Maryland · Senate Bill · 2025 Regular Session
SB609
Maryland Senate Bill 609 — Residential Leases – Use of Algorithmic Device by Landlord to Determine Rent – Prohibition

Status ● Failed Effective N/A Passage Likelihood L

WHAT THIS BILL REGULATES · 1 REQUIREMENT TYPE

How Is This Bill Enforced

Enforcement Authority
Enforcement through the Maryland Consumer Protection Act (Title 13 of the Commercial Law Article). The Division of Consumer Protection within the Office of the Attorney General has enforcement authority. The Maryland Consumer Protection Act also provides a private right of action for consumers. Violations are classified as unfair, abusive, or deceptive trade practices.
Private Right of Action
private right of action for consumers.
Penalties
Enforcement and penalty provisions of Title 13 of the Commercial Law Article apply. Under the Maryland Consumer Protection Act, a private plaintiff may recover actual damages or $25 minimum statutory damages, injunctive relief, and reasonable attorney's fees. The Attorney General may seek civil penalties, injunctions, and restitution.

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
Md. Code, Com. Law § 13-301(14)(xliv)
Addition of § 8-220 violations to UDAP enumeration

(14)(xliv) SECTION 8–220 OF THE REAL PROPERTY ARTICLE;

This amendment adds a new item to the enumerated list of statutory violations that constitute unfair, abusive, or deceptive trade practices under Maryland's Consumer Protection Act. By inserting a reference to Real Property § 8-220, the bill ensures that any landlord's use of a prohibited algorithmic rent-setting device automatically triggers the enforcement and remedial framework of Title 13 of the Commercial Law Article, including Attorney General enforcement and private actions.

Md. Code, Real Prop. § 8-220(A)
Definitions: algorithmic device, nonpublic competitor data, rent

