In a legal settlement that marks a significant stance against alleged anti-competitive rent pricing strategies, Nevada has reached an agreement with RealPage, a Texas-based tech firm. According to FOX5 Vegas, the lawsuit contends that RealPage's software algorithms facilitated a rise in rental prices statewide, an action that would contravene antitrust laws by enabling landlords to coordinate and thus, eschew competition.
RealPage will face oversight following allegations that it contributed to rent inflation through data that allowed landlords to align pricing strategies. Under the settlement's terms, RealPage is to impose constraints on the use of nonpublic data when advising Nevada clients on rent rates. In addition, the firm will pay $200,000 to aid organizations that support low-income tenants, FOX5 Vegas reported. Acknowledging the settlement yet denying wrongdoing, RealPage maintains that its software complies and adapts to legal requirements, choosing settlement to bypass the "costs and distraction of potential litigation."
Nevada Attorney General Aaron Ford emphasized the significance of the agreement, noting that it could prompt further support for Nevada residents, should any subsequent settlement in an ongoing multi-state lawsuit extend greater monetary relief on a proportional basis. As clarified by KTNV, Ford conveyed a strong message about his commitment to accountability, asserting, "Understand this: if any company is defrauding Nevadans, under my administration this Office of Attorney General will — without fear or favor — take you on, and ensure that you are held accountable."
In its defense, RealPage released a statement pointedly denying allegations of engaging in any form of fraud or price-fixing, asserting that their software has been reviewed and found to be legally sound by both their own antitrust counsel and by the U.S. Department of Justice as recently as 2017. As reported by KTNV, Dana Jones, CEO of RealPage, expressed satisfaction with reaching a resolution, and remarked, "We are gratified we found a path forward with the State of Nevada." The settlement appears to be an attempt at balancing corporate interests with those of the consumers, in a bid to address the heightened sensitivity around housing affordability that has emerged in the wake of the pandemic's economic impact.
