Penalty Amount
$300,000
Colorado Attorney General Phil Weiser announced a settlement with Avail Property Management Inc. and PK Management, LLC resolving allegations that the companies denied prospective tenants housing based on criminal history information prohibited under Colorado's Rental Application Fairness Act, including arrests, deferred judgments, and convictions older than five years (some more than 20 years old). The companies, which managed nearly 4,000 rental units across Colorado, relied on a third-party background screening service despite legal prohibitions. Under the settlement, they must change screening practices, review vendor recommendations rather than relying on them automatically, submit to two years of compliance reporting, and pay $300,000.
Under the stipulated consent judgment (subject to court approval), Avail and PK must comply with the Rental Application Fairness Act's prohibition on considering criminal convictions older than five years except where Colorado law expressly allows, stop considering arrests, pending charges, and other non-conviction records, revise tenant screening policies and consumer-facing materials, review third-party background screening recommendations instead of automatically relying on screening vendors, submit documentation demonstrating compliance and provide annual compliance reports to the Attorney General's Office for two years, and pay $300,000 for attorney's fees, consumer fraud and antitrust enforcement, and consumer education.
Property management companies, landlords, and any business relying on background checks should review their agreements with third-party background screening vendors (consumer reporting agencies) to ensure screening reports comply with state-law limits on criminal history use — specifically filtering out arrests, pending charges, deferred judgments, and convictions older than five years where required — and should add warranties and indemnification provisions holding the vendor accountable for reports configured in violation of state screening laws. Contracts should prohibit automatic reliance on vendor recommendations and require human review of screening results. Teams should also audit lease application forms, adverse action notices, and consumer-facing disclosures for compliance with laws like Colorado's Rental Application Fairness Act, and build annual compliance reporting/certification obligations into vendor and operating agreements.
Entity
Avail Property Management Inc. and PK Management, LLC
Industry
Real EstateOfficial Press Release
https://coag.gov/press-releases/attorney-general-weiser-secures-settlement-protecting-renters-from-illegal-tenant-screening-practices/
2026.09.02 Complaint Avail PK RAFA CCPA
https://coag.gov/app/uploads/2026/09/2026.09.02-Complaint-Avail-PK-RAFA-CCPA.pdf
2026.09.01 Avail PK COAG Stipulated Consent Judgment Final
https://coag.gov/app/uploads/2026/09/2026.09.01-Avail-PK-COAG-Stipulated-Consent-Judgment-Final.pdf
Colorado Attorney General Enforcement Page
https://coag.gov/
"a settlement with Avail Property Management Inc. and PK Management, LLC resolving allegations"
"Pay $300,000 for attorney’s fees, consumer fraud and antitrust enforcement, and consumer education."
"the companies violated Colorado’s Rental Application Fairness Act and the Colorado Consumer Protection Act by using prohibited criminal history information to deny housing to prospective tenants"
"applicants were denied housing based on arrests, deferred judgments, and convictions that occurred more than five years before they applied, including some convictions that were more than 20 years old."
"Review third-party background screening recommendations instead of automatically relying on screening vendors."
"provide annual compliance reports to the Attorney General’s Office for two years."
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