AI prohibited practices
Price Coordination and Algorithmic Devices
Rockville City Code ch. 18, sec. 18-148Adopted Chapter 18 ordinance, published by the City of Rockville on its Engage Rockville site
Binds private bodies.
What this law does
Under Rockville City Code section 18-148, a landlord must not use an algorithmic device regarding the rent, fees, or any other rental term for a dwelling unit within the City. An algorithmic device is a product or service that uses one or more algorithms to perform calculations, uses non-public competitor data from two or more landlords, and recommends rents, fees, rental terms, renewal terms, or occupancy levels for a dwelling unit.
A landlord must also not engage in price coordination, agree with any other person not to compete on rent, fees, or any other rental term, or subscribe to or pay for an algorithmic device or price coordination services.
The definition of an algorithmic device excludes a periodic report published not more than once a month that publishes existing rental data in an aggregated and anonymous manner without recommending rental prices, fees, rental terms, or occupancy levels for future leases, a product or service used to establish rent or income limits under a government affordable housing program, and a product or service used by a person who is the landlord of only one rental unit in the City.
Each violation is a municipal infraction. The Mayor and Council adopted the ordinance on . The ordinance takes effect on .
What it requires