NY State Senate Bill 2025-S7882

Senate Bill S7882

2025-2026 Legislative Session

Relates to the use of algorithmic pricing by landlords for the purpose of determining the amount of rent to charge a residential tenant

download bill text pdf

Current Bill Status - Passed Senate & Assembly

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

View Actions

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jun 10, 2025	returned to senate passed assembly ordered to third reading rules cal.415 substituted for a1417b
Jun 09, 2025	referred to codes delivered to assembly passed senate ordered to third reading cal.1712 committee discharged and committed to rules
May 20, 2025	reported and committed to internet and technology
May 13, 2025	referred to judiciary

Votes

- Jun 9, 2025 - Floor Vote
  S7882
  
  40
  
  Aye
  
  22
  
  Nay
  
  0
  
  Absent
  
  1
  
  Excused
  
  0
  
  Abstained
  - - Floor Vote: Jun 9, 2025
      
      aye (40)
      
      Addabbo Jr.
      
      Bailey
      
      Baskin
      
      Brisport
      
      Brouk
      
      Bynoe
      
      Cleare
      
      Comrie
      
      Cooney
      
      Fahy
      
      Fernandez
      
      Gianaris
      
      Gonzalez
      
      Gounardes
      
      Harckham
      
      Hinchey
      
      Hoylman-Sigal
      
      Jackson
      
      Kavanagh
      
      Krueger
      
      Liu
      
      Martinez
      
      May
      
      Mayer
      
      Myrie
      
      Parker
      
      Persaud
      
      Ramos
      
      Rivera
      
      Ryan
      
      Salazar
      
      Sanders Jr.
      
      Scarcella-Spanton
      
      Sepúlveda
      
      Serrano
      
      Skoufis
      
      Stavisky
      
      Stewart-Cousins
      
      Sutton
      
      Webb
      
      nay (22)
      
      Ashby
      
      Borrello
      
      Canzoneri-Fitzpatrick
      
      Chan
      
      Gallivan
      
      Griffo
      
      Helming
      
      Lanza
      
      Martins
      
      Mattera
      
      O'Mara
      
      Oberacker
      
      Ortt
      
      Palumbo
      
      Rhoads
      
      Rolison
      
      Ryan
      
      Stec
      
      Tedisco
      
      Walczyk
      
      Weber
      
      Weik
      
      excused (1)
      
      Murray
      
      The following Member(s) participated via videoconferencing: Brouk
  Jun 9, 2025 - Rules Committee Vote
  S7882
  
  13
  
  Aye
  
  6
  
  Nay
  
  2
  
  Aye with Reservations
  
  0
  
  Absent
  
  0
  
  Excused
  
  0
  
  Abstained
  - - Rules Committee Vote: Jun 9, 2025
      
      aye (13)
      
      Bailey
      
      Comrie
      
      Fernandez
      
      Gianaris
      
      Harckham
      
      Hoylman-Sigal
      
      Krueger
      
      Liu
      
      Mayer
      
      Myrie
      
      Parker
      
      Sepúlveda
      
      Stewart-Cousins
      
      nay (6)
      
      Gallivan
      
      Griffo
      
      Helming
      
      O'Mara
      
      Ortt
      
      Stec
      
      aye wr (2)
      
      Addabbo Jr.
      
      Lanza
  May 20, 2025 - Judiciary Committee Vote
  S7882
  
  12
  
  Aye
  
  2
  
  Nay
  
  4
  
  Aye with Reservations
  
  0
  
  Absent
  
  1
  
  Excused
  
  0
  
  Abstained
  - - Judiciary Committee Vote: May 20, 2025
      
      aye (12)
      
      Bailey
      
      Cooney
      
      Gounardes
      
      Hoylman-Sigal
      
      Liu
      
      Mayer
      
      Myrie
      
      Parker
      
      Ramos
      
      Ryan
      
      Skoufis
      
      Stavisky
      
      nay (2)
      
      O'Mara
      
      Rhoads
      
      aye wr (4)
      
      Canzoneri-Fitzpatrick
      
      Lanza
      
      Palumbo
      
      Sepúlveda
      
      excused (1)
      
      Martins

2025-S7882 (ACTIVE) - Details

See Assembly Version of this Bill:: A1417
Law Section:: General Business Law
Laws Affected:: Add §340-b, Gen Bus L
Versions Introduced in 2023-2024 Legislative Session:: A10020

2025-S7882 (ACTIVE) - Summary

Prohibits a person or entity from knowingly or with reckless disregard facilitate an agreement between or among two or more residential rental property owners or managers to not compete with respect to residential rental dwelling units, including by operating or licensing a software, data analytics service, or algorithmic device that performs a coordinating function on behalf of or between and among such residential rental property owners or managers.

