Fair Housing
A Washington rental company's software automatically generates higher rent quotes for users whose browsing patterns suggest they live in wealthier zip codes. If this disproportionately impacts protected class members, it may constitute:
AA legitimate market-based pricing strategy
BAlgorithmic discrimination that could violate fair housing laws under a disparate impact theory✓ Correct
CA legal B2C marketing practice
DOnly a breach of consumer protection law, not fair housing
Explanation
When pricing algorithms systematically charge different amounts based on location or other variables that correlate with protected class characteristics, the result can constitute disparate impact discrimination under the Fair Housing Act, even without discriminatory intent.
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