realestate

Judge Greenlights NAR Agreement in Real Estate Antitrust Dispute

Court Approves NAR Settlement Agreement for Broker Commission Claims

T
he National Association of Realtors (NAR) has secured final court approval for its proposed settlement agreement resolving class action claims related to broker commissions. The settlement affects over 1.4 million NAR members and their businesses, as well as multiple listing services (MLSs) and brokerages.

    As part of the agreement, NAR will institute two key practice changes: prohibiting offers of compensation from being shared on MLSs and requiring written buyer agreements prior to home tours for buyers represented by NAR members. These changes took effect in August.

    The settlement also releases liability for NAR members and their businesses, as well as MLSs and brokerages that opt-in to the agreement. The court's decision follows a final approval hearing earlier this week, during which all parties, objectors, and the Department of Justice were heard.

    NAR President Kevin Sears stated that the association's goal was to protect its members and preserve choice for consumers in buying or selling a home. He emphasized the importance of transparency, competition, and choice in the settlement agreement.

    The settlement does not imply any wrongdoing by NAR in connection with the Multiple Listing Service (MLS) cooperative compensation model rule. Instead, it aims to empower Realtors to help buyers and sellers navigate the home buying process successfully.

    NAR CEO Nykia Wrights noted that the association is committed to creating a transparent and inclusive home buying and selling process, advancing the right to real property for all, and demonstrating the importance of Realtors in the marketplace.

Judge approves National Association of Realtors agreement in real estate antitrust lawsuit settlement.