Attorney General Merrick Garland on Friday announced that the DOJ filed an antitrust lawsuit against the real estate software company RealPage for allegedly enabling landlords to collude and raise rents across the United States.
"After a nearly two-year investigation, the Justice Department, joined by eight states, has sued RealPage, a commercial real estate software company, for violating the Sherman Antitrust Act," Garland said in a press conference, citing the 1890 law.
"When the Sherman Act was passed, an anticompetitive scheme might have looked like robber barons shaking hands at a secret meeting," Garland said. "Today, it looks like landlords using mathematical algorithms to align their rents."
"We alleged that this software is developed, marketed, and sold to enable landlords to sidestep vigorous competition in the rental market," Garland continued.
"A large number of landlords effectively agree to outsource their pricing decisions to RealPage by using a[n] 'auto-accept setting,' which effectively permits RealPage to determine the price a renter will pay," Garland said.