(A)(1)–(4) IN THIS SECTION THE FOLLOWING WORDS HAVE THE MEANINGS INDICATED. (2) (I) "ALGORITHMIC DEVICEAlgorithmic device"Algorithmic device" means a device that uses one or more algorithms to perform calculations of data, including data concerning local or statewide rent amounts being charged to tenants by landlords, to advise a landlord on the amount of rent that the landlord may consider charging a tenant. "Algorithmic device" includes a product that incorporates an algorithmic device. "Algorithmic device" does not include: 1. A periodic report published not more frequently than once per month by a trade association that receives renter data and publishes it in an aggregated and anonymous manner; or 2. 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 State, the Federal Government, or another political subdivision.Real Prop. § 8-220(A)(2)" MEANS A DEVICE THAT USES ONE OR MORE ALGORITHMS TO PERFORM CALCULATIONS OF DATA, INCLUDING DATA CONCERNING LOCAL OR STATEWIDE RENTRent"Rent" means the total amount of rent, including any concessions and fees, that a residential tenant is required to pay under a lease agreement.Real Prop. § 8-220(A)(4) AMOUNTS BEING CHARGED TO TENANTS BY LANDLORDS, TO ADVISE A LANDLORD ON THE AMOUNT OF RENTRent"Rent" means the total amount of rent, including any concessions and fees, that a residential tenant is required to pay under a lease agreement.Real Prop. § 8-220(A)(4) THAT THE LANDLORD MAY CONSIDER CHARGING A TENANT. (II) "ALGORITHMIC DEVICEAlgorithmic device"Algorithmic device" means a device that uses one or more algorithms to perform calculations of data, including data concerning local or statewide rent amounts being charged to tenants by landlords, to advise a landlord on the amount of rent that the landlord may consider charging a tenant. "Algorithmic device" includes a product that incorporates an algorithmic device. "Algorithmic device" does not include: 1. A periodic report published not more frequently than once per month by a trade association that receives renter data and publishes it in an aggregated and anonymous manner; or 2. 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 State, the Federal Government, or another political subdivision.Real Prop. § 8-220(A)(2)" INCLUDES A PRODUCT THAT INCORPORATES AN ALGORITHMIC DEVICEAlgorithmic device"Algorithmic device" means a device that uses one or more algorithms to perform calculations of data, including data concerning local or statewide rent amounts being charged to tenants by landlords, to advise a landlord on the amount of rent that the landlord may consider charging a tenant. "Algorithmic device" includes a product that incorporates an algorithmic device. "Algorithmic device" does not include: 1. A periodic report published not more frequently than once per month by a trade association that receives renter data and publishes it in an aggregated and anonymous manner; or 2. 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 State, the Federal Government, or another political subdivision.Real Prop. § 8-220(A)(2). (III) "ALGORITHMIC DEVICEAlgorithmic device"Algorithmic device" means a device that uses one or more algorithms to perform calculations of data, including data concerning local or statewide rent amounts being charged to tenants by landlords, to advise a landlord on the amount of rent that the landlord may consider charging a tenant. "Algorithmic device" includes a product that incorporates an algorithmic device. "Algorithmic device" does not include: 1. A periodic report published not more frequently than once per month by a trade association that receives renter data and publishes it in an aggregated and anonymous manner; or 2. 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 State, the Federal Government, or another political subdivision.Real Prop. § 8-220(A)(2)" DOES NOT INCLUDE: 1. A PERIODIC REPORT PUBLISHED NOT MORE FREQUENTLY THAN ONCE PER MONTH BY A TRADE ASSOCIATION THAT RECEIVES RENTER DATA AND PUBLISHES IT IN AN AGGREGATED AND ANONYMOUS MANNER; OR 2. A PRODUCT USED FOR THE PURPOSE OF ESTABLISHING RENTRent"Rent" means the total amount of rent, including any concessions and fees, that a residential tenant is required to pay under a lease agreement.Real Prop. § 8-220(A)(4) OR INCOME LIMITS IN ACCORDANCE WITH THE AFFORDABLE HOUSING PROGRAM GUIDELINES OF A LOCAL GOVERNMENT, THE STATE, THE FEDERAL GOVERNMENT, OR ANOTHER POLITICAL SUBDIVISION. (3) (I) "NONPUBLIC COMPETITOR DATANonpublic competitor data"Nonpublic competitor data" means information that is: 1. Not widely available or easily accessible to the public regardless of whether the information is attributable to a specific competitor or anonymized; and 2. Derived from or otherwise provided to a person by another person that competes in the same market as the person, or in a related market. "Nonpublic competitor data" includes information regarding: 1. Actual rent prices; 2. Occupancy rates; 3. Lease start and end dates; and 4. Other similar information.Real Prop. § 8-220(A)(3)" MEANS INFORMATION THAT IS: 1. NOT WIDELY AVAILABLE OR EASILY ACCESSIBLE TO THE PUBLIC REGARDLESS OF WHETHER THE INFORMATION IS ATTRIBUTABLE TO A SPECIFIC COMPETITOR OR ANONYMIZED; AND 2. DERIVED FROM OR OTHERWISE PROVIDED TO A PERSON BY ANOTHER PERSON THAT COMPETES IN THE SAME MARKET AS THE PERSON, OR IN A RELATED MARKET. (II) "NONPUBLIC COMPETITOR DATANonpublic competitor data"Nonpublic competitor data" means information that is: 1. Not widely available or easily accessible to the public regardless of whether the information is attributable to a specific competitor or anonymized; and 2. Derived from or otherwise provided to a person by another person that competes in the same market as the person, or in a related market. "Nonpublic competitor data" includes information regarding: 1. Actual rent prices; 2. Occupancy rates; 3. Lease start and end dates; and 4. Other similar information.Real Prop. § 8-220(A)(3)" INCLUDES INFORMATION REGARDING: 1. ACTUAL RENTRent"Rent" means the total amount of rent, including any concessions and fees, that a residential tenant is required to pay under a lease agreement.Real Prop. § 8-220(A)(4) PRICES; 2. OCCUPANCY RATES; 3. LEASE START AND END DATES; AND 4. OTHER SIMILAR INFORMATION. (4) "RENTRent"Rent" means the total amount of rent, including any concessions and fees, that a residential tenant is required to pay under a lease agreement.Real Prop. § 8-220(A)(4)" MEANS THE TOTAL AMOUNT OF RENTRent"Rent" means the total amount of rent, including any concessions and fees, that a residential tenant is required to pay under a lease agreement.Real Prop. § 8-220(A)(4), INCLUDING ANY CONCESSIONS AND FEES, THAT A RESIDENTIAL TENANT IS REQUIRED TO PAY UNDER A LEASE AGREEMENT.

Subsection (A) establishes the definitional framework for the prohibition. Algorithmic device is defined broadly to capture any tool using one or more algorithms to calculate rent data and advise landlords on pricing, including products that incorporate such a device. Two narrow carve-outs exclude monthly aggregated trade-association reports and affordable-housing compliance tools. Nonpublic competitor data captures competitively sensitive information — actual rent prices, occupancy rates, lease dates, and similar data — that is not widely available to the public and is derived from or provided by market competitors. Rent is defined to encompass the full amount payable under a lease, including concessions and fees.

Md. Code, Real Prop. § 8-220(B)
Prohibition on use of algorithmic device with nonpublic competitor data
Deployer

