WHAT THIS BILL REGULATES · 1 REQUIREMENT TYPE
How Is This Bill Enforced
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.
(a) As used in this section, the following words shall have the following meanings unless the context clearly requires otherwise: "Algorithmic deviceAlgorithmic device"Algorithmic device", any computational process derived from machine learning or other artificial intelligence techniques, that processes or calculates nonpublic competitor data for the purpose of advising a lessor or landlord concerning the amount of rent that the lessor or landlord may consider charging a tenant; provided, however that "algorithmic device" shall not include: (i) any report published periodically, but not more frequently than monthly, by a trade association that receives renter data and publishes it in an aggregated and anonymous matter; or (ii) a product used for the purpose of establishing rent or income limits in accordance with the affordable housing program guidelines of a local government, the commonwealth, the federal government or other political subdivision.M.G.L. c. 186, § 15G(a)", any computational process derived from machine learning or other artificial intelligence techniques, that processes or calculates nonpublic competitor dataNonpublic competitor data"Nonpublic competitor data", information that is not widely available or easily accessible to the public, including information about actual rent prices, occupancy rates, lease start and end dates, and similar data, regardless of whether the data are attributable to a specific competitor or anonymized, and that is derived from or otherwise provided by any other lessor or landlord.M.G.L. c. 186, § 15G(a) for the purpose of advising a lessor or landlord concerning the amount of rent that the lessor or landlord may consider charging a tenant; provided, however that "algorithmic deviceAlgorithmic device"Algorithmic device", any computational process derived from machine learning or other artificial intelligence techniques, that processes or calculates nonpublic competitor data for the purpose of advising a lessor or landlord concerning the amount of rent that the lessor or landlord may consider charging a tenant; provided, however that "algorithmic device" shall not include: (i) any report published periodically, but not more frequently than monthly, by a trade association that receives renter data and publishes it in an aggregated and anonymous matter; or (ii) a product used for the purpose of establishing rent or income limits in accordance with the affordable housing program guidelines of a local government, the commonwealth, the federal government or other political subdivision.M.G.L. c. 186, § 15G(a)" shall not include: (i) any report published periodically, but not more frequently than monthly, by a trade association that receives renter data and publishes it in an aggregated and anonymous matter; or (ii) a product used for the purpose of establishing rent or income limits in accordance with the affordable housing program guidelines of a local government, the commonwealth, the federal government or other political subdivision. "Coordinating functionCoordinating function"Coordinating function", any action utilizing nonpublic competitor data that includes: (i) collecting historical or contemporaneous actual rent prices, supply levels or lease or rental contract termination and renewal dates of residential dwelling units from two or more rental property lessors or landlords; (ii) analyzing or processing of historical or contemporaneous actual rent prices, supply levels or lease or rental contract termination and renewal dates of residential dwelling units from two or more rental property lessors or landlords through use of a system, software or process that uses computation, including by using the information to train an algorithm; and (iii) recommending rental prices, lease renewal terms or ideal occupancy levels to a rental property lessor or landlord.M.G.L. c. 186, § 15G(a)", any action utilizing nonpublic competitor dataNonpublic competitor data"Nonpublic competitor data", information that is not widely available or easily accessible to the public, including information about actual rent prices, occupancy rates, lease start and end dates, and similar data, regardless of whether the data are attributable to a specific competitor or anonymized, and that is derived from or otherwise provided by any other lessor or landlord.M.G.L. c. 186, § 15G(a) that includes: (i) collecting historical or contemporaneous actual rent prices, supply levels or lease or rental contract termination and renewal dates of residential dwelling unitsResidential Dwelling Unit"Residential Dwelling Unit", any house, apartment, accessory unit or other unit intended to be used as a primary residence in the state.M.G.L. c. 186, § 15G(a) from two or more rental property lessors or landlords; (ii) analyzing or processing of historical or contemporaneous actual rent prices, supply levels or lease or rental contract termination and renewal dates of residential dwelling unitsResidential Dwelling Unit"Residential Dwelling Unit", any house, apartment, accessory unit or other unit intended to be used as a primary residence in the state.M.G.L. c. 186, § 15G(a) from two or more rental property lessors or landlords through use of a