October 16, 2019
Boulware Law was recently featured on Law360 for their work representing plaintiffs in a class action lawsuit against The National Association of Realtors and several major broker franchisors.
The Law60 article, “Realtors Must Face Antitrust Case Over High Broker Fees,” shares how U.S. District Judge Stephen R. Bough refused to dismiss the proposed class action.
“The National Association of Realtors and several major broker franchisors weren’t able to shut down allegations that they conspired to inflate broker commissions, as a Missouri federal judge found Wednesday that the home sellers lodging the claims had offered enough evidence to plausibly show a conspiracy.”
The lawsuit, filed in federal court in Kansas City, Missouri, contends that the custom of having a seller pay both their own and the buyer’s broker commissions artificially inflates transaction costs and stifles competition in the residential brokerage industry. The homeowners contend that, “the associations’ industry-wide commission rules have kept broker fees artificially high even though the internet has substantially reduced realtors’ roles in the home buying and selling process.”
The lawsuit gained attention in September when the U.S. Department of Justice confirmed it was seeking information on potential residential real estate antitrust violations.
To learn more, contact attorney Brandon Boulware at (816) 492-2826.