2025-S7882 (ACTIVE) - Sponsor Memo

                                 
BILL NUMBER: S7882

SPONSOR: HOYLMAN-SIGAL
 
TITLE OF BILL:

An act to amend the general business law, in relation to the use of
algorithmic pricing by a landlord for the purpose of determining the
amount of rent to charge a residential tenant

 
PURPOSE:

This legislation provides the use of an algorithm or algorithmic device
to adjust rental price levels is unlawful collusion.

 
SUMMARY OF PROVISIONS:

Section one amends the general business law by adding a new section
340-b. Section two establishes the effective date.

 
JUSTIFICATION:

A recent investigation conducted by ProPublica found that software
companies are collecting proprietary information from landlords ac ross
the country, including those located in New York State, to help owners
and management companies engage in anticompetitive practi ces such as
the price fixing of rents.

For example, ProPublica's report found that 10 property managers who
work for companies that oversee 70% of all multifamily apartments in one
Seattle neighborhood used software, or artificial intelligence, to set
the rents across its buildings. What's more, these algorithms recommend
that landlords warehouse units to increase demand and drive up rental
costs in specific markets. The United States Department of Justice has
opened a criminal investigation into software companies that engage in
rental price fixing.

With New York State in the throes of an affordability crisis, it is
critical that we crack down on practices that artificially inflate rents
for tenants across the state. This legislation will strengthen New York
State's antitrust law to prevent companies from emplo ying artificial
intelligence, or algorithms to fix market prices.

 
LEGISLATIVE HISTORY:

2023-24: A.10020 - Referred to Housing

 
FISCAL IMPLICATIONS:

Undetermined.

 
EFFECTIVE DATE:
This act shall take effect on the sixtieth day after it becomes law.

2025-S7882 (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7882
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                               May 13, 2025
                                ___________
 
 Introduced  by Sen. HOYLMAN-SIGAL -- read twice and ordered printed, and
   when printed to be committed to the Committee on Judiciary
 
 AN ACT to amend the general business law, in  relation  to  the  use  of
   algorithmic  pricing  by a landlord for the purpose of determining the
   amount of rent to charge a residential tenant

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The general business law is amended by adding a new section
 340-b to read as follows:
   § 340-B.  AGREEMENTS TO NOT COMPETE WITH RESPECT TO RESIDENTIAL RENTAL
 DWELLING  UNITS.   1. AS USED IN THIS SECTION, THE FOLLOWING TERMS SHALL
 HAVE THE FOLLOWING MEANINGS:
   (A) "ALGORITHM" MEANS A COMPUTATIONAL PROCESS THAT USES A SET OF RULES
 TO DEFINE A SEQUENCE OF OPERATIONS.
   (B) "ALGORITHMIC DEVICE" MEANS ANY MACHINE, DEVICE,  COMPUTER  PROGRAM
 OR COMPUTER SOFTWARE THAT ON ITS OWN OR WITH HUMAN ASSISTANCE PERFORMS A
 COORDINATING FUNCTION.
   (C)  "COORDINATING  FUNCTION"  MEANS  PERFORMING  ALL OF THE FOLLOWING
 SUBFUNCTIONS, PROVIDED, HOWEVER, THAT A PRODUCT USED FOR THE PURPOSE  OF
 ESTABLISHING  RENT  OR  INCOME  LIMITS  IN ACCORDANCE WITH THE EMERGENCY
 TENANT PROTECTION ACT OF NINETEEN SEVENTY-FOUR,  AS  AMENDED,  THE  RENT
 STABILIZATION  LAW OF NINETEEN SIXTY-NINE, AS AMENDED, THE CITY RENT AND
 REHABILITATION LAW, THE  EMERGENCY  HOUSING  RENT  CONTROL  LAW,  OR  AN
 AFFORDABLE  HOUSING  PROGRAM  ADMINISTERED BY A FEDERAL, STATE, OR LOCAL
 GOVERNMENT OR OTHER POLITICAL SUBDIVISION SHALL NOT BE CONSIDERED TO  BE
 PERFORMING A COORDINATING FUNCTION:
   (I) COLLECTING HISTORICAL OR CONTEMPORANEOUS PRICES, SUPPLY LEVELS, OR
 LEASE  OR  RENTAL  CONTRACT TERMINATION AND RENEWAL DATES OF RESIDENTIAL
 DWELLING UNITS FROM TWO OR MORE RESIDENTIAL RENTAL  PROPERTY  OWNERS  OR
 MANAGERS,  PROVIDED  THAT  AT LEAST TWO SUCH RESIDENTIAL RENTAL PROPERTY
 OWNERS OR MANAGERS ARE NOT WHOLLY-OWNED SUBSIDIARIES OF THE SAME  PARENT
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD04298-04-5

