
Real Estate, Real Competition & The Law 

Offers U.S. home buyers and sellers an opportunity to substantially reduce the $60 billion they collectively spend annually on real estate brokerage commission fees. Chronicles what one lawyer believes to be a variety of anticompetitive practices being encountered by these innovators.
Post Frequency: 0.6/day Last Entry: August 03, 2009 at 16:46:00 Recent Entries: 33
By Michael Erdman
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What I've been up to - AgentsCompared.com
Posted on August 03, 2009It's been awhile since I last posted here, and for good reason. Going back to the summer of 2007 I've been developing an idea I've had about helping home buyers and sellers make more informed decisions when selecting a local real estate agent. Last month it came to fruition - AgentsCompared...
Overview of USA v. NAR proposed Final Judgment
Posted on May 27, 2008Here's a quick overview of the proposed Final Judgment ("PFJ") filed earlier today in USA v. National Association of Realtors. Note that before Judge Kennelly will consider and potentially enter the judgment, one or both parties will need to formally file a motion requesting same with the Court...
Settlement in USA v NAR?
Posted on May 27, 2008A stipulation signed by attorneys for both parties and a proposed final judgment (not yet entered by Judge Kennelly) just appeared on the Court's online docket. Perhaps the July 7 trial, which was to last approximately a month, has been averted? Keep in mind that a final judgment and/or other dispositive order has not yet been entered by the Court...
Ninth Circuit: Roommates.com largely unprotected by Section 230
Posted on April 04, 2008Earlier today the U.S. Court of Appeals for the Ninth Circuit, in Fair Housing Council of San Fernando Valley, et al v. Roommate.com, LLC, issued an en banc ruling that rejects the majority of the website's assertions of Section 230 immunity. For purposes of this (lengthy) post, I will assume you are familiar with the facts of the case and previous rulings...
Victory for ZeroBrokerFees.com in New Hampshire
Posted on April 01, 2008Yesterday Magistrate Judge James Muirhead ruled in favor of ZeroBrokerFees.com in the website's suit challenging the applicability of the New Hampshire Real Estate Practice Act - specifically the licensure requirement - to the operation of ZeroBrokerFees...
7th Circuit rules in favor of Craigslist
Posted on March 14, 2008Here's the decision. It looks like my prediction was pretty much on the mark.In an opinion by Judge Easterbrook, the 7th Circuit has affirmed Judge St. Eve's grant of Craigslist's motion for judgment on the pleadings. In other words, the Court ruled that Section 230 protects Craigslist from the Fair Housing Act claims contained in plaintiff's complaint...
Illinois anti-rebate legislation (HB 4313)
Posted on February 18, 2008An Illinois broker recently informed me that State Representative Robert Molaro (who himself does not appear to be a licensed broker or salesperson in Illinois) has introduced anti-rebate legislation in Springfield. The bill is scheduled to be heard this Thursday by the Judiciary I - Civil Law Committee...
Seventh Circuit considers whether Section 230 protects Craigslist from Fair Housing Act claims
Posted on February 18, 2008Last Friday the U.S. Court of Appeals for the Seventh Circuit, based here in Chicago, heard oral arguments in the plaintiff?s appeal of Chicago Lawyers? Committee for Civil Rights Under Law, Inc. (?CLC?) v. Craigslist Inc. (?Craigslist?). CLC, as you may recall, is appealing Judge St...
Oral Argument in Craigslist Litigation
Posted on January 07, 2008The Seventh Circuit will hear oral argument (fifteen minutes per side) in Chicago Lawyers Committee for Civil Rights Under the Law, Inc. v. Craigslist Inc. on February 15, 2008. We won?t know the panel?s composition until the morning of, but I?m crossing my fingers Judge Easterbrook will be selected so we can see how his thinking has evolved, if at all, since the Circuit?s 2003 GTE ruling...
Realcomp wins Round 1 with the FTC
Posted on December 13, 2007Here's an excerpt from today's press release from the Federal Trade Commission:In an initial decision filed on December 10, 2007 and announced today, Chief Administrative Law Judge (ALJ) Stephen J. McGuire dismissed a Federal Trade Commission complaint issued last year against a realtors? group in southeast Michigan, ruling that ?upon review of the totality of the evidence ...
Another MLS settles with the FTC over alleged anticompetitive practices
Posted on December 12, 2007From the Federal Trade Commission's press release of earlier today:The Federal Trade Commission today charged Multiple Listing Service, Inc. (MLS), a group of real estate professionals based in Milwaukee, Wisconsin, with violating the antitrust laws by adopting rules that withheld valuable benefits of the multiple listing service it controls from consumers who chose to enter into non-traditional listing contracts with real estate brokers...
