T
he National Association of Realtors (NAR) and several major brokerages are seeking to dismiss a class action lawsuit filed by Utah-based discount brokerage Homie. The lawsuit, which alleges anticompetitive behavior and steering, claims that NAR "controls competition" and accuses brokers of steering buyers away from listings.
Homie has accused the defendants of boycotting its listings due to low commission fees. However, in motions to dismiss filed on October 18, the defendants argued that Homie failed to show that any of the brokerages agreed to boycott its listings. Attorneys for Keller Williams also claimed that the price fixing claims are simply repackaged from earlier commissions cases.
NAR attorneys argued that Homie itself would benefit from higher commissions, stating that if the alleged practices elevated brokerage commissions, it would enable Homie to increase its own commissions or attract more clients with lower commissions. The Wasatch Front Regional Multiple Listing Service was previously dismissed from the case without prejudice.
Homie has claimed to have saved clients over $100 million in commissions and fees by offering a flat fee for home-selling services. The lawsuit is similar to allegations made by home sellers in Sitzer/Burnett and related cases, which accused brokerages of anticompetitive behavior and steering.
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