The U.S. Circuit Court of Appeals in Washington, D.C., has denied the National Association of Realtors (NAR) a rehearing of the court’s previous ruling allowing the Department of Justice (DOJ) to reopen an investigation into the trade organization.
The legal battle over DOJ’s investigation has been ongoing since the Trump administration. In November 2020, the DOJ closed its investigation into NAR after reaching a settlement on the antitrust probe into NAR’s role in buyer agent compensation.
However, in July 2021, the Biden administration withdrew the settlement and reopened the investigation. Following objections from NAR, a three-judge panel in D.C. ruled in April 2024 that the DOJ could proceed with its investigation. NAR’s request for a rehearing was denied on Friday.
NAR and the DOJ have not yet commented on the latest development.
Meanwhile, during the legal proceedings, NAR settled a class-action lawsuit in Missouri in March, agreeing to pay $418 million over four years to home sellers. NAR also made changes to its rules, including removing the requirement for buyer agent compensation offers on multiple listing services, effective August 17.
Following the Missouri settlement, several similar lawsuits have been filed across the country involving major real estate brokerages such as Anywhere, Keller Williams, and RE/MAX.
Aside from NAR’s rehearing denial, there have been other developments involving the DOJ and Realtor associations. The California Association of Realtors announced that it will release new forms for its members on July 24, following a formal inquiry by the DOJ into the association’s forms to ensure compliance with upcoming rules.
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