RealPage Sues Berkeley Over Ban on Algorithmic Rental Pricing

The city of Berkeley, California is being sued by RealPage over its ban on algorithms used to determine apartment rental prices. The lawsuit states that Berkeley’s ordinance passed in March represents a “sweeping and unconstitutional ban on lawful speech,” and a violation of the First Amendment’s prohibition on content-based restrictions. RealPage is a controversial company that has been likened to a cartel by some lawmakers across the United States. It is not hard to see why: RealPage essentially offers landlords an algorithm that can maximize their revenue by evaluating a customer’s properties along with rental data from nearby properties to offer suggested rental pricing. Many people already dislike landlords for what they believe is a fundamentally immoral business model—making a profit on individuals who need a roof over their heads. RealPage serves as something of an outlet to express that frustration. Critics contend that RealPage’s practice of comparing rental prices to make ... Read full article.