Comment by paxys
5 months ago
Collecting and sharing data is in itself not illegal. RealPage was also using the data to algorithmically generate a rent number and encouraging landlords to automatically use that number with no room for negotiation. It literally branded itself as a service that would prevent landlords from bidding against each other. That part is what pushed it into collusion.
And regardless of whether it is legal or not, the problem has to go beyond a handful of small startups for the DoJ to get involved. RealPage is used in 80%+ of multifamily rental buildings in the US. What is Pave's market share? How many employees are affected by their practices?
No. DoJ is suing RealPage because they used non-public, sensitive data to set rental prices in a way that reduces competition. Literally what these guys are doing.
Complaint: https://www.justice.gov/opa/media/1364976/dl?inline=&utm_med...
more readable Press release for DoJ on RealPage: https://www.justice.gov/usao-mdnc/pr/justice-department-sues...