Bill > SB157

This bill aims to combat algorithmic price-fixing in Hawaii's rental market by prohibiting rental property owners and property management software companies from engaging in practices that artificially inflate rental prices. The legislation makes it unlawful for rental property owners to use software services that coordinate pricing, exchange pricing information, or engage in "consciously parallel pricing coordination," which means a tacit agreement between property owners to manipulate rental prices. The bill allows civil actions against violators with a lower standard of proof, requiring only that a complaint plausibly demonstrate the potential for anti-competitive behavior. The Department of the Attorney General is mandated to develop a public education program to inform citizens about these new restrictions and provide guidance on reporting potential violations. Penalties for individuals found in violation can include fines up to $100,000 or imprisonment for up to three years, while non-individual entities can face fines up to $1,000,000. The legislation defines key terms like "coordinator," "coordinating function," and "residential dwelling unit" to provide clarity on the scope of the law. This bill is part of Hawaii's efforts to address its affordable housing crisis and prevent potential algorithmic manipulation of rental prices by property management software companies.

Business and Industry, Justice

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=157&year=2026