Philadelphia City Council is weighing legislation that would formally bar landlords from “price-fixing” rental rates, an illegal practice housing advocates say hurts low-income renters by undermining competition and fairness in the marketplace. The measure is designed to stop corporate landlords from using revenue management software like RealPage to coordinate monthly rents. “Price-fixing through an algorithm is still price-fixing. It’s still illegal, and we ain’t gonna allow it in the city of Philadelphia,” Councilmember Nicolas O’Rourke said during a news conference. If passed, the city could file suit on behalf of tenants and impose stiff fines on landlords who violate the law. Renters could also sue landlords directly. Under the measure, violators could be forced to pay $2,000 per violation. Each “prohibited action” would be counted as a separate violation and the fine would be imposed for every day it “occurs or continues.” O’Rourke’s bill is inspired by legislation passed last month in San Francisco. Last month, the U.S. Department of Justice filed suit against RealPage in partnership with the attorneys general of North Carolina, California, Colorado, Connecticut, Minnesota, Oregon, Tennessee and Washington.
Source: PlanPhilly; 9/26/2024