The DOJ has been joined by eight states, including North Carolina, California, and Washington, in pursuing the lawsuit. The government alleges that RealPage’s business model undermines the natural competitive forces of the housing market, inflating rents beyond what they would be in a fair environment.
Justice Department Sues RealPage : Broader Legal Landscape
RealPage has already been facing private class action lawsuits and state-level enforcement actions in places like Washington, D.C., and Arizona. These cases center around accusations that RealPage’s software allowed landlords to inflate rents by colluding on pricing. The DOJ’s lawsuit adds significant federal weight to the mounting legal challenges against the company.
The allegations focus on RealPage’s violation of Section 1 of the Sherman Antitrust Act, which prohibits price-fixing schemes, and Section 2, which addresses monopolistic practices. The DOJ claims RealPage monopolized the market for revenue management software used by multifamily housing owners, further reducing competition.
Next Steps
The lawsuit is part of the DOJ’s broader effort to combat rising housing costs and restore competition in the rental market. As the case moves forward, RealPage will have to respond to the claims, and the DOJ will continue its push to hold the company accountable for allegedly driving up rent prices across the country.
