The following words and phrases as used in this chapter shall have the following meanings.
"Algorithmic device."
A software or product that uses or incorporates one or more algorithms to perform calculations of nonpublic competitor data concerning local or statewide rental prices or occupancy levels to advise a landlord on, or recommend to a landlord, rent to charge for a rental housing unit, or whether to leave a rental housing unit vacant. "Algorithmic device" does not include either of the following: (a) A software or product used by a person to generate or publish reports regarding existing residential rental rates or residential rental occupancy levels in an aggregated manner but does not recommend rent prices or fees for future residential tenancies or occupancy levels for rental housing units; (b) A software or product used by a person to establish residential rental rates or income limits in accordance with any local, State, or Federal affordable housing program requirement.
"Landlord."
An owner, lessor, sublessor, or any other person entitled to receive rent for the use and occupancy of any rental housing unit, or an agent, representative or successor of any of the foregoing.
"Nonpublic competitor data."
Information that is not available to the general public about actual residential rental rates, residential rental rate changes, residential rental property supply levels, occupancy levels, or lease start and end dates, whether the information is attributable to a specific competitor or anonymized or whether the information is derived from or otherwise provided by another person that competes in the same market or a related market.
"Rental housing unit."
A housing unit in the City that constitutes either a controlled rental unit pursuant to City Charter Section 1800 et seq., (including a room in a single-family home, hotel or motel, rooming house or apartment, single-family home, mobile home or mobile home space, trailer or trailer space); or a rental unit pursuant to City Charter Section 2300 et seq.
(Ord. No. 2817CCS, 6/24/2025)
A. 
It shall be unlawful to sell, license, or otherwise provide to any landlord of any rental housing unit in the City any algorithmic device that sets, recommends, or advises on rental rates, rates for non-rent fees, or occupancy levels that may be achieved for rental housing units in the City.
B. 
It shall be unlawful for a landlord to use an algorithmic device when setting rents or occupancy levels for rental housing units in the City. Each separate month that a landlord charges rent at an amount set in violation of this subsection, and each separate residential rental housing unit for which the landlord used the algorithmic device, shall constitute a separate and distinct violation.
(Ord. No. 2817CCS, 6/24/2025)
A. 
Civil Action. Any person aggrieved by a violation of this Chapter, including the City, may enforce the provisions of this Chapter by means of a civil action. The burden of proof in such cases shall be preponderance of the evidence. A violation of this Chapter may be asserted as an affirmative defense in an unlawful detainer action against a tenant whose rent was set after the effective date of this ordinance by the landlord's use of an algorithmic device in violation of Section 4.58.020(b).
B. 
Injunction. Any person who commits an act, proposes to commit an act, or engages in any pattern and practice which violates Section 4.58.020 may be enjoined therefor by any court of competent jurisdiction. An action for injunction under this subsection may be brought by any aggrieved person, by the City Attorney, or by any person or entity who will fairly and adequately represent the interest of the protected class.
C. 
Penalties and Other Monetary Awards. Any person who violates or aids or incites another person to violate the provisions of this Chapter is liable for each and every such offense for the actual damages suffered by an aggrieved party or for statutory damages of one thousand dollars per violation, whichever is greater, and shall be liable for such attorneys' fees and costs as may be determined by the court in addition thereto. A lease provision that limits a prevailing tenant from obtaining attorneys' fees shall not be enforceable against a tenant's claim for attorneys' fees that arises under this subsection.
D. 
Nonexclusive Remedies and Penalties. The remedies provided in this Chapter are not exclusive, and nothing in this Chapter shall preclude any person from seeking any other remedies, penalties, or procedures provided by law.
(Ord. No. 2817CCS, 6/24/2025)