Bill > HF1142

This bill introduces new regulations for tenant screening software and algorithmic devices used in residential rental settings, with two primary provisions. First, the bill prohibits landlords from using algorithmic devices that incorporate nonpublic competitor data (such as undisclosed rent prices, occupancy rates, or lease details from other rental properties) to determine rental rates. Second, the bill bans the use of background screening tools or algorithms that have a disproportionate or arbitrary effect on protected classes as defined in Minnesota's human rights statutes. The bill defines key terms like "algorithmic device" and "nonpublic competitor data" to provide clarity, and specifies that these prohibitions do not apply to aggregate, anonymous trade association reports or products that establish rent limits according to affordable housing guidelines. Landlords who violate these provisions can be held liable and may face civil actions where they could be required to pay damages of at least $1,000, plus investigation and attorney fees. The provisions will become effective on August 1, 2025, giving landlords and screening software companies time to adjust their practices to comply with the new requirements.

Housing and Urban Affairs

https://www.revisor.mn.gov/bills/bill.php?b=House&f=HF1142&ssn=0&y=2025