If you sold a home and paid a commission to a real estate agent, you may be asking how to collect payment from the class action Burnett et al v. The National Association of Realtors et al. Case # 419-vs-00332 settlements. In this article, we’ll attempt to shed some light on the situation and help you figure out if you’re eligible for compensation.
Approximately 21 million property owners who sold a home that was listed in the Multiple Listing Service (MLS) after October 31, 2019, are eligible for compensation. If you sold one or more homes. you have until May 9th, 2025 to submit a claim for each individual sale. However, after all expenses incurred, including, but not limited to, legal fees, a home seller who submits and is approved for a claim, will only receive about $13 in compensation for the sale of each home. The class action Attorneys will ask the Court for attorneys’ fees, in an amount not to exceed one-third (33.3%) of the settlement fund, PLUS out-of-pocket expenses.
Real Estate Brokerages Who Have Settlement Agreements
Anywhere Real Estate (Better homes and Gardens Real Estate, Century 21, Coldwell Banker, Corcoran, ERA and Sotheby’s), Inc. f/k/a Realogy Holdings Corp. (“Anywhere”), RE/MAX LLC (“RE/MAX”), and Keller Williams Realty, Inc. (“Keller Williams”) have settled for a total of $208.5 Million dollars.
*Note: You do not need to have sold a home using an Anywhere, RE/MAX, or Keller Williams agent to make a claim. Here’s a link to frequently asked questions.
The Department of Justice (DOJ) and National Association Of Realtors (NAR)
The National Association of Realtors recently settled for significantly less than the $1.8 billion original request. While $418 million is a LOT of money, the DOJ has been greenlighted to pursue further investigations into the National Association of Realtors (NAR) and may file a statement as a party of interest in the lawsuit delineating concerns about the settlement, potentially causing an additional delay in final approval of the agreed upon settlement. It is also likely the DOJ will push for a significant increase in the amount of the settlement. In an effort to send a clear message of deterrence, the Sherman Antitrust Act remains the center of the investigation and the DOJ reserves the right to pursue criminal charges and indict executives of the NAR, local real estate associations, MLSs, and more. Many industry analysts and real estate attorneys deem this to be unlikely, yet not out of the realm of possibilities
Here is a list of brokerages NOT COVERED by the proposed $418 million NAR settlement, as their real estate companies exceeded $2 billion in residential transaction volume over the past four years. The high-volume Brokerages will have to facilitate negotiations regarding any future settlements on their own.
Buyers are not eligible for compensation from this lawsuit; however, it is anticipated Buyer lawsuits are forthcoming. Here at Ohio Broker Direct, we’re committed to keeping you updated on the latest developments in the real estate industry and what they might mean for you. Stay tuned for more information.
