Antitrust Law Daily Wrap Up, ANTITRUST—W.D. Wash.: Yardi rent-fixing suit moves to broader discovery as court denies summary judgment on remaining claims, (Oct 14, 2026)

By Martin A. Steinberg, J.D.

Discovery limited to Yardi’s software did not eliminate the need to examine landlords’ knowledge, communications, and conduct in the alleged rent-fixing conspiracy.

The federal district court in Seattle, Washington lifted a stay of discovery against landlord defendants in an antitrust class action alleging that Yardi Systems, Inc., and its clients used revenue-management software to artificially inflate multifamily housing rents. The court concluded that initial discovery focused on Yardi’s software did not eliminate the need to examine the landlords’ knowledge, communications, and conduct before resolving the remaining claims. It therefore denied Yardi’s motion for summary judgment on those claims without prejudice to renewal after discovery, while granting summary judgment on an abandoned vertical-restraints claim. The court also denied the parties’ expert-related motions without prejudice and granted requests to seal certain confidential client and proprietary technical information (In re Yardi Revenue Management Antitrust Litigation, No. 2:23-cv-01391-RSL (W.D. Wash. Oct. 13, 2026)).

Background. Renters of multifamily residential units alleged that Yardi and landlord defendants violated Section 1 of the Sherman Act by using Yardi’s revenue-management software to inflate multifamily housing rents. Their claims asserted a hub-and-spoke conspiracy, unlawful vertical restraints arising from agreements between Yardi and individual landlords, and an agreement to exchange competitively sensitive, nonpublic information through Yardi.

The court previously denied defendants’ joint motion to dismiss. In a December 2024 ruling addressing landlord defendant R.D. Merrill Real Estate Holdings, LLC, doing business as Pillar Properties, the court held that plaintiffs plausibly alleged participation in a Yardi-centered conspiracy. Rent concessions offered at one building during the COVID-19 pandemic did not render those allegations implausible.

In March 2025, the court temporarily stayed discovery against the landlords and authorized an initial phase focused on Yardi’s software and practices. That discovery addressed the software’s inputs and pricing recommendations, its use or sharing of confidential information, clients’ control over configurations, and their adoption of recommendations. The court reasoned that targeted discovery might resolve threshold issues without broader discovery, while recognizing that landlord communications and other evidence could still be necessary. After the initial phase concluded in November 2025, Yardi moved for summary judgment, and plaintiffs sought to end phased discovery and proceed against the landlords.

In March 2026, the court ruled that it lacked personal jurisdiction over certain nonresident LLC defendants and separately granted preliminary approval to a settlement with Balke Brown Transwestern, Inc., and 2b Residential, LLC.

Summary judgment and broader discovery. The court granted the motion to end phased discovery and denied Yardi’s motion for summary judgment on the remaining claims without prejudice to renewal after discovery. Yardi cited evidence of individualized software configurations, client-selected reference rents, clients’ ability to modify or reject recommendations, and the absence of any direct use of one client’s confidential information to calculate another’s pricing output. Its arguments, however, also required inferences about the landlords’ knowledge, communications, and conduct, including whether they acted independently or participated in concerted activity. Discovery focused on Yardi therefore did not eliminate the need for broader discovery.

The court lifted the temporary stay of discovery against the landlord defendants, exercising its authority to manage discovery and its docket. It did not resolve the parties’ dispute over Yardi’s compliance with its initial discovery obligations because its decision did not depend on a finding of noncompliance. The court expressed no view on the ultimate merits of Yardi’s arguments. It separately granted summary judgment on Count II, the vertical-restraints claim, because plaintiffs had unequivocally abandoned it.

Sealing requests. The court granted the motions to seal materials submitted in connection with the discovery and summary judgment motions. Yardi demonstrated compelling reasons to protect confidential and competitively sensitive client information and proprietary technical information, including source code and software processes. Yardi and its clients took measures to preserve confidentiality, and disclosure could cause competitive or security-related harm. The requests were narrowly tailored, using limited redactions where practicable and sealing entire documents only where confidential information was intertwined throughout.

Expert-related motions. The court denied without prejudice the parties’ motions to exclude experts and Yardi’s motion to strike plaintiffs’ expert’s second report and recover attorneys’ fees. Those motions rested on the initial discovery record, and further discovery could affect the experts’ opinions, require supplemental reports, or alter the issues presented. The parties could renew unresolved challenges after completing discovery.

The court also denied the related sealing motions without prejudice, while directing that materials already sealed remain protected pending further order. Any request to preserve sealing in connection with a renewed expert motion would require a new application under the local rules. The parties were ordered to submit a joint status report and proposed discovery plan addressing remaining discovery and related case-management dates within 28 days.

The Case is No. 2:23-cv-01391-RSL.

Judge: Lasnik, R.

Attorneys: Rio Pierce (Hagens Berman Sobol Shapiro LLP) for Mckenna Duffy. Abraham A. Tabaie (Debevoise & Plimpton LLP) for Yardi Systems Inc.

Companies: Yardi Systems Inc.

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