T
he National Association of Realtors (NAR) has initiated the charter revocation process against Phoenix Realtors due to its refusal to stop offering MLS Choice, a program that allows non-Realtor real estate professionals to access MLS services and other products at a lower cost. In an email to leaders, NAR stated it had "no choice" but to defend its trademark and model, citing the potential risks of losing benefits such as market research, business resources, and a unified advocacy platform.

    NAR's General Counsel Lesley Muchow emphasized that state and local associations are prohibited from adopting practices inconsistent with NAR's bylaws and Constitution. Phoenix Realtors' CEO Andy Fegley countered that MLS Choice is a scaled-down option for real estate professionals to consider, allowing them to assess their needs and choose the right level of services.

    Fegley also stated that NAR's stance on charter revocation is a disservice to the industry, hindering innovation and progress. He reaffirmed Phoenix Realtors' commitment to serving Realtors and evolving alongside the changing industry.

    The charter revocation process involves several steps, including a review by a panel of NAR's Executive Committee members, followed by a "show cause" hearing if Phoenix Realtors fails to comply. If the charter is revoked, PAR's territory would become unassigned and available for another local association to take over.