AI-Powered Tenant Screening Service Settles for $2.28M in Discrimination Lawsuit

Recent developments indicate that a group of rental applicants in Massachusetts have succeeded in reaching a $2.28 million settlement agreement against SafeRent Solutions, a tenant screening service. The applicants contended that the company’s use of an AI-powered screening program disproportionately harmed Black and Hispanic applicants who relied on federally funded housing choice vouchers.

The ruling from U.S. District Judge Angel Kelley for the District of Massachusetts has certified two settlement classes. The judge further instructed SafeRent, which was previously known as CoreLogic Rental Property Solutions, to provide identifying information to aid in sending the settlement notices. This information was parsed from an order filed on April 25.

Partner at Cohen Milstein, Brian Corman, who steers the firm’s fair housing litigation initiatives and took part in the settlement negotiations, has lauded the alterations that SafeRent has agreed to make. He noted that these changes are crucial for “ensuring the original intention of the nation’s voucher programs, helping to erase historic discrimination in the housing markets.”

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