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Kentucky AG suing landlords, software company over pricing system

FILE - Kentucky Attorney General Russell Coleman speaks in Frankfort, Ky., Jan. 2, 2024. (AP Photo/Timothy D. Easley, File)
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FR43398 AP
FILE - Kentucky Attorney General Russell Coleman speaks in Frankfort, Ky., Jan. 2, 2024. (AP Photo/Timothy D. Easley, File)

Kentucky Attorney General Russell Coleman is taking landlords and a software provider to court over technology use he says amounts to price fixing.

Coleman is suing Texas-based RealPage, Inc -- arguing it allows landlords to gather non-public data from competing landlords and feed it into an algorithm that generates recommendations for the highest possible price a landlord could charge renters.

The Republican AG says the process leads to unfair price increases and violates federal antitrust laws. For each violation, he's seeking a $10,000 fine from the company.

RealPage says the lawsuit is based on a misunderstanding of how property management software works and is devoid of merit.

The company maintains it "uses data responsibly, aids compliance with Fair Housing laws, rent control laws and state of emergency price gouging laws, and does not use any personal or demographic data to generate rent price recommendations."