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- cross-posted to:
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Summary
The U.S. Justice Department, joined by 10 states, has sued six major landlords and RealPage, a company behind a rent-setting algorithm, accusing them of colluding to keep rents high by sharing sensitive pricing data and avoiding competition.
The landlords, operating over 1.3 million units, allegedly used RealPage’s algorithm and coordination to align rents, exacerbating the housing crisis.
One landlord has agreed to cooperate with prosecutors.
Critics argue this scheme worsens affordability issues for renters, who already face record rent burdens amid a strained housing market.
See, this is part of why I agree with things like the corporate death penalty. A company will not care how much it is fined, unless that fine forces it to close. Our justice structure when it comes to actually dealing with corporate entities is WOEFULLY behind the times, and has been artificially kept so for decades. Besides, fining a company that was scheming to keep rents artificially high brings no benefits, nor relief to the actual tenants who were forced out because of high rents.
Fining companies seems to just be a way of getting more money from them.