system, software or process that uses computation, including by using the information to train an algorithm; and (iii) recommending rental prices, lease renewal terms or ideal occupancy levels to a rental property lessor or landlord. "CoordinatorCoordinator"Coordinator", any person who operates an algorithmic device, software or data analytics service that performs a coordinating function for any residential rental property lessor or landlord, including a residential rental property lessor or landlord performing a coordinating function for their own benefit.M.G.L. c. 186, § 15G(a)", any personPerson"Person", any natural person or persons, or any corporation, partnership, company, trust or association of persons.M.G.L. c. 186, § 15G(a) who operates an algorithmic deviceAlgorithmic device"Algorithmic device", any computational process derived from machine learning or other artificial intelligence techniques, that processes or calculates nonpublic competitor data for the purpose of advising a lessor or landlord concerning the amount of rent that the lessor or landlord may consider charging a tenant; provided, however that "algorithmic device" shall not include: (i) any report published periodically, but not more frequently than monthly, by a trade association that receives renter data and publishes it in an aggregated and anonymous matter; or (ii) a product used for the purpose of establishing rent or income limits in accordance with the affordable housing program guidelines of a local government, the commonwealth, the federal government or other political subdivision.M.G.L. c. 186, § 15G(a), software or data analytics service that performs a coordinating functionCoordinating function"Coordinating function", any action utilizing nonpublic competitor data that includes: (i) collecting historical or contemporaneous actual rent prices, supply levels or lease or rental contract termination and renewal dates of residential dwelling units from two or more rental property lessors or landlords; (ii) analyzing or processing of historical or contemporaneous actual rent prices, supply levels or lease or rental contract termination and renewal dates of residential dwelling units from two or more rental property lessors or landlords through use of a system, software or process that uses computation, including by using the information to train an algorithm; and (iii) recommending rental prices, lease renewal terms or ideal occupancy levels to a rental property lessor or landlord.M.G.L. c. 186, § 15G(a) for any residential rental property lessor or landlord, including a residential rental property lessor or landlord performing a coordinating functionCoordinating function"Coordinating function", any action utilizing nonpublic competitor data that includes: (i) collecting historical or contemporaneous actual rent prices, supply levels or lease or rental contract termination and renewal dates of residential dwelling units from two or more rental property lessors or landlords; (ii) analyzing or processing of historical or contemporaneous actual rent prices, supply levels or lease or rental contract termination and renewal dates of residential dwelling units from two or more rental property lessors or landlords through use of a system, software or process that uses computation, including by using the information to train an algorithm; and (iii) recommending rental prices, lease renewal terms or ideal occupancy levels to a rental property lessor or landlord.M.G.L. c. 186, § 15G(a) for their own benefit. "Nonpublic competitor dataNonpublic competitor data"Nonpublic competitor data", information that is not widely available or easily accessible to the public, including information about actual rent prices, occupancy rates, lease start and end dates, and similar data, regardless of whether the data are attributable to a specific competitor or anonymized, and that is derived from or otherwise provided by any other lessor or landlord.M.G.L. c. 186, § 15G(a)", information that is not widely available or easily accessible to the public, including information about actual rent prices, occupancy rates, lease start and end dates, and similar data, regardless of whether the data are attributable to a specific competitor or anonymized, and that is derived from or otherwise provided by any other lessor or landlord. "PersonPerson"Person", any natural person or persons, or any corporation, partnership, company, trust or association of persons.M.G.L. c. 186, § 15G(a)", any natural personPerson"Person", any natural person or persons, or any corporation, partnership, company, trust or association of persons.M.G.L. c. 186, § 15G(a) or personsPerson"Person", any natural person or persons, or any corporation, partnership, company, trust or association of persons.M.G.L. c. 186, § 15G(a), or any corporation, partnership, company, trust or association of personsPerson"Person", any natural person or persons, or any corporation, partnership, company, trust or association of persons.M.G.L. c. 186, § 15G(a). "Residential Dwelling UnitResidential Dwelling Unit"Residential Dwelling Unit", any house, apartment, accessory unit or other unit intended to be used as a primary residence in the state.M.G.L. c. 186, § 15G(a)", any house, apartment, accessory unit or other unit intended to be used as a primary residence in the state.
