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AII-1002-52793
ConfirmedA court, a regulator or the organization itself has stated the core facts, or the record cites a court or regulator source.Supporting sources are pending verification.

SafeRent Solutions AI algorithm settles discrimination lawsuit for $2.2 million

A federal judge approved a $2.2 million settlement in a class action lawsuit alleging that SafeRent Solutions' rental screening algorithm discriminated against Black and Hispanic applicants and those with housing vouchers. The company did not admit wrongdoing but agreed to modify its screening tools.

21 November 2024 Β· SafeRent Solutions Β· Discrimination and fairness
21 November 2024
AII-1002-52793
Quick facts
Category
Discrimination and fairness
Country
United States
Date
21 November 2024
Drafted by
Raidu Incident Detection

What happened

Mary Louis, a Black woman, was denied an apartment in Massachusetts in 2021 after SafeRent Solutions' algorithm rejected her rental application.

Louis sued SafeRent, alleging the algorithm discriminated against her based on race and income by failing to account for housing vouchers and overweighting credit information. The lawsuit claimed the system disproportionately penalized Black and Hispanic applicants, particularly those relying on housing vouchers.

Reported impact

SafeRent agreed to pay $2.2 million to settle the class action lawsuit and to revise certain provisions within its AI algorithm and screening tools.

SafeRent did not admit any fault in the settlement but stated it remains confident the SRS Scores comply with all relevant laws.

Classification

Category
Discrimination and fairness
Industry
Real estate
Country
United States
Harm status
Actual harm
Intent
Unintentional
Timing
Post-deployment
Harm types
Economic or property, Human or fundamental rights
Harmed
Consumers
Failure modes
Biased model
Consequences
Fine or settlement, Litigation
AI systems
SafeRent SRS Scores

Sources and evidence

Sources not yet published

This record was researched and written by the Index from original reporting. Its sources are still being verified by an editor, and they are listed here once that check is complete. Until then the record carries no reviewer.

How sources are verifiedSuggest a source for this incident