SB 1990

This bill establishes that i t is an unlawful restraint of trade or commerce for a natural person or a legal entity (together, "person"") to knowingly or recklessly 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 analytic s service, or algorithmic device that performs a coordinating function on behalf of, or between and among, such residential rental property owners or managers. This bill establishes that i t is an unlawful restraint of trade or commerce for a residential rental property owner or manager to knowingly or recklessly set or adjust rental prices, lease renewal terms, occupancy levels, or other lease terms and conditions in one or more of the own er's or manager's residential rental properties based on recommendations from a software, data analytics service, or algorithmic device performing a coordinating function. As used above, a "" c oordinating function "" means performing all of the followin g :  Collecting historical or contemporaneous prices, supply levels, or lease or rental contract termination and renewal dates of residential dwelling units from two or more residential rental property owners or managers, if at least two such owners or managers are not wholly owned subsidiaries of the same parent entity or otherwise owned or managed by the same owner or manager .  Analyzing or processing such information using a system, software, or process that uses computation, including by using that information to train an algorithm .  Recommending rental prices, lease renewal terms, ideal occupancy levels, or other lease terms and conditions to a residential rental property owner or manager . However, this bill clarifies that such term does not include a product used for the purpose of establishing rent or income limits in accordance with an affordable housing program administered by a federal, state, or local government or other political subdivision . REMEDIES This bill provides that a violation of this bill is subject to the same civil and criminal penalties as a violation of agreements in restraint of trade. Any person who engages in any such offense or who, as principal, manager, director, or agent, or in any other capacity, knowingly carries out such violation, commits a Class E felony, which is punishable by a term of imprisonment of no less than one year nor more than six years and a potential fine not to exceed $3, 000. However, such a violation by a cor poration must upon conviction be punished by a fine not exceeding $1 million . Further, a ny person who is directly or indirectly injured or damaged by such violation may sue for and recover, in any court of competent jurisdiction, equitable relief and actual damages ."