legendary billionaire ceo berkshire hathawayWarren Buffett has found himself at the center of one of the nation’s largest real estate commission lawsuits.
In an amended complaint filed Monday, plaintiffs in the Gibson Commission lawsuit filed in Missouri in early November by Sitzer/Barnett plaintiffs’ attorney Michael Ketchmark allege that: he added. Berkshire Hathaway Energy Company on the list of defendants.Buffett’s company, Berkshire Hathaway, owns 92% of Berkshire Hathaway Energy Company and the real estate company. Home American Services It is a subsidiary of. HomeServices of America, although not a defendant in the Gibson case, was a defendant in the Sitzer/Barnett case and was found liable in collusion with the Gibson case. National Association of Realtors Those involved in the real estate industry are trying to artificially raise agent fees.
in interview with wall street journalKetchmark, who first reported that Berkshire Hathaway Energy Company had been added to the Gibson suit, said the collusion issue “reaches all the way to the top of Berkshire Hathaway” and that the plaintiffs would name Buffett’s company. He said he had decided to do so.
In his amended complaint, Ketchmark alleges that Berkshire Hathaway Energy Company considers HomeServices employees to be its own employees and that, without Berkshire Hathaway Energy Company’s financial support, The company points out that it could not have expanded or acquired so many real estate companies.
The complaint also alleges that the company used Mr. Buffet’s profile and image as a “halo effect” to generate consumer trust, and used this “halo effect” to further the alleged conspiracy. .
For this reason, the plaintiffs say, “Berkshire Hathaway Energy uses our nation’s MLS system as a means to fix, increase, raise, and stabilize the amount of fees that homeowners must pay to sell their homes.” and engaged in price manipulation.”
Like other fee lawsuits, the Gibson lawsuit targets NAR’s Participation Rule, which requires listing brokers to make a lump sum offer of compensation to the buyer’s broker in order to list a property on the MLS. Plaintiffs allege that this rule is at the heart of a conspiracy to artificially inflate agency fees. Other defendants in this lawsuit include: Compass, eXp World Holdings, Redfin, Weichert Realtors, united real estate, howard hannah and Douglas Elliman.
Berkshire Hathaway did not immediately respond to a request for comment.
