Assembly Bill 142 aims to prohibit the use of algorithmic software in determining rental rates or occupancy levels for residential properties in Wisconsin. The bill defines algorithmic software as any software that utilizes algorithms to analyze nonpublic competitor data related to rent or occupancy, which landlords might use to make decisions about their properties. Under the proposed legislation, it would be illegal for anyone to sell, license, or provide such software to residential landlords. Violations of this prohibition could lead to investigations by the Department of Agriculture, Trade and Consumer Protection, the attorney general, or district attorneys, who would have the authority to seek injunctions or impose civil forfeitures of up to $1,000 per violation. Additionally, tenants would have the right to file civil actions for damages or seek injunctive relief.
The bill also includes provisions to void any rental agreements that contain clauses waiving a landlord's obligation to comply with the prohibition on algorithmic software or that discourage tenants from pursuing legal action for violations. Specifically, new legal language is introduced to create sections 704.44 (11) and 704.60, which outline the definitions, prohibitions, and enforcement mechanisms related to the use of algorithmic software in residential housing. The legislation emphasizes tenant rights and aims to protect them from potential exploitation through the use of such software in rental practices.