Lawsuit alleges pricing cartel in US rental market

Photo: Yuttana Studio via AdobeStock Photo: Yuttana Studio via AdobeStock

A lawsuit has been filed against five of the biggest US equipment rental companies and Rouse Services accusing them of conspiring to increase rental prices.

The lawsuit, filed on 1 April in a Chicago Federal court by Illinois roofing contractor AXG Roofing Llc, names United Rentals, Herc Rentals, Sunstate Equipment, Sunbelt Rentals and H&E Equipment, along with Rouse Services and its owner RB Global (Ritchie Bros).

It claims the rental companies used Rouse鈥檚 rental metrics service to collude in fixing prices and limit the supply of rental equipment, in violation of antitrust laws.

AXG is seeking to have the case certified as a class action, representing potentially thousands of businesses and individuals who rented equipment from 31 March 31, 2021 to the present. The lawsuit was reported by Reuters on 2 April.

IRN has contacted the rental companies involved as well as RB Global, the owner of Rouse, for comment. Some of the rental businesses have not had time to respond, but Sunstate told IRN, 鈥淎t Sunstate Equipment Co., we are committed to operating with the highest standards of integrity, transparency, and compliance. We take our obligations under antitrust laws seriously and are confident in the integrity of our business practices.

鈥淲e firmly believe these allegations are without merit and intend to vigorously defend ourselves. Sunstate remains dedicated to acting ethically and responsibly in all aspects of our business. We appreciate the trust our customers, employees, and stakeholders place in us and will continue providing exceptional products and services.鈥�

Shortly after, IRN also received the following response fron United; 鈥淯RI has reviewed the allegations of the complaint filed against Rouse and various rental equipment companies in the Northern District of Illinois. URI believes those allegations are wholly without merit and intends to vigorously defend itself against them.鈥�

RB Global also responded; 鈥淲hile we generally do not comment on pending litigation, we believe these claims are meritless and mischaracterise Rouse Rental Insights鈥� business practices and the competitive nature of the rental industry.

鈥淩ouse Rental Insights is purposefully configured to comply with all regulations, including competition and antitrust laws. We intend to vigorously defend the company鈥�. 

Rouse鈥檚 rental metrics service is well established in North America, with hundreds of rental companies providing data on pricing and utilisation, which Rouse then aggregates and provides to subscribers on an anonymised basis.

The model operates on the premise that anti-trust laws are not broken where there is data from at least five rental companies for any geographical area or product segment that is being reported.

In recent years Rouse has into Europe and Australia.

Rouse makes progress on European rental market data Data specialist has 130 members outside North America

必赢体育

STAY CONNECTED

Receive the information you need when you need it through our world-leading magazines, newsletters and daily briefings.

CONNECT WITH THE TEAM
Andy Brown Editor, Editorial, UK - Wadhurst Tel: +44 (0) 1892 786224 E-mail: [email protected]
Neil Gerrard Senior Editor, Editorial, UK - Wadhurst Tel: +44 (0) 7355 092 771 E-mail: [email protected]
Catrin Jones Editor, Editorial, UK 鈥� Wadhurst Tel: +44 (0) 791 2298 133 E-mail: [email protected]
Eleanor Shefford Brand Manager Tel: +44 (0) 1892 786 236 E-mail: [email protected]