Bill > SB52

This bill addresses the use of algorithmic pricing software in the rental housing market by making it unlawful to sell, license, or provide rental pricing algorithms to multiple parties with the intent of setting rental rates, lease terms, or occupancy levels for residential properties. The bill specifically prohibits using such algorithms if the user knows that other parties in the same or related market are using similar tools, and it prevents businesses from using non-public competitor data about residential premises. A rental pricing algorithm is defined as a service or product that uses algorithms to analyze rental rates, lease terms, or occupancy levels, with some exceptions for publicly available aggregated data and affordable housing programs. The Attorney General, city attorneys, and county counsels can file civil actions for violations, with potential penalties of up to $1,000 per violation, and individuals harmed by such violations can also pursue legal action. The bill aims to address concerns about algorithmic pricing technology disrupting rental markets, potentially leading to inflated rents, higher vacancy rates, and reduced competition, particularly among large corporate landlords. The legislation is particularly significant in California, where 44% of households are renters and median rents are substantially higher than the national average, with cities like Los Angeles and San Francisco experiencing especially high rental costs.

Budget and Finance, Justice

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260SB52