A proposed settlement has been offered in a new antitrust case, with Side, other brokerages, and a pair of MLSs collectively agreeing to pay $10,570,000 if the terms are approved.
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A group of homesellers recently filed an antitrust commission lawsuit against several multiple listing services and brokerages, including Side, and have already reached a proposed settlement in the case.
The lawsuit was filed in Missouri on Monday, with lead plaintiff Jeremy Keel and other sellers such as Rhonda Burnett, Don Gibson, Daniel Umpa, and Christopher Moehrl listed as plaintiffs.
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The case alleges that the defendants conspired to inflate consumer costs and violated antitrust laws.
What sets this case apart is that a proposed settlement was filed on the same day as the complaint. The settlement would require the defendants to pay a total of $10,570,000.
Individual settlement amounts for the defendants include:
- Side: $5.5 million
- Washington Fine Properties: $1.3 million
- Seven Gables Real Estate: $1 million
- First Team Real Estate — Orange County: $1,000,000
- Signature Properties of Huntington: $850,000
- Cairn Real Estate Holdings, the parent of J.P. Piccinini Real Estate Services (JPAR): $700,000
- Central New York Information Service: $125,000
- Brooklyn New York MLS: $95,000
The news of the lawsuit and settlement was first reported by Real Estate News.
In addition to the monetary payments, the defendants have agreed to implement the same changes to their practices as outlined in previous settlements. The proposed settlement is deemed “substantially similar” to those reached in previous cases.
The case was filed in the same federal district court as previous cases, with Judge Fernando J. Gaitan, Jr. overseeing this suit.
Inman has reached out to the defendants for comment and will update the story as needed.
The new case and settlement come at a time when the real estate industry is adjusting to new rules following antitrust settlements. Last year, the National Association of Realtors settled its part in various cases, agreeing to pay $418 million and implement rule changes.
Despite criticisms of the antitrust cases, some brokers are starting to see potential benefits and opportunities emerging from changing business practices.
Read the complaint in the case here:
Email Jim Dalrymple II