This bill aims to enhance tenant protections in Minnesota by prohibiting the use of tenant screening software that relies on nonpublic competitor data to determine rental prices and that exhibits bias against protected classes. Specifically, it introduces new legal language under Minnesota Statutes, section 504B.242, which outlines two main provisions: the prohibition of algorithmic devices that utilize nonpublic competitor data for setting rent and the ban on background screening algorithms that disproportionately affect protected classes as defined in section 363A.09. The bill clarifies definitions related to algorithmic devices and nonpublic competitor data, ensuring transparency and fairness in the rental process.
Additionally, the bill amends section 504B.245 to include violations of the new section 504B.242, allowing individuals harmed by such violations to seek remedies, including monetary damages and equitable relief. The effective date for these provisions is set for August 1, 2025, applying to actions taken on or after that date. This legislative effort seeks to create a more equitable housing market by addressing potential biases and unfair practices in tenant screening and rent setting.
Statutes affected: Introduction: 504B.245