Prohibits a person or entity from knowingly or with reckless disregard facilitate an agreement between or among two or more residential rental property owners or managers to not compete with respect to residential rental dwelling units, including by operating or licensing a software, data analytics service, or algorithmic device that performs a coordinating function on behalf of or between and among such residential rental property owners or managers.
Summary
Bill A01417 seeks to amend the General Business Law by prohibiting landlords from using algorithmic pricing methods to determine rental amounts for residential tenants. The bill defines 'pricing algorithm' as any computational process that utilizes data to set prices and explicitly prohibits the use of competitor data in these algorithms. Additionally, the bill mandates that landlords must obtain written consent from tenants before sharing their personal data with third parties and requires landlords to disclose various aspects of data processing to tenants.
Impact
If enacted, this bill would significantly alter how landlords set rental prices in New York, ensuring that they cannot rely on potentially discriminatory or non-transparent algorithmic methods. It aims to protect tenant privacy by restricting the sharing of personal data without consent and enhancing transparency regarding data processing practices. This bill could lead to a more equitable rental market and may require landlords to adopt more traditional methods for determining rent, potentially affecting their revenue models.
Sentiment
The general sentiment surrounding Bill A01417 appears to be favorable among committee members, as evidenced by the supportive votes in various committee stages. The bill has passed through the Assembly Housing, Codes, and Rules Committees with a majority of votes in favor, indicating a growing concern over the implications of algorithmic pricing in the rental market and a desire to protect tenant rights.
Contention
Notable points of contention include concerns from some landlords and property management companies regarding the potential limitations on their ability to set competitive rental prices. Critics argue that prohibiting algorithmic pricing could hinder their ability to respond to market conditions effectively. Supporters of the bill, however, emphasize the need for transparency and fairness in rental practices, arguing that the current reliance on algorithms can lead to discriminatory outcomes.
Same As
Prohibits a person or entity from knowingly or with reckless disregard facilitate an agreement between or among two or more residential rental property owners or managers to not compete with respect to residential rental dwelling units, including by operating or licensing a software, data analytics service, or algorithmic device that performs a coordinating function on behalf of or between and among such residential rental property owners or managers.
Prohibits a person or entity from knowingly or with reckless disregard facilitate an agreement between or among two or more residential rental property owners or managers to not compete with respect to residential rental dwelling units, including by operating or licensing a software, data analytics service, or algorithmic device that performs a coordinating function on behalf of or between and among such residential rental property owners or managers.
"Fair Business Practices Act of 1975"; any person from facilitating noncompete agreements between residential rental property owners or managers, including by use of algorithmic coordinating functions; prohibit
Amends the residential landlord and tenant act to prohibit the use of algorithmic renting-setting software that relies on nonpublic competitor data to determine rental prices or occupancy levels for residential dwelling units in Rhode Island.