Justice Department Sues Software Maker RealPage For Enabling Rent Collusion

In the midst of increased focus of federal enforcers and courts on application of antitrust laws to developing technology, the U.S. Department of Justice (DOJ) filed an antitrust lawsuit on Friday accusing RealPage Inc., a property management software company, of helping residential landlords collude when setting rental rates through RealPage's software. This suit is the first time the government has sued a company for systematically subverting free-market competition by using mathematical algorithms, though the proposed Preventing Algorithmic Collusion Act summarized here would specifically address application of competition law to such conduct.

Joined by eight states, DOJ's present suit filed in the U.S. District Court for the Middle District of North Carolina asserts claims under Sections 1 and 2 of the Sherman Act. Specifically, DOJ's Complaint alleges competing landlords share competitively sensitive information about their apartment rental rates and other