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A Pennsylvania real estate broker is taking legal action against the National Association of Realtors, the state Realtor association, and his local multiple listing service for $5.6 million. He objects to the requirement of becoming a Realtor to access the MLS.
Maurice Muhammad, broker of Progressive Realty in Allentown, filed a lawsuit in the U.S. District Court for Eastern Pennsylvania. His complaint alleges violations of civil rights statutes, discriminatory practices, antitrust violations, breach of contract, and monopolistic behavior that enforces forced membership.
The lawsuit highlights how the mandatory membership fees disproportionately affect minority professionals who may lack the financial resources to join these organizations. Muhammad claims that the monopoly over MLS services prevents the creation of alternative trade organizations, stifling competition and maintaining control over the real estate profession.
Maurice Muhammad
This lawsuit is part of a larger trend, with other brokers challenging similar requirements across the country. Muhammad’s complaint also accuses NAR, PAR, and GLVMLS of discriminating against minority professionals in leadership roles, enforcement of rules, and professional opportunities.
The complaint seeks damages, a jury trial, and changes to the trade groups’ processes to ensure equitable treatment for all members. It also calls for the creation of alternative MLS systems that do not require NAR, PAR, or GLVMLS membership, as well as restructuring governance for greater minority representation.
GLVMLS and PAR declined to comment, citing pending litigation. NAR expressed a commitment to diversity, equity, and inclusion but noted that they had not yet been served with the complaint.
Editor’s note: This story has been updated with a comment from NAR.
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