Everyone from Michael Ketchmark to the consumer advocacy group behind Moir are letting real estate agents know they’re under scrutiny as new rules are introduced for how they contract with buyers and distribute commission.
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Every week in The Download, Inman’s Christy Murdock breaks down the week’s most-read articles to give you the information you need to tackle them head-on on Monday. This week, everyone from Michael Ketchmark to the consumer advocacy group behind Moehrl are letting agents know they’re under scrutiny as new rules on buyer agreements and commission sharing (not) roll out.
One of the major frustrations for agents and brokers from both recent commission-related litigation and subsequent settlements in the real estate industry has been the allegation, established by a jury, that there is a vast real estate conspiracy when it comes to commissions. So imagine what industry watchdog groups might think about conversations and plans that suggest some Realtors are still trying to find ways to share commission-related information.
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The president of the National Association of Realtors Kevin Sears We know about the Department of Justice investigation into this issue, and we’ve heard more this week, including in a two-part interview. Doug Miller and Wendy Gilch A statement from the American Association of Real Estate Consumer Advocates, the watchdog group that filed the first of the so-called “bombshell” antitrust lawsuits against Gibson, and words of warning from Sitzer Barnett’s lead lawyer.
In a phone interview, Sitzer and Barnett, the plaintiffs’ attorney, Michael Ketchmark They weighed in on the impact of violating the NAR settlement, Zillow’s business model, and what “monster cases” remain.
Ketchmark said lawyers for home seller plaintiffs in several antitrust cases will be watching to see how the real estate industry changes its business practices to comply with the NRA settlement and will seek to set out examples of brokers and MLSs that violate the agreement.
“If anyone thinks they can circumvent the settlement agreement and the law by creating new forms or hiding this collaboration behind a new website, they are mistaken,” Ketchmark said. “If we see any indication that individuals or companies are doing so as a way to circumvent this, we will take immediate legal action.”
Added: Stealth commission offers raise red on grass and keychains
With football season fast approaching, it’s time to start using some football-related metaphors. Here we go: “The best defense is a good offense.”
In this case, that means knowing the ropes and staying educated about the rules is far preferable to trying to defend yourself after the fact with mistakes and workarounds. That’s why we’re here with plenty of advice, answers, and analysis to help you stay on the right side of all the people who are looking to you right now.
Historic Start Necessary Committee Changes Mega FAQ
Now that the “new normal” has officially begun, it’s time to answer some of the most common questions from agents and brokers regarding the newly implemented changes to commission settlement rules.
More information: NAR Settlement Rules: Live updates as real estate changes unfold
To avoid overpaying, here are three pitfalls to avoid: fine your
Huge fines can add up quickly and get you into a sticky situation. Even worse, if they file charges against you. Rachel Height We will explain how to comply with the rules.
Additional information: Law firm seeks $36.8 million of $110 million settlement
Have a question about fees? Our compliance experts are here to help
Compliance Experts Summer Golarik There are answers to questions from Carla Amer’s As we navigate this post-settlement transition, here are 13 questions brokers should ask about fee settlements.