 S. 7882                             2
 
 ENTITY  OR  OTHERWISE  OWNED  OR  MANAGED BY THE SAME RESIDENTIAL RENTAL
 PROPERTY OWNER OR MANAGER;
   (II) ANALYZING OR PROCESSING THE INFORMATION DESCRIBED IN SUBPARAGRAPH
 (I)  OF  THIS  PARAGRAPH  USING A SYSTEM, SOFTWARE, OR PROCESS THAT USES
 COMPUTATION, INCLUDING BY USING THAT INFORMATION TO TRAIN AN  ALGORITHM;
 AND
   (III) RECOMMENDING RENTAL PRICES, LEASE RENEWAL TERMS, IDEAL OCCUPANCY
 LEVELS,  OR  OTHER  LEASE  TERMS  AND CONDITIONS TO A RESIDENTIAL RENTAL
 PROPERTY OWNER OR MANAGER.
   (D) "RESIDENTIAL RENTAL PROPERTY OWNER OR MANAGER" MEANS ANY  INDIVID-
 UAL  OR  ENTITY THAT OWNS OR IS A BENEFICIAL OWNER OF, DIRECTLY OR INDI-
 RECTLY, IN WHOLE OR IN PART, OR MANAGES ONE OR MORE  RESIDENTIAL  RENTAL
 DWELLING UNITS IN NEW YORK STATE.
   2.  IT  SHALL BE AN UNLAWFUL VIOLATION OF THIS ARTICLE FOR A PERSON OR
 ENTITY TO KNOWINGLY OR WITH RECKLESS DISREGARD FACILITATE  AN  AGREEMENT
 BETWEEN  OR  AMONG  TWO  OR  MORE  RESIDENTIAL RENTAL PROPERTY OWNERS OR
 MANAGERS TO NOT COMPETE WITH  RESPECT  TO  RESIDENTIAL  RENTAL  DWELLING
 UNITS,  INCLUDING  BY  OPERATING OR LICENSING A SOFTWARE, DATA ANALYTICS
 SERVICE, OR ALGORITHMIC DEVICE THAT PERFORMS A COORDINATING FUNCTION  ON
 BEHALF  OF  OR BETWEEN AND AMONG SUCH RESIDENTIAL RENTAL PROPERTY OWNERS
 OR MANAGERS.
   3. IT SHALL BE CONSIDERED AN UNLAWFUL AGREEMENT IN VIOLATION  OF  THIS
 ARTICLE  FOR A RESIDENTIAL RENTAL PROPERTY OWNER OR MANAGER TO KNOWINGLY
 OR WITH RECKLESS DISREGARD SET OR ADJUST RENTAL  PRICES,  LEASE  RENEWAL
 TERMS,  OCCUPANCY  LEVELS, OR OTHER LEASE TERMS AND CONDITIONS IN ONE OR
 MORE OF THEIR RESIDENTIAL RENTAL  PROPERTIES  BASED  ON  RECOMMENDATIONS
 FROM  A SOFTWARE, DATA ANALYTICS SERVICE, OR ALGORITHMIC DEVICE PERFORM-
 ING A COORDINATING FUNCTION.
   4. NOTHING IN THIS SECTION SHALL IMPAIR OR LIMIT THE APPLICABILITY  OF
 ANY OTHER PART OF THIS ARTICLE OR ANY OTHER STATE LAW.
   §  2.  This  act  shall take effect on the sixtieth day after it shall
 have become a law.

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