Subsection (a) establishes the defined terms that scope the bill's prohibition. The key defined term is algorithmic device, which covers any AI or machine-learning computational process that ingests nonpublic competitor data to advise landlords on rent pricing. Two narrow carve-outs exclude aggregated trade-association reports published no more than monthly and tools used solely for affordable-housing program compliance. A coordinator is any person — including a landlord acting for its own benefit — who operates such a device or data analytics service that performs a coordinating function, defined as the collect-analyze-recommend pipeline applied to nonpublic rental data from two or more landlords.
(b) 1 In setting the amount of rent to be charged to a tenant for the occupancy of a residential dwelling unitResidential Dwelling Unit"Residential Dwelling Unit", any house, apartment, accessory unit or other unit intended to be used as a primary residence in the state.M.G.L. c. 186, § 15G(a), determining any change in the amount of rent to be charged to a tenant for the renewed occupancy of a residential dwelling unitResidential Dwelling Unit"Residential Dwelling Unit", any house, apartment, accessory unit or other unit intended to be used as a primary residence in the state.M.G.L. c. 186, § 15G(a), or otherwise determining what amount to charge a tenant to rent a residential dwelling unitResidential Dwelling Unit"Residential Dwelling Unit", any house, apartment, accessory unit or other unit intended to be used as a primary residence in the state.M.G.L. c. 186, § 15G(a), or determining occupancy levels of residential dwelling unitsResidential Dwelling Unit"Residential Dwelling Unit", any house, apartment, accessory unit or other unit intended to be used as a primary residence in the state.M.G.L. c. 186, § 15G(a), no lessor or landlord shall employ, use or rely upon an algorithmic deviceAlgorithmic device"Algorithmic device", any computational process derived from machine learning or other artificial intelligence techniques, that processes or calculates nonpublic competitor data for the purpose of advising a lessor or landlord concerning the amount of rent that the lessor or landlord may consider charging a tenant; provided, however that "algorithmic device" shall not include: (i) any report published periodically, but not more frequently than monthly, by a trade association that receives renter data and publishes it in an aggregated and anonymous matter; or (ii) a product used for the purpose of establishing rent or income limits in accordance with the affordable housing program guidelines of a local government, the commonwealth, the federal government or other political subdivision.M.G.L. c. 186, § 15G(a) or coordinatorCoordinator"Coordinator", any person who operates an algorithmic device, software or data analytics service that performs a coordinating function for any residential rental property lessor or landlord, including a residential rental property lessor or landlord performing a coordinating function for their own benefit.M.G.L. c. 186, § 15G(a).
Subsection (b) is the operative prohibition. It bars any lessor or landlord from employing, using, or relying upon an algorithmic device or coordinator when setting initial rent, determining rent changes or renewals, or determining occupancy levels for residential dwelling units. The prohibition is structured as a per se ban — there is no knowledge requirement and no safe harbor based on the landlord's intent or the tool's actual effect on prices. The prohibition runs to use of the tool, not to its development or sale, though coordinators face independent liability as the operators of the prohibited service.
(c) A violation of this section shall constitute a violation of section 2 of Chapter 93A. The civil penalty for each violation of this section shall not exceed $5,000 per violation. For the purposes of this section, each time a rent is determined, increased or otherwise set under subsection (b) shall constitute a single and separate violation.
(d) In the case of any successful action to enforce liability pursuant to this chapter, the costs of the action together with reasonable attorney fees, expert fees and the costs of investigation as determined by the court shall be awarded to plaintiffs. Costs and attorney fees, expert fees and the costs of investigation shall be awarded to the attorney general or municipality where the attorney general or municipality successfully enforces this chapter.
Subsections (c) and (d) establish the enforcement framework. A violation is deemed a violation of M.G.L. c. 93A, § 2 (the Massachusetts unfair and deceptive acts and practices statute), which activates the full Chapter 93A enforcement apparatus — including private actions, Attorney General enforcement, and municipal enforcement. The civil penalty is capped at $5,000 per violation, and each individual rent determination constitutes a separate violation, creating potentially significant aggregate exposure for landlords using algorithmic tools across large portfolios. Fee-shifting covers attorney fees, expert fees, and investigation costs for all successful enforcement actions.