WHAT THIS BILL REGULATES · 2 REQUIREMENT TYPES
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.
(1)(a) "Pricing algorithmPricing algorithm"Pricing algorithm" shall mean any computational process, including a computational process derived from machine learning or other artificial intelligence techniques, that processes data to recommend or set a price or commercial term that is in or affecting interstate or foreign commerce.Gen. Bus. Law § 344(1)(a)" shall mean any computational process, including a computational process derived from machine learning or other artificial intelligence techniques, that processes data to recommend or set a price or commercial term that is in or affecting interstate or foreign commerce.
(1)(b) "CoordinatorCoordinator"Coordinator" shall mean any operator of a software or data analytics service that performs a coordinating function for any landlord, including a landlord performing a coordinating function for such landlord's own benefit.Gen. Bus. Law § 344(1)(b)" shall mean any operator of a software or data analytics service that performs a coordinating function for any landlordLandlordNot separately defined in this section; used throughout as the residential rental property owner or manager subject to the obligations of this section. The term "landlord" is used without formal statutory definition in Gen. Bus. Law § 344, referring to any owner or manager of residential rental premises who uses pricing algorithms for rent-setting or adjustment.Gen. Bus. Law § 344, including a landlordLandlordNot separately defined in this section; used throughout as the residential rental property owner or manager subject to the obligations of this section. The term "landlord" is used without formal statutory definition in Gen. Bus. Law § 344, referring to any owner or manager of residential rental premises who uses pricing algorithms for rent-setting or adjustment.Gen. Bus. Law § 344 performing a coordinating function for such landlordLandlordNot separately defined in this section; used throughout as the residential rental property owner or manager subject to the obligations of this section. The term "landlord" is used without formal statutory definition in Gen. Bus. Law § 344, referring to any owner or manager of residential rental premises who uses pricing algorithms for rent-setting or adjustment.Gen. Bus. Law § 344's own benefit.
(1)(c) "Competitor dataCompetitor data"Competitor data": (i) shall mean nonpublic or public data that is derived from or otherwise provided by another person that competes in the same market as a person, or a related market; and (ii) does not include information distributed, reported, or otherwise communicated in a way that does not reveal any underlying data from a competitor, such as narrative industry reports, news reports, business commentaries, or generalized industry survey results.Gen. Bus. Law § 344(1)(c)": (i) shall mean nonpublic or public data that is derived from or otherwise provided by another person that competes in the same market as a person, or a related market; and (ii) does not include information distributed, reported, or otherwise communicated in a way that does not reveal any underlying data from a competitor, such as narrative industry reports, news reports, business commentaries, or generalized industry survey results.
Subdivision 1 establishes the three key defined terms for the section: pricing algorithm, coordinator, and competitor data. The pricing algorithm definition is broad, encompassing any computational process — including those derived from machine learning or AI — that recommends or sets a price or commercial term in or affecting interstate or foreign commerce. The coordinator definition captures operators of software or data analytics services that perform a coordinating function for landlords, including landlords acting as their own coordinators. The competitor data definition is notable for its breadth: it covers both nonpublic and public data derived from or provided by a market competitor, but carves out narrative industry reports, news reports, business commentaries, and generalized survey results.
(2)(a) 1 In setting the amount of rent to be charged to a tenant for the occupancy of a residential premises, including determining any change in the amount of rent to be charged for the renewed occupancy of a residential premises, a landlordLandlordNot separately defined in this section; used throughout as the residential rental property owner or manager subject to the obligations of this section. The term "landlord" is used without formal statutory definition in Gen. Bus. Law § 344, referring to any owner or manager of residential rental premises who uses pricing algorithms for rent-setting or adjustment.Gen. Bus. Law § 344 shall not employ, use, or rely upon, or cause another person to employ, use, or rely upon, an algorithmic pricing that uses, incorporates, or was trained with competitor dataCompetitor data"Competitor data": (i) shall mean nonpublic or public data that is derived from or otherwise provided by another person that competes in the same market as a person, or a related market; and (ii) does not include information distributed, reported, or otherwise communicated in a way that does not reveal any underlying data from a competitor, such as narrative industry reports, news reports, business commentaries, or generalized industry survey results.Gen. Bus. Law § 344(1)(c).
(2)(b) 2 A coordinatorCoordinator"Coordinator" shall mean any operator of a software or data analytics service that performs a coordinating function for any landlord, including a landlord performing a coordinating function for such landlord's own benefit.Gen. Bus. Law § 344(1)(b) shall not facilitate an agreement among landlordsLandlordNot separately defined in this section; used throughout as the residential rental property owner or manager subject to the obligations of this section. The term "landlord" is used without formal statutory definition in Gen. Bus. Law § 344, referring to any owner or manager of residential rental premises who uses pricing algorithms for rent-setting or adjustment.Gen. Bus. Law § 344 to not compete regarding the renting of residential premises.