Judgment entered against Idaho class on tying claims
Posted on December 04, 2007It's been over six months since anything material has come out of the four class actions pending in federal district court in Idaho. You'll recall the court previously certified the following class in these cases, which allege that each defendant illegally tied the purchase of undeveloped land to payment of a commission based upon the value of the land plus anticipated development thereon: All persons who: (1) bought an undeveloped lot in a subdivision in either Ada, Boise, Canyon, Gem or Owyhee county, Idaho between August 18, 2001 and February 28, 2006 in which Defendant has or had the exclusive right to market or sell the subdivision lots on behalf of the developer; (2) were required to build a house on the lot in order to buy the lot; and (3) were required to pay Defendant a commission based on the cost of the lot plus the actual or estimated cost of the house in order to buy the lot...
Court denies majority of Missouri Real Estate Commission's Motion to Dismiss KCPA's complaint
Posted on November 27, 2007After the defendants filed their motion to dismiss over the summer, it's been pretty quiet in Kansas City Premier Apartments v. Missouri Real Estate Commission, et al. [In a nutshell, KCPA filed suit earlier this year in a Missouri state court, seeking a declaration that MREC cannot require KCPA - which operates a website that displays apartments available for rent - to obtain a real estate license...
Court denies motion for arbitration in Home Quarters litigation
Posted on November 05, 2007It has been several months since I last wrote about the Home Quarters v. Realcomp action pending in Michigan. Last month, Magistrate Judge Whalen denied defendant MIRealSource's motion to compel arbitration and stay the litigation. The court relied in part on Judge Bucklo's recent decision in the Hackman suit pending in Illinois, stating that "[f]or virtually identical reasons, present Plaintiff's antitrust claims fall outside the 'disputes' contemplated by NAR's Manual, which, as in Hackman, was incorporated in its entirety into the arbitration agreement...
Federal antitrust enforcer nails another MLS
Posted on October 17, 2007Perhaps you've already read about it over at the InmanBlog, but if not, I see that the Department of Justice has reached a tentative settlement with the Multiple Listing Service of Hilton Head. The agreement would require the rescission of discriminatory membership rules which burdened non-traditional brokers, minimum service requirements, and the authority of the MLSs' trustees to adopt rules that could directly regulate commissions...
Chicago Lawyers' Committee files appellate brief in Craigslist litigation
Posted on October 13, 2007Complying with the recently announced filing deadline, the Chicago Lawyers' Committee has filed an appellate brief in its case against Craigslist, presently pending before the Seventh Circuit.Buried in a footnote is where I found the only reference to the Ninth Circuit's now-benched Roommate...
New federal website addresses competition in the real estate brokerage industry
Posted on October 10, 2007Earlier today Inman News' InmanBlog posted on a new website created by the U.S. Department of Justice's Antitrust Division that is intended to shine some light on anticompetitive real estate brokerage practices. A DOJ press release accompanied the site's launch...
Update on Chicago Lawyers' Committee v. Craigslist
Posted on September 24, 2007For those of you unfamiliar with this case, check out my guest post that appeared on May It Please The Court just after Judge St. Eve ruled last year on Craigslist's motion for judgment on the pleadings. After the court denied plaintiff's subsequent motion to reconsider, plaintiff appealed, and for the last six months the Seventh Circuit has suspended briefing, presumably to allow for a negotiated resolution...
UPDATE: U.S.A. v. National Association of Realtors
Posted on September 11, 2007District Judge Filip held a status hearing this morning in US v. NAR.Discovery closes in a few months (November 21), and NAR's counsel stated that his client would "quite likely" be filing a motion for summary judgment thereafter. The court directed that such motion should be filed no later than January 14, 2008...
Federal judge enters preliminary injunction against KREC Commissioners, rules certain state laws unconstitutional
Posted on September 04, 2007I've written about River Oaks Management v. Kentucky Real Estate Commission on several occasions (most recently here), and about an hour ago an anonymous commenter to an earlier post advised me that the court had ruled on several pending motions. Whoever you are, thank you! Here is a link to today's Order and accompanying Opinion...
Significant rulings in Hackman v. Dickerson Realtors, et al
Posted on August 31, 2007It has been some time since I last wrote about Greg Hackman's private antitrust lawsuit filed against multiple real estate players in Rockford, Illinois. But earlier today Judge Bucklo issued a 50 page opinion in the case, ruling on a number of motions that have been pending before her...
Online Liability Blog
Posted on August 24, 2007This post is admittedly a little off topic. No antitrust/competition angle here, but there is a real estate connection. Perhaps you recall the forsalebyowner case and/or the pending zerobrokerfees and kcpremierapts cases, each implicating licensing laws and the First Amendment? Or maybe you read about the Roommate...
