T
he Minnesota Attorney General's Office is taking action against MV Realty PBC, LLC, a Florida-based real estate company, for allegedly violating the state's consumer protection laws. The lawsuit claims that MV Realty and its Minnesota arm, MV Realty of Minnesota, LLC, sold contracts with unfair terms to homeowners but concealed these details in their sales pitches.

    The contracts, known as Homeowner Benefit Agreements (HBAs), promised up-front cash in exchange for the homeowner agreeing to use MV Realty in future home sales. However, the lawsuit alleges that the contracts contained hidden clauses, including:

    * HBAs lasting 40 years

    * Binding heirs and inheritors to the contract without their knowledge or consent

    * Unlawful liquidated damages clauses, known as "Early Termination Fees," which penalize homeowners for hiring another realtor

    * Requirements that homeowners give MV Realty six months to sell their home, with severe penalties if they fail

    The lawsuit also claims that MV Realty deceptively presented the contracts to homeowners, hiding objectionable details in small font and confusing legal jargon. The company allegedly told homeowners to sign the contracts without fully disclosing the terms.

    Attorney General Keith Ellison says that MV Realty's behavior has been predatory, immoral, and illegal. The company faces similar lawsuits in multiple states, including California, Florida, Georgia, Illinois, Indiana, Massachusetts, New Jersey, North Carolina, Ohio, and Pennsylvania.