This bill is aimed at preventing landlords from engaging in anti-competitive practices that could drive up rental prices or limit housing availability.
Key Prohibitions:
Landlords Cannot Pay for Price Coordination Services:
A landlord (or their agent) cannot hire or pay a third party (a "coordinator") to manage or influence rental pricing or availability in a way that reduces competition.
Coordinators Cannot Facilitate Collusion:
A third party cannot help landlords coordinate their rental pricing or lease terms in a way that restricts market competition.
Landlords Cannot Engage in "Parallel Pricing Coordination":
Two or more landlordscannot work together (even informally) to set similar rental prices based on shared, non-competitive agreements rather than market forces.
Enforcement & Penalties:
Any violation is considered an illegal restraint of trade under the Colorado State Antitrust Act of 2023, meaning landlords or coordinators engaging in these practices could face legal penalties.
Public Awareness:
The Colorado Division of Housing must create an education program to inform residents about their rights and the bill’s protections.
Purpose:
This bill is likely intended to prevent price-fixing and collusion in the rental market, ensuring fair competition and preventing artificial rent increases.
Summary
The bill prohibits: •
A landlord or an agent, a representative, or a subcontractor of a landlord from subscribing to, contracting with, or otherwise exchanging any form of consideration in return for the services of a coordinator;
•
A coordinator from facilitating an agreement among landlords that restricts competition with respect to dwelling units, which includes performing a coordinating function; or
•
2 or more landlords from engaging in consciously parallel pricing coordination.
A violation is deemed to be an illegal restraint of trade or
commerce and is punishable in accordance with the Colorado State Antitrust Act of 2023.
The division of housing within the department of local affairs is
required to develop and undertake a public education program designed to inform Colorado residents of the provisions of the bill.
