E
d Zorn, CRMLS VP and general counsel, shares his insights on several high-profile real estate cases in the latest episode of Real Estate Insiders Unfiltered. He breaks down each case, highlighting which legal arguments he believes are strongest.
The Sitzer/Burnett appeal, which has been lingering for over a year since the National Association of Realtors settled, is "extraordinarily weak," according to Zorn. If it's granted, the rules have already changed, and brokers and agents will continue to operate under the new consumer-centric model. This change is seen as a positive development by Zorn.
Compass' lawsuit against Zillow over its policy barring listings that are publicly marketed but not widely available via the MLS is also deemed "extraordinarily weak" by Zorn. He predicts an easy win for Zillow and believes Compass' preliminary injunction request will be denied. The case revolves around whether Zillow's actions are anticompetitive and monopolistic, but Zorn disagrees, stating that Zillow doesn't control the buying and selling marketplace.
The outcome of Compass v. NWMLS won't impact the industry, as NWMLS has its own "more stringent" version of the Clear Cooperation Policy. While Compass levels similar "monopoly" claims in this lawsuit, Zorn believes they are "very weak." He thinks there's a 60-70% chance that Northwest MLS wins anyway.
ThePLS.com, co-founded by The Agency CEO Mauricio Umansky, recently revived its case against NAR over Clear Cooperation. Zorn describes the case as "very weak" and thinks it will likely lose due to the open listing agreement exception. He believes PLS is trying to make a point but doesn't think it will go anywhere.
Zorn's predictions offer insight into the potential outcomes of these high-profile cases, which may have significant implications for the real estate industry.
