Weekly Real Estate News
Compass CEO Robert Reffkin has escalated the brokerage’s fight with multiple listing services, saying MLS organizations that continue to penalize agents for publicly marketing office-exclusive listings could face antitrust lawsuits beginning in mid-October.
Reffkin delivered the ultimatum at the Council of Multiple Listing Services’ Open House conference, according to reporting from the event. He said MLS organizations have until Oct. 6 to agree to the changes Compass is seeking.
The remarks materially escalate a dispute WRE covered Wednesday, when California Regional MLS rejected Compass’ demands and announced plans for an MLS Cooperation Legal Defense Fund. CRMLS said it is preparing for potential litigation while also leaving open the possibility of an amicable resolution.
Compass is challenging how MLS rules apply to public marketing
At the center of the dispute are listings that sellers choose not to submit to an MLS for cooperation but that a brokerage wants to market publicly.
Compass argues agents should be permitted to publicly market those office-exclusive listings without MLS fines or discipline. Reffkin said Compass is prepared to bring antitrust claims against MLS organizations that continue imposing such restrictions.
CRMLS disputes Compass’ characterization of its rules. In its Sept. 30 response, CRMLS said Rule 7.9 already permits a seller to authorize full public marketing without submitting a property to the MLS for cooperation. CRMLS argues the dispute instead concerns whether a brokerage can withhold a listing from cooperative distribution while using MLS data and maintaining control over access to the seller and property.
CRMLS describes that practice as “free riding.” Compass rejects the premise that public marketing should trigger MLS cooperation requirements.
An Oct. 6 deadline raises the stakes
Compass’ Sept. 8 demand letter to CRMLS set an Oct. 6 deadline for the MLS to agree that it would not fine or punish agents for publicly marketing office-exclusive listings. The letter threatened federal antitrust litigation if CRMLS refused.
CRMLS did refuse. The organization says it will defend its rules and has announced plans to create a legal defense fund supported by organizations that favor cooperative listing access.
Compass, meanwhile, has indicated that MLS organizations agreeing to its requested changes before the deadline would receive a release of Compass’ claims and access to a data feed of Compass office-exclusive listings.
Those are the parties’ legal positions, not judicial findings. No court has ruled in this dispute that CRMLS’ challenged rules violate antitrust law, nor has a court ruled that Compass’ proposed approach constitutes unlawful free riding.
The dispute reaches beyond one California MLS
The fight is part of a broader industry battle over private listings, public marketing and control of listing data. WRE has followed that conflict through Compass’ settlement with Northwest MLS and other disputes involving listing access and private networks.
The next date is unusually concrete: Oct. 6. If Compass follows through on its stated litigation strategy after that deadline, a policy dispute already reshaping MLS rules could move into a new round of federal antitrust litigation.
