A series of recent legal cases indicate that the National Association of Realtors (NAR) is still facing significant legal challenges. What steps should they (and you) take next?
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Each week on The Download, Inman’s Christy Murdock delves deeper into the top-read stories of the week to provide you with the insights you need to tackle Monday head-on. This week: A wave of new lawsuits indicates that the NAR’s legal troubles are far from over. What is the next course of action — and how can you protect yourself?
Despite the focus on the recent NAR commission lawsuit settlement, which took effect in most markets in August and will be finalized in November, it is just the beginning of legal challenges for the largest trade group in the country.
The organization has announced a shift in its legal strategy following the departure of Chief Legal Officer Katie Johnson. With pressures from consumers, the U.S. government, brokerages, and agents mounting, is this change too little, too late for the NAR?
Last week, Pennsylvania broker Maurice Muhammad filed a $5.6 million lawsuit against NAR, the Pennsylvania Association of Realtors, and the Greater Lehigh Valley MLS over the requirement to be a Realtor to access the MLS.
This lawsuit comes on the heels of one filed by two Michigan brokers and an agent in August, naming NAR, their state and local associations, and Realcomp II, their MLS.
These legal challenges coincide with lawsuits from consumers and the Department of Justice, as well as questions surrounding the NAR’s Clear Cooperation Policy and competition from emerging associations like the American Real Estate Association.
EXTRA: NAR rival seeks agents for possible class action over Clear Cooperation
As the NAR looks to redefine its approach, it is crucial for you to protect yourself. As an agent, be vigilant and ask important questions of your leadership. As a broker or team leader, stay informed about your agents’ activities and communications.
This week, Inman contributors offer insights from both perspectives to empower you when engaging with buyers, sellers, and colleagues.
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