Blackstone's LivCor Settles DOJ's Alleged Rental Price-Fixing Claims

The Department of Justice (DOJ) announced a proposed consent decree with LivCor, a major US landlord, to resolve price manipulation claims. The DOJ accused LivCor and others of using RealPage's software in an algorithmic pricing scheme that injured renters. LivCor shared sensitive data and discussed pricing strategies with competitors, aiming to reduce competition and raise apartment prices. The DOJ's lawsuit alleged RealPage and the landlords enriched themselves at the expense of renters. The proposed decree prohibits LivCor from algorithmic coordination and data exchange with competitors. LivCor must avoid competitor meetings hosted by RealPage and cooperate with the DOJ's case against other defendants. A court-appointed monitor may oversee LivCor's use of third-party pricing algorithms. The DOJ had previously reached consent decrees with RealPage and two other landlords involved in the case. RealPage's agreement bars it from using competitors' data for rent recommendations. The DOJ has also filed a statement of interest in a separate case concerning anticompetitive agreements in real estate, aiming to protect homebuyers from inflated broker commissions.