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ompass CEO Robert Reffkin claims Zillow is abusing its monopoly power by banning private listings that aren't widely available through the MLS. This move has led to a lawsuit filed in New York, with Compass accusing Zillow of stifling competition and charging an "incremental tax" on real estate transactions.

    Zillow's policy aims to ensure homes are marketed to all consumers, but Compass argues its 3-Phased Marketing Strategy poses a threat to Zillow's dominance. The strategy allows sellers to market their homes privately, free from negative insights like days on market. The lawsuit also accuses Zillow of redirecting buyers away from listing agents who wouldn't charge an additional commission.

    This is not the first time Compass has taken on Zillow; similar battles have played out in Seattle and California. In Chicago, recently acquired @properties leaders are echoing Reffkin's "seller choice" message.

    Zillow will start blocking non-compliant listings from its platform starting June 30, after notifying agents of any issues as of May 28. The company believes that if a listing is marketed to some buyers, it should be available to all.

    Industry reactions have been mixed, with eXp and others supporting Zillow's policy while Homes.com plans to boost listings not displayed on the platform. A recent survey of MLS leaders found most disapproved of NAR's decision to add a delayed marketing option to its Clear Cooperation policy, citing rushed and vague communications from the organization.