FTC lawsuit could bring funds to Utah renters
Jan 27, 2025, 8:00 AM
SALT LAKE CITY — A lawsuit against the nation’s multi-family rental property manager could benefit Utah renters.
The Federal Trade Commission and the state of Colorado filed a lawsuit against Greystar Management Cooperation earlier this month. The lawsuit claims that Greystar deceives consumers about monthly rent costs through hidden mandatory fees.
Utah renters were mentioned several times in the complaint, which states that Greystar collected more than $100 million in hidden fees in three years from properties managed in Utah, California, Colorado and Nevada. The lawsuit asks a judge to award damages to Greystar tenants among other things.
KSL Legal Analyst Greg Skordas said it is possible Utah joins in the lawsuit.
“It’s possible that the Utah Attorney Generals Office will take a look at this and join on behalf of Utah consumers,” Skordas said. “It’s not unlikely, especially if the issues here and the parties here are similar.”
Skordas also said the lawsuit could bring money back to renters.
“The FTC is assessing a large fine, I mean they’re looking in the tens of millions of dollars, which could be assessed,” Skordas said. “Whether that will ultimately go to the victims … we’ll see. You would think the FTC would probably try to do that.”
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Skordas additionally talked about how the number of victims could affect the lawsuit.
“The more victims there are, the more likely and the larger the fines will be against Greystar,” Skordas said. “So if Utah intervenes, Nevada or Idaho or other states jump into this … Yes, the likelihood is that the fines and the punishment could increase quite a bit.”
Greystar released a statement saying the lawsuit is a gross misrepresentation of the facts. Additionally, Greystar stated that all hidden fees can be found in lease agreements.
Skordas also said the wording of the lease will likely be closely examined to determine if Greystar is at fault.
Allessandra Harris-Gurr is a reporter for KSL NewsRadio.
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