The Montgomery County Council unanimously approved Bill 8-26, known as the Anti-Algorithmic Price Fixing Act, on Tuesday, October 20, prohibiting the use of algorithms to coordinate rental prices and lease terms in the county.
The legislation, introduced by Councilmember Will Jawando and cosponsored by Councilmembers Shebra Evans and Kristin Mink, is intended to prevent landlords from using algorithmic pricing systems to coordinate rents rather than independently determining rental rates.
The bill follows similar legislation passed by the City of Rockville earlier this year, making it the first municipality in Maryland to ban algorithmic rent pricing. The County Council’s Planning, Housing and Parks Committee previously amended Bill 8-26 to align with Rockville’s law before recommending its passage.
“I am thankful to my Council colleagues for unanimously supporting the passage of this important bill for our County,” Jawando said. “We have heard overwhelming support from residents for this bill because it directly tackles rental housing affordability by banning algorithmic collusion that results in higher rent for residents.”
Supporters of the legislation argue that algorithmic pricing tools can contribute to higher housing costs by allowing landlords to coordinate rental rates and reduce competition. The bill establishes restrictions on these practices and provides for enforcement.
The legislation comes amid broader efforts at the state and national levels to address algorithmic price coordination in the rental housing market, including litigation involving Maryland Attorney General Anthony Brown and proposals addressing the use of artificial intelligence in housing.
