AI Frontier Institute

Contracts; certain agreements involving parallel pricing coordination as unenforceable contracts in general restraint of trade with respect to residential rental properties; prohibit

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Georgia Senate Bill 318 has not been enacted. It was read and referred to committee in March 2025. If enacted, it would add a new Code section, 13-8-5, to Chapter 8 of Title 13. The section targets algorithmic rent-price coordination among residential landlords. It defines a "coordinating function" as collecting rental prices, supply levels, or lease termination and renewal dates from two or more landlords. It also covers analyzing that data with a system, software, or process, including machine learning or other artificial intelligence, and recommending rental prices, renewal terms, or occupancy levels to a landlord. A "coordinator" is anyone who uses or causes the use of such a system for one or more landlords, including a landlord doing so for its own benefit. Under subsection (b), no person could enter into, cause to be entered into, or perform a coordinating function in relation to an agreement involving "parallel pricing coordination." The bill defines that as any agreement between two or more landlords to raise, lower, change, maintain, or otherwise manipulate rental prices of two or more residential properties. Such agreements would be unenforceable contracts in general restraint of trade under Code Section 13-8-2. Violators would face a civil penalty of $1,000 per violation, recoverable by the Attorney General or any district attorney. Subsection (c) would require the Department of Community Affairs to develop and publish educational materials for residents. Subsection (d) exempts actions taken under federal or state affordable or low-income housing laws, programs, or initiatives. Under Section 2, the Act would take effect on approval by the Governor, or when it becomes law without approval. It would apply to agreements entered into on or after that date, and to renewals, modifications, or extensions made on or after it. Section 3 repeals conflicting laws.

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