Large landlords would disclose rent-setting software and allow human review

A covered landlord using a pricing device to set rent would have to disclose its use and name. This applies to landlords who own more than 10 rental homes, or have more than a 10 percent interest in more than 10 rental homes, in Virginia, individually or through a business. If asked, the landlord would have to give a plain-language summary of the general factors the device considered. The landlord would not have to share its formulas, source code, input weights, or other trade secrets. A tenant or prospective tenant could request a human review of a rent decision or renewal increase generated or recommended by the device. The landlord would have to disclose the use before signing a written rental agreement, or before the tenant moves in under an oral agreement.

A covered landlord could not misstate whether it uses a pricing device, make device-generated or recommended rent nonnegotiable solely for that reason, or use the device deceptively. These rules apply to landlords who own more than 10 rental homes, or have more than a 10 percent interest in more than 10 rental homes, in Virginia, individually or through a business. The Attorney General could bring an action for the Commonwealth, seek an order stopping violations, and seek a civil penalty of up to $1,000 for each violation. The proposal would not create a private right to sue or impose duties on software vendors or third-party platforms.