S.D.N.Y.Court order
Manhattan federal judge enjoins New York ban on algorithmic rent-setting software on First Amendment grounds
U.S. District Judge Valerie Caproni preliminarily enjoined New York from enforcing Section 3 of General Business Law 340-B, the state's ban on algorithmic rent-setting tools, and denied Attorney General Letitia James's motion to dismiss RealPage's suit. In a 27-page opinion filed September 29, she called it a close call but found RealPage marginally likely to show the law restricts speech protected by the First Amendment.
Opinion (U.S. District Court for the Southern District of New York) → · Reuters, Law360, MLex
Key points
- Judge Caproni granted RealPage's preliminary-injunction motion as to Section 3 and denied Attorney General Letitia James's motion to dismiss.U.S. District Court for the Southern District of New YorkMLex
- Caproni wrote that the statute prohibits normal commercial conduct just because it is facilitated by software.U.S. District Court for the Southern District of New YorkReuters
- She called the question a close call, finding RealPage only marginally likely to prove the law unconstitutional.ReutersLaw360
- The order sets the initial pretrial conference for October 30, 2026, before Judge Caproni in Manhattan.U.S. District Court for the Southern District of New York
- RealPage sued two days after settling with the Justice Department and agreeing to limit its software's use of competitors' non-public data.Reuters
Sources4 articles across 4 outlets
Law360
MLex
Reuters
U.S. District Court for the Southern District of New York
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