Prohibits use of algorithm or artificial intelligence to set residential rental amounts and prohibits landlord price fixing of residential rents. Violations constitute a deceptive trade practice and violators are subject to civil suit.
Impact
If enacted, H8058 would significantly alter the landscape of rental agreements by making it illegal for landlords to utilize modern technological means for determining rental prices. The act provides that any violations concerning the use of algorithms for rent setting, as well as any collusion among landlords to stabilize rental prices, would be classified as deceptive trade practices. Thus, aggrieved tenants would have the right to pursue civil actions against landlords, potentially resulting in treble damages, legal fees, and other costs, which would likely act as a deterrent against such practices.
Summary
House Bill H8058 aims to amend the Residential Landlord and Tenant Act by prohibiting landlords from using algorithms or artificial intelligence to set or determine rental amounts for residential properties. This legislation directly addresses concerns over potential price fixing among landlords and seeks to maintain fair and competitive rental practices within the housing market. In doing so, it emphasizes the importance of transparent and just rental pricing for tenants across the state.
Contention
Notably, the bill could provoke debate among various stakeholders in the housing market. Proponents argue that it protects tenants from unfair pricing tactics that may arise from technological advancements. Conversely, critics might contend that this could limit landlords' abilities to make informed decisions about pricing, which could be seen as an overreach of governmental control over market dynamics. The discussions surrounding this legislation are likely to underscore the ongoing tensions between tenant protections and landlord rights.