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ALGORITHMIC RENT FIXING

SEA-MC tit. 7, ch. 7.34
in effect

Seattle Mun. Code § 7.34.010 Findings

7.34.010 - Findings A. The prevalence of new software programs, often referred to as "algorithmic devices," has increased over the past several years. B. These devices allow landlords to indirectly coordinate with each other by sharing non-public, sensitive, and proprietary information to the software program, which then recommends rental rates and occupancy levels. C. In 2022, an investigation by ProPublica into companies with such software showed that for "one neighborhood in Seattle, ProPublica found, 70 percent of apartments were overseen by just ten property managers, every single one of which used pricing software sold by RealPage." D. Use of such software by landlords likely drives up rent and vacancies and may be illegal price-fixing. E. As of 2019, renters outnumber homeowners in Seattle. F. Substantial increases in rent are one of the reasons for the increase in the share of renter households who are cost burdened (defined by HUD as spending more than 30 percent of gross income on housing cost), with average monthly rents increasing by 32 percent, after adjusting for inflation, between 2012 and 2022. G. The Attorney General estimates that about 800,000 leases in Washington were priced using RealPage software between 2017 and 2024. H. The City has an interest in protecting consumers as well as addressing factors that artificially inflate an already high demand for rental housing. (Ord. 127241, § 1, 2025.)

Seattle Mun. Code § 7.34.020 Definitions

7.34.020 - Definitions For the purposes of this Chapter 7.34: "Coordinate" and "coordinating" mean a service provider's: (1) collecting historical, anticipated, or contemporary prices, price changes, supply levels, occupancy rates, or lease or rental contract termination and renewal dates of residential dwelling units from two or more landlords, from private databases, or from public databases; and (2) analyzing or processing the information described in (1) through the use of a system or software that utilizes an algorithmic or other automated process to provide recommendations regarding rental prices, lease renewal terms, or occupancy levels to more than one landlord. "Coordinate" and "coordinating" do not include publishing rental price estimates that: 1. Are solely based on publicly available information; 2. Are equally available to all members of the public; and 3. Do not require a contract or agreement to obtain. "Dwelling unit" has the meaning defined in Section 22.204.050. "Landlord" means the owner, lessor, or sublessor of the dwelling unit or the property of which it is a part, and in addition means any person designated as representative of the owner, lessor, or sublessor including, but not limited to, an agent, a resident manager, or a designated property manager. "Person" means any individual, firm, corporation, association, governmental entity, or partnership and its agents or assigns. "Service provider" means any person that performs a coordinating function. (Ord. 127241, § 1, 2025.)

Seattle Mun. Code § 7.34.025 Exclusions

7.34.025 - Exclusions This Chapter 7.34 does not apply to coordinating functions provided in connection with either short-term rentals as defined in Section 6.600.030 or hotels as defined in Section 22.204.090. (Ord. 127241, § 1, 2025.)

Seattle Mun. Code § 7.34.030 Violations

7.34.030 - Violations A. It is a violation of this Chapter 7.34 for any landlord, in or affecting commerce, to contract with or otherwise exchange anything of value in return for the coordinating services of a service provider. B. It is a violation of this Chapter 7.34 for any service provider, in or affecting commerce, to provide coordinating services to two or more landlords. C. It is not a violation of this Chapter 7.34 for a landlord to use a system or software recordkeeping tool absent otherwise prohibited conduct under this Chapter 7.34. (Ord. 127241, § 1, 2025.)

Seattle Mun. Code § 7.34.040 Enforcement and penalties

7.34.040 - Enforcement and penalties The City Attorney may file a civil action in a court of competent jurisdiction for violations of this Chapter 7.34 for civil penalties of up to $7,500 per violation. Each instance of coordinating services for each dwelling unit may be considered a separate violation. The court may award reasonable attorneys' fees and costs to the City Attorney if the City Attorney is the prevailing party. (Ord. 127241, § 1, 2025.)

Seattle Mun. Code § 7.34.050 Private right of action

7.34.050 - Private right of action Any person injured by a violation of this Chapter 7.34 may bring a civil action in a court of competent jurisdiction against a landlord or other service provider violating this Chapter 7.34 to recover damages up to $7,500 per violation in addition to any actual damages incurred. The court may award reasonable attorneys' fees and costs to any person injured by a violation of this Chapter 7.34 if that person is the prevailing party. (Ord. 127241, § 1, 2025.)
Source: City of Seattle, Seattle Municipal Code and City Charter (Municode Library, library.municode.com)URL: https://library.municode.com/wa/seattle/codes/municipal_code?nodeId=TIT7COPR_CH7.34ALREFIFetched: 11/1/2026

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