nonpublic competitor data” means information not available to the general public including, but not limited to, actual rent amounts, occupancy levels, lease start and end dates, or other similar data, regardless of whether the information is:
(i) Attributable to a specific competitor or anonymized; and
(ii) Derived from, shared by, or otherwise provided by another person or entity that competes in the same or a related residential rental market.
(2) “Revenue management device” means a device, system, or software, commonly known as revenue management or rent optimization software, that uses one or more programmed or automated processes to perform calculations using nonpublic competitor data concerning local or statewide rental rates or occupancy levels for the purpose of advising a landlord on:
(i) Whether to leave a residential dwelling unit vacant; or
(ii) The amount of rent that the landlord may charge or obtain for a residential dwelling unit.
The term “revenue management device” includes any product or service that incorporates such a device, but does not include:
(A) A report or publication that presents existing rental data in an aggregated or historical manner and does not recommend or determine rental rates or occupancy levels for future leases; or
(B) A product or system used solely for the purpose of establishing rent or income limits in accordance with the guidelines of a local, state, or federal affordable housing program.
(b) Prohibited conduct.
It shall be unlawful for any person or entity to use a revenue management device or nonpublic competitor data to set, recommend, or determine rental rates or occupancy levels for residential dwelling units within the state.
(c) Enforcement.
(1) A violation of this section shall constitute an unfair or deceptive trade act or practice under chapter 13.1 of title 6.
(2) The attorney general is authorized to investigate and enforce this section and to seek all remedies available under chapter 13.1 of title 6, including injunctive relief, civil penalties, restitution, and costs.
(3) Nothing in this section shall be construed to limit any private right of action otherwise available under state law.
SECTION 2. This act shall take effect upon passage.
34-18-63. Prohibition on algorithmic rent setting.
(a) Definitions. As used in this section:
(1) “Nonpublic competitor data” means information not available to the general public including, but not limited to, actual rent amounts, occupancy levels, lease start and end dates, or other similar data, regardless of whether the information is:
(i) Attributable to a specific competitor or anonymized; and
(ii) Derived from, shared by, or otherwise provided by another person or entity that competes in the same or a related residential rental market.
(2) “Revenue management device” means a device, system, or software, commonly known as revenue management or rent optimization software, that uses one or more programmed or automated processes to perform calculations using nonpublic competitor data concerning local or statewide rental rates or occupancy levels for the purpose of advising a landlord on:
(i) Whether to leave a residential dwelling unit vacant; or
(ii) The amount of rent that the landlord may charge or obtain for a residential dwelling unit.
The term “revenue management device” includes any product or service that incorporates such a device, but does not include:
(A) A report or publication that presents existing rental data in an aggregated or historical manner and does not recommend or determine rental rates or occupancy levels for future leases; or
(B) A product or system used solely for the purpose of establishing rent or income limits in accordance with the guidelines of a local, state, or federal affordable housing program.
(b) Prohibited conduct.
It shall be unlawful for any person or entity to use a revenue management device or nonpublic competitor data to set, recommend, or determine rental rates or occupancy levels for residential dwelling units within the state.
(c) Enforcement.
(1) A violation of this section shall constitute an unfair or deceptive trade act or practice under chapter 13.1 of title 6.
(2) The attorney general is authorized to investigate and enforce this section and to seek all remedies available under chapter 13.1 of title 6, including injunctive relief, civil penalties, restitution, and costs.
(3) Nothing in this section shall be construed to limit any private right of action otherwise available under state law.
SECTION 2. This act shall take effect upon passage.