April 2 (Reuters) - A lawsuit filed in Chicago federal
court claims that construction equipment giant United Rentals ( URI )
and four rivals conspired with a data services platform
to fix prices, causing thousands of businesses to overpay for
excavators, cranes and other vehicles.
Illinois-based small business Zags Roofing filed the proposed
class action on Tuesday, accusing United Rentals ( URI ), Sunbelt
Rentals and others of forming an illegal price-fixing cartel.
The lawsuit alleged the equipment rental companies violated
antitrust law by collectively sharing competitive, nonpublic
inventory and pricing data with analytics company Rouse
Services, which provides revenue management software used to set
rate benchmarks in the industry.
United Rentals ( URI ) and the other defendants were able to raise
prices without fear of being undercut, according to the lawsuit,
filed by plaintiffs' firms Berger Montague; Hausfeld and
Edelson.
The victims are "those companies shouldered with the
responsibility of building our nation's housing, commercial
centers, and infrastructure," said Hausfeld's Gary Smith Jr in a
statement.
United Rentals ( URI ), Sunbelt Rentals, Rouse Services and its
parent RB Global ( RBA ), which is also a defendant, did not immediately
respond to requests for comment.
Stamford, Connecticut-based United Rentals ( URI ), the country's
largest construction rental equipment provider, reported $15
billion in total revenue last year.
The lawsuit said demand for construction rental equipment
was "significant and continuous." Renting equipment is more
affordable, especially for smaller companies that might need a
dozer or lift only for a short amount of time, according to the
lawsuit.
The plaintiffs' lawyers estimated potentially hundreds of
thousands of members of the proposed class.
The rental market has become increasingly concentrated over
20 years based on hundreds of acquisitions by the leading
companies, according to the lawsuit.
Before Rouse's data services came to dominate the industry,
the lawsuit said, rental companies independently set rental
pricing based on their own cost and demand factors.
Revenue management platforms have come into focus in other
lawsuits targeting hotels and rental markets such as multifamily
residential housing.
The construction equipment lawsuit is seeking unspecified
monetary damages under antitrust law, and a court order to break
up the alleged price-fixing conspiracy.
The case is AXG Roofing LLC v. RB Global Inc ( RBA ) et al, U.S.
District Court for the Northern District of Illinois, No.
1:25-cv-03487.
For plaintiffs: Eric Cramer and Michaela Wallin of Berger
Montague; Gary Smith and Swathi Bojedla of Hausfeld; and Natasha
Fernández-Silber and Abby Lemert of Edelson
For defendants: No appearances yet