The settlement agreement has no bearing on the pending antitrust litigation NAR is defending against private parties. The DOJ complaint and settlement agreement focus on clarifying and enhancing transparency to consumers regarding compensation and access to properties, while the plaintiffs in the other civil suits seek to end the practice of cooperative compensation. NAR remains focused on supporting our members as they preserve, protect and advance the American dream of homeownership. 

Updated 2/25/21 

On February 25, 2021, NAR provided an update regarding ongoing negotiations with the DOJ. NAR is working on finalizing four updates to MLS Policies and the Code of Ethics. The four anticipated changes involve: 

1. MLS Policies may be updated to require that the amount of the offered cooperative compensation be made publicly available.

2. Code of Ethics Standard of Practice 12-1 may be amended to provide clearer restrictions on buyer/tenant representatives advertising their services as “free.”

3. MLS Policies may be updated to prohibit MLS from allowing listing agents and selling agents from filtering search results by the amount of the offered cooperative compensation. Bright MLS has already restricted this type of search.

4. MLS Policies may be amended to require, subject to seller’s prior approval, that licensed real estate agents will have access to lockboxes of properties listed on an MLS even if the agent does not subscribe to the MLS. This is already consistent with Article 3 of the Code of Ethics. NVAR members may issue One-Day Codes under the Regional Rules and Regulations for the SentriLock Lockbox System. MLS Policies will still allow MLSs and associations to require such agents to execute a lockbox agreement, be subject to the same security requirements, and pay a reasonable amount for such access. 

The final language is still subject to final agreement with the DOJ, approval by the court and approval by the NAR Board of Directors. NVAR will provide updates and guidance as soon as the final language is available and approved by the NAR Board of Directors. 

For more information, please see NAR’s website for a list of frequently asked questions related to this development: Click Here.

Updated 7/2/21

On July 1, 2021, the DOJ filed a notice of withdrawal of consent to the settlement agreement reached with NAR in November 2020 to make certain changes to the Code of Ethics and MLS Policies in exchange for DOJ closing their investigation. The DOJ also filed a motion to dismiss their complaint without prejudice. The notice of withdrawal and motion to dismiss without prejudice are subject to review by the United State District Court for the District of Columbia. 

At this time, the proposed rules changed negotiated as part of the settlement agreement are on hold as a result of the DOJ’s unanticipated action. NAR has fulfilled its obligations under the settlement agreement and remains confident in the pro-consumer and pro-competition policies in place. NAR is committed to continuing acting in the best interest of property buyers and sellers across the country and will continue to regularly update its rules and policies to protect consumers and provide transparency in the market.  

NVAR will continue to monitor the court proceedings and DOJ investigation. We will provide further details as soon as they are available. 

Updated 7/27/21

General Member Message Points on Antitrust Lawsuits

The National Association of Realtors® developed the following message points to make sure members are up to date and knowledgeable about the litigation and help guide their conversations with current and prospective clients.

Click here to read them.

Updated 9/16/21

On September 13, 2021, the National Association of Realtors® (NAR) filed a petition to quash the July 1, 2021 request by the DOJ to withdraw from the settlement agreement approved in November 2020. NAR argues that since the settlement agreement was fully binding and NAR had already begun to implement the agreement, the DOJ’s actions constituted a breach of contract and the law. NAR argues that the DOJ’s attempt to unilaterally withdraw from a settlement agreement for any reason, or no reason at all, undermines public policy which favors upholding settlement agreements and public confidence in the government. 

NAR’s statement regarding its petition can be found here: https://www.nar.realtor/newsroom/national-association-of-realtors-files-petition-to-oppose-department-of-justice-breach-of-settlement-agreement 

The petition to quash the DOJ’s withdrawal will be considered by the court. NVAR will continue to monitor the court proceedings and DOJ investigation. We will provide further details as soon as they are available.