Apartment manager Greystar faces more 'junk fee' lawsuits after FTC case
By Mike Scarcella
April 30 (Reuters) - Apartment management giant Greystar is facing a growing number of U.S. consumer lawsuits after the Federal Trade Commission accused the company earlier this year of duping tenants with hidden “junk” fees.
Greystar was hit with a new proposed class action on Tuesday in the San Diego, California federal court that claimed the company hides the true cost of its rental units.
“Put simply, Greystar’s tactics make it impossible to actually rent from Greystar for the advertised prices,” the lawsuit alleged.
The FTC in January sued Greystar in federal court in Colorado over its fee practices, and the company, which manages more than 800,000 residential units across the country, faces related lawsuits in courts in Texas and Maryland.
Greystar did not immediately respond to a request for comment.
It has denied the FTC’s allegations, and the company’s request to dismiss the lawsuit is pending.
Greystar said in a Colorado federal court filing in the FTC’s lawsuit this month that the case “bears all the hallmarks of agency overreach.”
The new consumer lawsuit was filed by two apartment renters in San Diego and Los Angeles.
The lawsuit said South Carolina-based Greystar was imposing separate fees for pest control and trash service that under California law should be included in the rent. The consumers said they can’t meaningfully compare apartments, stifling competition in the market.
Their lawyers said the case was distinct from the FTC action because it seeks to enforce California competition and consumer laws against Greystar, and it seeks refunds for residents in the state for alleged overcharges.
The consumer lawyers also said, “in the current political climate, it is unclear whether the FTC’s action will proceed.”
The FTC did not immediately respond to a request for comment.
The case is Kaidi Wu and Juhyun So v. Greystar Real Estate Partners, U.S. District Court, Southern District of California, No. 3:25-cv-01090-AGS-BLM.
For plaintiffs: Wesley Griffith of Cutter Law; F. Peter Silva II of Tycko & Zavareei; and Jeffrey Newsome of Varnell & Warwick
For defendant: No appearance yet
Read more:
US FTC offers employees financial incentives to quit
Fired FTC commissioners seek to fast-track case over dismissal
US court throws out Biden-era rules designed to protect car buyers
US Senate confirms Trump's FTC commissioner pick
Related Articles
Netflix After the Warner Deal: What Investors Should Know
TradingKey - For quite some time now, Netflix (NFLX) has been regarded as the premier subscription-based streaming service in the world, with a well-established history of growth through creative use of pricing power, developing hit programming, and relying very little on outside sources for licensi
Warsh’s Fed Era Signals a Death Knell for QE, Jolting the $30 Trillion Treasury Market
With Warsh’s nomination, his past proposals for governing the Federal Reserve are being brought to the forefront. A central issue is the formulation of a new "1951 Accord" to restructure the relationship between the Fed and the Treasury. Analysts suggest such a move could impact the $30 trillion Tre
Amazon Stock Predictions for 2026 to 2030: Will They Exceed Expectations and Achieve Major Long-Term Goals?
TradingKey - As we head into 2026, many investors are questioning where Amazon (AMZN) fits into the technology world.
A Crash After a Surge: Why Silver Lost 40% in a Week?
TradingKey - Spot silver (XAGUSD) prices continue to decline. Silver plunged 20% on Thursday, breaking below $71 per ounce, with the sell-off intensifying on Friday as prices fell further below $64. Compared to the all-time high set on January 29, silver prices have retraced more than 40%, wiping out nearly all gains accumulated over the previous month.