(B) 1 IN SETTING THE AMOUNT OF RENTRent"Rent" means the total amount of rent, including any concessions and fees, that a residential tenant is required to pay under a lease agreement.Real Prop. § 8-220(A)(4) TO BE CHARGED FOR THE LEASE OF RESIDENTIAL PROPERTY, INCLUDING DETERMINING ANY CHANGE IN RENTRent"Rent" means the total amount of rent, including any concessions and fees, that a residential tenant is required to pay under a lease agreement.Real Prop. § 8-220(A)(4) TO BE CHARGED FOR THE RENEWAL OF A LEASE, A LANDLORD MAY NOT EMPLOY, USE, OR RELY ON, OR CAUSE ANOTHER TO EMPLOY, USE, OR RELY ON, AN ALGORITHMIC DEVICEAlgorithmic device"Algorithmic device" means a device that uses one or more algorithms to perform calculations of data, including data concerning local or statewide rent amounts being charged to tenants by landlords, to advise a landlord on the amount of rent that the landlord may consider charging a tenant. "Algorithmic device" includes a product that incorporates an algorithmic device. "Algorithmic device" does not include: 1. A periodic report published not more frequently than once per month by a trade association that receives renter data and publishes it in an aggregated and anonymous manner; or 2. 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 State, the Federal Government, or another political subdivision.Real Prop. § 8-220(A)(2) THAT USES, INCORPORATES, OR WAS TRAINED WITH NONPUBLIC COMPETITOR DATANonpublic competitor data"Nonpublic competitor data" means information that is: 1. Not widely available or easily accessible to the public regardless of whether the information is attributable to a specific competitor or anonymized; and 2. Derived from or otherwise provided to a person by another person that competes in the same market as the person, or in a related market. "Nonpublic competitor data" includes information regarding: 1. Actual rent prices; 2. Occupancy rates; 3. Lease start and end dates; and 4. Other similar information.Real Prop. § 8-220(A)(3).

Subsection (B) is the bill's core operative prohibition. A landlord may not employ, use, or rely on — or cause another person to employ, use, or rely on — an algorithmic device that uses, incorporates, or was trained with nonpublic competitor data when setting or adjusting rent for residential property, including lease renewals. The prohibition targets both direct use by the landlord and indirect use through third-party property-management services. The scope is limited to algorithmic devices that incorporate nonpublic competitor data; a landlord's use of an algorithmic tool trained exclusively on public data would not violate this provision.

Compliance actions 1 item
1
Landlords must not employ, use, or rely on — or cause another to employ, use, or rely on — an algorithmic deviceAlgorithmic device"Algorithmic device" means a device that uses one or more algorithms to perform calculations of data, including data concerning local or statewide rent amounts being charged to tenants by landlords, to advise a landlord on the amount of rent that the landlord may consider charging a tenant. "Algorithmic device" includes a product that incorporates an algorithmic device. "Algorithmic device" does not include: 1. A periodic report published not more frequently than once per month by a trade association that receives renter data and publishes it in an aggregated and anonymous manner; or 2. 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 State, the Federal Government, or another political subdivision.Real Prop. § 8-220(A)(2) that uses, incorporates, or was trained with nonpublic competitor dataNonpublic competitor data"Nonpublic competitor data" means information that is: 1. Not widely available or easily accessible to the public regardless of whether the information is attributable to a specific competitor or anonymized; and 2. Derived from or otherwise provided to a person by another person that competes in the same market as the person, or in a related market. "Nonpublic competitor data" includes information regarding: 1. Actual rent prices; 2. Occupancy rates; 3. Lease start and end dates; and 4. Other similar information.Real Prop. § 8-220(A)(3) when setting or adjusting rentRent"Rent" means the total amount of rent, including any concessions and fees, that a residential tenant is required to pay under a lease agreement.Real Prop. § 8-220(A)(4) for residential property, including lease renewals.
CP-03
Md. Code, Real Prop. § 8-220(C)
Enforcement as unfair, abusive, or deceptive trade practice

(C)(1)–(2) A VIOLATION OF THIS SECTION IS: (1) AN UNFAIR, ABUSIVE, OR DECEPTIVE TRADE PRACTICE WITHIN THE MEANING OF TITLE 13 OF THE COMMERCIAL LAW ARTICLE; AND (2) SUBJECT TO THE ENFORCEMENT AND PENALTY PROVISIONS CONTAINED IN TITLE 13 OF THE COMMERCIAL LAW ARTICLE.

Subsection (C) designates a violation of § 8-220 as an unfair, abusive, or deceptive trade practice under Title 13 of the Commercial Law Article, making available the full enforcement and penalty apparatus of the Maryland Consumer Protection Act. This includes both Attorney General enforcement and the private right of action available under that title.

Section 2 (Prospective Application)
Prospective application only

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall be construed to apply only prospectively and may not be applied or interpreted to have any effect on or application to any landlord's calculation of the amount of rentRent"Rent" means the total amount of rent, including any concessions and fees, that a residential tenant is required to pay under a lease agreement.Real Prop. § 8-220(A)(4) that the landlord charges for the occupancy of a residential property under a rental agreement that is executed before the effective date of this Act.

Section 2 limits the Act's reach to rental agreements executed on or after the effective date. The prohibition may not be applied retroactively to any landlord's rent calculation under a rental agreement executed before October 1, 2025. This provides a safe harbor for landlords who previously relied on algorithmic rent-setting tools for existing leases, though renewal of those leases after the effective date would be subject to the prohibition.

Section 3 (Effective Date)
Effective date

SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect October 1, 2025.

The Act takes effect October 1, 2025.

Passage Likelihood

Failed
Status Failed
Final action Hearing 2/11 at 1:00 p.m.

Legislative History

2025-01-28 First Reading Judicial Proceedings
2025-01-30 Hearing 2/11 at 1:00 p.m.

Entry Last Reviewed

2026-05-20
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