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N.C. has secured a settlement with Cortland Management, prohibiting the use of AI technology to inflate rent prices. This legal victory, part of a broader DOJ lawsuit against RealPage’s unlawful practices, marks a significant triumph for renters across the state.
In August 2024, the United States Department of Justice (DOJ) filed a civil lawsuit against the real estate company RealPage, because the company was using artificial intelligence to inflate rents across America. The DOJ found that landlords who used the software caused rents to skyrocket and compete with ‘ghost’ rent prices.
At the beginning of this year, North Carolina joined the lawsuit.
State Attorney General Jeff Jackson focused on Courtland Management, LLC., owner of more than 5,000 units in the Triangle — one third of all 1-3-bedroom local rentals – and the largest landlord in the state.
On Tuesday, the state announced a settlement with Cortland Management that would prevent it from using data from AI websites like RealPage to set prices.
“Today’s settlement means one less landlord using RealPage’s unlawful AI software to charge North Carolinians unfair rent,” said Jackson. “We’re going to keep fighting this case to make sure all landlords and property managers play by the rules and people can afford rent.”
Jackson worked alongside Colorado Attorney General, Philip Weiser and the Justice Department to bring justice for North Carolina renters.
Author: staff report
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