Illinois · Senate Bill · 104th General Assembly (2025–2026)
SB1996
Illinois SB 1996 — Preventing Algorithmic Rent Fixing in the Rental Housing Market Act

Status ● Introduced Effective N/A Passage Likelihood L

WHAT THIS BILL REGULATES · 1 REQUIREMENT TYPE

How Is This Bill Enforced

Enforcement Authority
The Illinois Attorney General has full enforcement authority under the Consumer Fraud and Deceptive Business Practices Act. The Attorney General or a State's Attorney may also bring a civil action on behalf of any injured person. Private right of action: any person injured by a violation may sue in the county where the defendant or its agent resides or is found, regardless of amount in controversy. Pre-dispute arbitration agreements and pre-dispute joint-action waivers are unenforceable at the election of the plaintiff or class representative.
Private Right of Action
Private right of action: any person injured by a violation may sue in the county where the defendant or its agent resides or is found, regardless of amount in controversy.
Penalties
Court may award compensatory, injunctive, and declaratory relief, including treble damages, interest on damages, attorney's costs and fees, and any further relief the court deems appropriate. Plaintiff must show injury to property resulting from a violation. Remedies and penalties available to the Attorney General under the Consumer Fraud and Deceptive Business Practices Act also apply.

What This Bill Requires

Verbatim statutory text on the left; plain-language analysis and a per-section checklist on the right. Numbered markers cross-link to the matching checklist row.

Statutory Text
Analysis & Obligations
Section 1
Short title

This Act may be cited as the Preventing Algorithmic Rent Fixing in the Rental Housing Market Act.

Names the Act the Preventing Algorithmic Rent Fixing in the Rental Housing Market Act. No operative obligation.

Section 5
Definitions

Section 5 verified_genuine

Defines the operative terms used throughout the Act. The most consequential definition is coordinate, which sweeps in any service that (1) collects rental price, supply, or occupancy data from two or more lessors or public databases, (2) processes that data with a computational system, and (3) recommends rental prices, lease terms, or occupancy levels back to a lessor. The definition is intentionally functional rather than technology-specific — it does not require AI or machine learning, only computation — but is plainly aimed at algorithmic revenue-management tools such as RealPage.

Section 10
Unlawful conduct
DeployerDeveloper

(a) 1 A real estate lessorReal estate lessor"Real estate lessor" means any individual, corporation, partnership, association, joint-stock company, trust, or unincorporated organization that owns real property and leases such property or any portion thereof in the form of a residential dwelling unit.Section 5, or any agent or subcontractor of a real estate lessorReal estate lessor"Real estate lessor" means any individual, corporation, partnership, association, joint-stock company, trust, or unincorporated organization that owns real property and leases such property or any portion thereof in the form of a residential dwelling unit.Section 5, shall not subscribe to, contract with, or otherwise exchange anything of value in return for the services of a real estate service providerReal estate service provider"Real estate service provider" means any person who performs a coordination function for any real estate lessor.Section 5.

(b) 2 A real estate service providerReal estate service provider"Real estate service provider" means any person who performs a coordination function for any real estate lessor.Section 5 shall not facilitate an agreement to not compete between real estate lessorsReal estate lessor"Real estate lessor" means any individual, corporation, partnership, association, joint-stock company, trust, or unincorporated organization that owns real property and leases such property or any portion thereof in the form of a residential dwelling unit.Section 5 with respect to residential dwelling unitsResidential dwelling unit"Residential dwelling unit" means any house, apartment, accessory dwelling unit, or other unit intended to be used as a person's primary resident. "Residential dwelling unit" does not include inpatient medical care, licensed long-term care, and detention or correctional facilities.Section 5.

Section 10 contains the bill's two operative prohibitions. Subsection (a) bars residential landlords (and their agents and subcontractors) from purchasing or otherwise contracting for the services of any algorithmic 'real estate service provider' as defined in Section 5. Subsection (b) bars the providers themselves from facilitating non-compete agreements among lessors with respect to residential units.

Together these provisions effectively prohibit the use of algorithmic revenue-management tools that aggregate competitor data — both demand-side (from the landlord) and supply-side (from the provider). The prohibition is categorical, not disclosure-based: there is no compliant way to use such a tool by giving notice or obtaining consent.

Compliance actions 2 items
1
Residential landlords (and their agents and subcontractors) must not subscribe to, contract with, or pay anything of value for the services of any algorithmic real-estate service provider that collects multi-lessor pricing or occupancy data and recommends rental prices, lease terms, or occupancy levels.
CP-01.10
2
Real estate service providersReal estate service provider"Real estate service provider" means any person who performs a coordination function for any real estate lessor.Section 5 must not facilitate any agreement among residential landlords to refrain from competing with respect to residential dwelling unitsResidential dwelling unit"Residential dwelling unit" means any house, apartment, accessory dwelling unit, or other unit intended to be used as a person's primary resident. "Residential dwelling unit" does not include inpatient medical care, licensed long-term care, and detention or correctional facilities.Section 5.
CP-01.10
Section 15
Enforcement and damages

Section 15 A violation of any provision of this Act is an unlawful practice under the Consumer Fraud and Deceptive Business Practices Act. All remedies, penalties, and authority granted to the Attorney General by that Act shall be available to him or her for the enforcement of this Act.

