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federal agency has re-entered the fray in a long-running real estate dispute, casting doubt on a proposed settlement between MLS PIN and home sellers. The U.S. Department of Justice argues that revisions to the 2023 agreement are superficial, failing to address underlying issues.

    The DOJ's latest filing in the Nosalek case, which involves several major brokerage companies, comes as the agency continues to scrutinize the real estate industry. At issue is a proposed deal where MLS PIN agreed to pay $3.95 million in damages and modify rules related to buyer-broker compensation. However, the revised proposal has been deemed insufficient by the DOJ.

    The agency's concerns center on the persistence of "steering," a phenomenon where sellers feel pressured to offer higher commissions due to fear of losing business. The DOJ argues that this dynamic remains unchanged under the proposed settlement. Furthermore, the agency claims that the monetary amount is inadequate to cover an expanded class of land and mobile home sellers.

    This development comes at a critical juncture for the case, which had appeared to be gaining momentum in January when a court set a date to consider preliminary approval of the MLS PIN settlement. The DOJ's renewed involvement also has broader implications for the industry, as it marks one of its first major real estate-related litigations under the new administration.

    The agency's stance is consistent with previous filings, although this latest submission takes a more measured approach. In contrast to its earlier suggestion that an injunction be imposed to prohibit sellers from making offers of compensation, the DOJ now focuses on the lack of competitiveness among brokers, citing stagnant commission rates despite technological advancements.