August 24–25, 2024
The Department of Justice (DOJ) Sues RealPage. #
This lawsuit is the culmination of a two-year investigation involving the DOJ and eight states (North Carolina, California, Colorado, Connecticut, Minnesota, Oregon, Tennessee, and Washington).
The suit alleges that RealPage, a commercial real estate software company, violated the Sherman Antitrust Act by engaging in price fixing. RealPage described its information services as “artificial intelligence revenue management.”
The DOJ is addressing technology-enabled crimes, such as those that employ artificial intelligence and machine learning. Deputy Attorney General Lisa Monaco explains, “Training a machine to break the law is still breaking the law. Price coordination using AI is still price coordination. And monopolization advanced by an algorithm is still monopolization.”
Renters spend about one-third of their income on rent. Higher rents are a key contributor to inflation. In this action, the DOJ, like the Federal Trade Commission, is promoting free markets and competition. See the previous News item about economic opportunity and antitrust.
DOJ Documentation #
- Justice Department Sues Real Page for Algorithmic Pricing Scheme that Harms Millions of American Renters
- United States of American, State of North Carolina, State of California, State of Colorado, State of Connecticut, State of Minnesota, State of Oregon, State of Tennessee, and State of Washington (Plaintiffs) v. RealPage, Inc.
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