A property manager used rent price-setting algorithms that were banned in Philly last year, lawsuit says

A West Philadelphia renter, Yiyao Liu, has filed a class-action lawsuit against property manager Willow Bridge Property Co. and software provider RealPage. The lawsuit alleges that Willow Bridge violated a Philadelphia ordinance by using RealPage's software to obtain rent recommendations based on non-public data from competing landlords, a practice designed to coordinate and artificially inflate rental prices.

This legal action marks the first known case brought under Philadelphia's ban on rent-setting algorithms, which went into effect in February 2025. The ordinance was introduced by City Councilmember Nicolas O'Rourke to prevent corporate landlords from using technology to coordinate pricing. Similar legal actions have occurred elsewhere; for example, Washington, D.C. recently secured $1.4 million in settlements from landlords accused of using RealPage software to inflate rents.

While RealPage has previously defended its technology as "pro-competitive," the lawsuit highlights growing regulatory scrutiny of algorithmic pricing in the housing market. The Pennsylvania Apartment Association has argued that such technologies improve operational efficiency and encourage marketplace competition, contrasting with the concerns of city officials and tenants regarding rent inflation.

(Source：The Philadelphia Inquirer)