What Is Chapter 93A?
Massachusetts General Laws Chapter 93A is a consumer protection statute that prohibits "unfair or deceptive acts or practices" in trade and commerce. Originally designed to protect consumers from fraud, this powerful law allows courts to award triple (treble) damages when violations are found to be willful or knowing.
How Does 93A Apply to Rent Control?
Under proposed rent control legislation, landlords who charge rents above regulated maximums could be subject to 93A claims. This means:
- Single violation: A landlord who inadvertently exceeds a rent ceiling could face damages
- Triple damages: If the violation is deemed "willful or knowing," damages are automatically tripled
- Attorney's fees: The losing landlord must also pay the tenant's legal costs
The Math Is Devastating
Consider a small property owner with 4 units who exceeds the rent ceiling by $200/month per unit:
- Annual overcharge: $200 × 12 months × 4 units = $9,600
- Triple damages: $9,600 × 3 = $28,800
- Plus attorney's fees: easily $10,000-$20,000
- Total potential liability: $38,800-$48,800 for a single year
Why This Matters for Small Property Owners
Large corporate landlords can absorb legal costs and hire compliance teams. Small "mom-and-pop" landlords—retirees relying on rental income, families with a two-family home—face potentially ruinous liability for honest mistakes in a complex regulatory system.
What the Research Says
According to Diamond et al. (2019) at Stanford, rent control reduces rental housing supply by 15% as small landlords exit the market. The threat of 93A liability would accelerate this exodus, worsening the very housing shortage rent control claims to address.
Take Action
Contact your legislator today to oppose rent control legislation that would expose Massachusetts property owners to 93A triple-damages liability.