Routes enforcement through the Illinois Consumer Fraud and Deceptive Business Practices Act, making any violation an unlawful practice and giving the Attorney General the full suite of CFDBPA remedies, penalties, and authority. No new affirmative compliance obligation is created in this section.

Section 20
Private right of action

(a)–(d) The Attorney General or a State's Attorney may bring a civil action on behalf of any personPerson"Person" means any natural person, corporation, partnership, limited liability company, firm, or association.Section 5 in a court of competent jurisdiction to secure relief as provided in this Section for injury sustained by that personPerson"Person" means any natural person, corporation, partnership, limited liability company, firm, or association.Section 5 to the personPerson"Person" means any natural person, corporation, partnership, limited liability company, firm, or association.Section 5's property that results from a violation of this Act. (b) Any personPerson"Person" means any natural person, corporation, partnership, limited liability company, firm, or association.Section 5 who is injured as a result of a violation of this Act may bring a civil action in a court having jurisdiction in the county where the defendant resides or is found, or any agent of the defendant resides or is found, without respect to the amount in controversy. (c) A court may order compensatory, injunctive, and declaratory relief, including treble damages, interest on damages, attorney's costs and fees, and any further relief the court deems appropriate. (d) At the election of the personPerson"Person" means any natural person, corporation, partnership, limited liability company, firm, or association.Section 5 alleging conduct constituting a violation of this Act or the named representative of a class in a collective action alleging a violation of this Act, no pre-dispute arbitration agreementPre-dispute arbitration agreement"Pre-dispute arbitration agreement" means an agreement to arbitrate a dispute that has not yet arisen at the time of the making of the agreement.Section 5 or pre-dispute joint-action waiver shall be valid or enforceable with respect to a case that is filed under federal, tribal, State, or Local law and that relates to a violation of this Act.

Establishes parens patriae authority for the Attorney General and State's Attorneys, an individual private right of action for any injured person, and broad remedies including treble damages, interest, and attorney's fees. Subsection (d) renders pre-dispute arbitration agreements and class-action waivers unenforceable at the election of the plaintiff or class representative — a notable carve-out from the Federal Arbitration Act baseline that may face preemption challenges. No affirmative compliance obligation; this is the enforcement mechanism for Section 10.

Section 25
Severability

Section 25 The provisions of this Act are severable under Section 1.31 of the Statute on Statutes.

Standard severability clause. No obligation.

815 ILCS 505/2HHHH
Conforming amendment to Consumer Fraud and Deceptive Business Practices Act

Sec. 2HHHH Sec. 2HHHH. Violations of the Preventing Algorithmic Rent Fixing in the Rental Housing Market Act. A personPerson"Person" means any natural person, corporation, partnership, limited liability company, firm, or association.Section 5 who violates the Preventing Algorithmic Rent Fixing in the Rental Housing Market Act commits an unlawful practice within the meaning of this Act.

Adds a new Section 2HHHH to the Consumer Fraud and Deceptive Business Practices Act declaring that violations of the Preventing Algorithmic Rent Fixing in the Rental Housing Market Act constitute unlawful practices under the CFDBPA. This is a conforming cross-reference rather than an independent compliance obligation.

Passage Likelihood

Low
Status Introduced
Chamber No passage
Committee No action
Majority party Yes
Bipartisan No
Prior session None

Legislative History

2025-02-06 Filed with Secretary by Sen. Graciela Guzmán
2025-02-06 First Reading
2025-02-06 Referred to Assignments
2025-03-12 Assigned to Executive
2025-03-19 To AI and Social Media
2025-03-21 Rule 2-10 Committee Deadline Established As April 11, 2025
2025-04-11 Rule 3-9(a) / Re-referred to Assignments
2026-01-27 Re-assigned to Executive
2026-02-04 To AI and Social Media
2026-03-13 Rule 2-10 Committee Deadline Established As March 27, 2026
2026-03-27 Rule 2-10 Committee Deadline Established As April 24, 2026
2026-04-10 Added as Co-Sponsor Sen. Rachel Ventura
2026-04-24 Rule 2-10 Committee/3rd Reading Deadline Established As May 15, 2026
2026-05-15 Rule 2-10 Committee/3rd Reading Deadline Established As May 22, 2026
2026-05-22 Rule 3-9(a) / Re-referred to Assignments

Entry Last Reviewed

2026-06-01
AI generated