Subdivision 2 establishes the bill's two core prohibitions. Paragraph (a) prohibits landlords from using, employing, relying upon, or causing another person to use algorithmic pricing that uses, incorporates, or was trained with competitor data when setting or adjusting residential rent. This targets the practice of feeding competitively sensitive rental market data from multiple landlords into a shared pricing algorithm. Paragraph (b) separately prohibits coordinators from facilitating agreements among landlords not to compete regarding the renting of residential premises — a direct anti-competitive coordination ban targeting intermediary software platforms.
(3)(a) 3 A landlordLandlordNot separately defined in this section; used throughout as the residential rental property owner or manager subject to the obligations of this section. The term "landlord" is used without formal statutory definition in Gen. Bus. Law § 344, referring to any owner or manager of residential rental premises who uses pricing algorithms for rent-setting or adjustment.Gen. Bus. Law § 344 shall not share a tenant's personal data with any third party without such tenant's written consent.
(3)(b) 4 A landlordLandlordNot separately defined in this section; used throughout as the residential rental property owner or manager subject to the obligations of this section. The term "landlord" is used without formal statutory definition in Gen. Bus. Law § 344, referring to any owner or manager of residential rental premises who uses pricing algorithms for rent-setting or adjustment.Gen. Bus. Law § 344 shall disclose to each tenant: (i) the categories of personal data processed by the landlordLandlordNot separately defined in this section; used throughout as the residential rental property owner or manager subject to the obligations of this section. The term "landlord" is used without formal statutory definition in Gen. Bus. Law § 344, referring to any owner or manager of residential rental premises who uses pricing algorithms for rent-setting or adjustment.Gen. Bus. Law § 344 and by any processor who processes personal data on behalf of such landlordLandlordNot separately defined in this section; used throughout as the residential rental property owner or manager subject to the obligations of this section. The term "landlord" is used without formal statutory definition in Gen. Bus. Law § 344, referring to any owner or manager of residential rental premises who uses pricing algorithms for rent-setting or adjustment.Gen. Bus. Law § 344; (ii) the sources from which personal data is collected; (iii) the purposes for processing personal data; (iv) the landlordLandlordNot separately defined in this section; used throughout as the residential rental property owner or manager subject to the obligations of this section. The term "landlord" is used without formal statutory definition in Gen. Bus. Law § 344, referring to any owner or manager of residential rental premises who uses pricing algorithms for rent-setting or adjustment.Gen. Bus. Law § 344's retention period for each category of personal data that such landlordLandlordNot separately defined in this section; used throughout as the residential rental property owner or manager subject to the obligations of this section. The term "landlord" is used without formal statutory definition in Gen. Bus. Law § 344, referring to any owner or manager of residential rental premises who uses pricing algorithms for rent-setting or adjustment.Gen. Bus. Law § 344 processes or which is processed on such landlordLandlordNot separately defined in this section; used throughout as the residential rental property owner or manager subject to the obligations of this section. The term "landlord" is used without formal statutory definition in Gen. Bus. Law § 344, referring to any owner or manager of residential rental premises who uses pricing algorithms for rent-setting or adjustment.Gen. Bus. Law § 344's behalf, or if that is not possible, the criteria used to determine such retention period; and (v) the identity of each third party to whom the landlordLandlordNot separately defined in this section; used throughout as the residential rental property owner or manager subject to the obligations of this section. The term "landlord" is used without formal statutory definition in Gen. Bus. Law § 344, referring to any owner or manager of residential rental premises who uses pricing algorithms for rent-setting or adjustment.Gen. Bus. Law § 344 disclosed, shared, transferred, or sold personal data, and for each identified third party: (A) the categories of personal data being shared, disclosed, transferred, or sold to the third party; (B) the purposes for which personal data is being shared, disclosed, transferred, or sold to the third party; (C) the third party's retention period for each category of personal data processed by such third party or processed on such third party's behalf, or if that is not possible, the criteria used to determine such retention period; and (D) whether the third party uses the personal data for targeted advertising.
Subdivision 3 imposes two distinct tenant data protection obligations. Paragraph (a) requires landlords to obtain written consent before sharing tenant personal data with any third party. Paragraph (b) mandates detailed disclosure to tenants about the landlord's data processing practices, including categories of data processed, data sources, processing purposes, retention periods, and a granular breakdown of third-party data sharing — including whether third parties use the data for targeted advertising. These provisions are structured as data governance obligations specific to the landlord-tenant relationship and are ancillary to the core algorithmic pricing prohibition.
(4) In addition to any action brought by the attorney general under this article, a tenant injured by a violation of this section may bring an action to recover damages. A court may also award attorneys' fees to a prevailing plaintiff tenant.
Subdivision 4 establishes the bill's enforcement framework. In addition to any action the attorney general may bring under the General Business Law article, a tenant injured by a violation may bring a private action to recover damages. Courts may award attorneys' fees to a prevailing plaintiff tenant. The provision does not specify statutory minimums or maximums, leaving damages to proof of actual injury.
This act shall take effect on the ninetieth day after it shall have become a law and shall apply to any rental agreement that is executed on or after the effective date of this act.
The act takes effect on the ninetieth day after it becomes law and applies to any rental agreement executed on or after the effective date. Existing rental agreements entered before the effective date are not covered.