Realcomp knowingly violates NAR rule, its CEO offers after-the-fact explanations for suspect Website Policy
Posted on August 09, 2007Last week the FTC (technically lawyers supporting the complaint) filed a post-trial brief in the FTC v. Realcomp matter. No surprises really, but I did come across two matters worth noting here. First, in several prior posts on this blog, I have wondered how it could be that Realcomp was enforcing its Website Policy, which among other things prevents EA listings from being uploaded to Realtor...
Amended Complaint filed in Louisville Price-Fixing litigation
Posted on August 06, 2007Late last week the remaining plaintiff in the Louisville price-fixing class action filed an amended complaint with the Clerk. I have not had an opportunity to review the filing, but understand that the only changes relate to the identities of certain parties...
Realcomp update
Posted on August 02, 2007Earlier this week Realcomp filed its post-trial brief in the FTC v. Realcomp matter.You'll recall that this case relates to Realcomp's "Web Site Policy" and its "Search Function Policy". Perhaps sensing a weakness in its case, Realcomp confirmed in its brief that "[i]n April, 2007, Realcomp repealed the Search Function Policy...
New complaint filed in RealComp private antitrust litigation
Posted on July 30, 2007A few months ago I wrote about a private antitrust lawsuit filed against RealComp II, Ltd. and MiRealSource in Michigan. For those of you following the case, I note that last Friday plaintiff filed an amended complaint. Unfortunately I have not had an opportunity to review the new pleading.
KCPA v. Missouri Real Estate Commission - Update
Posted on July 16, 2007Today the court hearing Kansas City Premier Apartments, Inc. v. Missouri Real Estate Commission held a status conference, which was attended by attorneys for both parties. As you may recall, I have previously written about this case, which is presently pending in Platte County, Missouri...
Louisville Price-Fixing Class Action - Preliminary Ruling
Posted on July 09, 2007In 2005 Casey W. Hyland, Graham Pullen and Christopher R. Burnette filed an antitrust class action complaint against numerous real estate brokerages in the United States District Court for the Western District of Kentucky. My understanding is that only Mr...
Inman News Innovator Awards - Most Innovative Blog Finalist
Posted on June 28, 2007I know that few of you know me personally, but I hope you will accept my claim that, generally speaking, I am not one to boast, regarding professional acknowledgments or otherwise.That said, I was pleased to see - and encouraged by others to share the fact - that Inman News, which annually bestows various "Innovator Awards" upon real estate industry participants, has named this blog as a Finalist for "Most Innovative Blog...
Update on Marcus & Millichap litigation against the Kentucky Real Estate Commission
Posted on June 21, 2007I noticed this article in this morning's Courier-Journal, which highlights yesterday's oral arguments on a pretrial motion in the Kentucky litigation I introduced in an earlier post. While the suit mainly involves commercial brokers and commercial real estate, the underlying issue presented - the reach of a state real estate commission and its regulations - is applicable to all real estate brokers...
Kansas City Premier Apartments v. Missouri Real Estate Commission - Update
Posted on June 18, 2007Here is a copy of defendants? Answer and Motion to Dismiss, apparently filed on June 8, 2007, in Kansas City Premier Apartments, Inc. ("KCPA") v. Missouri Real Estate Commission (?MREC?), et al. In the pleading, MREC asks the Court to deny KCPA?s prayers for relief and rule that KCPA's business activities constitute the practice of a real estate broker and/or a real estate salesperson and is the basis for an order to enjoin KCPA from engaging in such conduct...
Federal Trade Commission v. Realcomp Joint Stipulation
Posted on June 18, 2007Barring some last minute settlement, the Realcomp trial is scheduled to kick off tomorrow in D.C.Just posted on the FTC's website is the parties' jointly-filed Stipulation as to Law and Facts. While the stipulation consists of ten pages, the exhibit list filed along with the stipulation covers sixty-three (63) pages...
Kansas City Premier Apartments v. Missouri Real Estate Commission
Posted on June 08, 2007As first reported by columnist Dan Margolies of the Kansas City Star on May 21, 2007, Kansas City Premier Apartments, Inc. (?KCPA?) filed a Petition in the 6th Judicial Circuit (Platte County) of Missouri on April 16 against the Missouri Real Estate Commission (?MREC?) and its five commissioners...

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Can I sue the executor of my fathers estate?
Get a lawyer. Not one you pay by the hour - a contingency based attorney. If he ...
My father and mother died with a will. The will states that the family house be sold and any money left be divided equally among the sibling. The house as a loan against it for $200.000. The executor of the estate (my si
Contest the will, this should lock things up in probate and prevent her from doi...
When selling an inherited home, how to make sure that the beneficiaries are taxed on the stepped up basis?
The cost basis at which the beneficiaries receive the property is the current fa...
He has half brothers and sisters and I would prefer his estate go to only one of his half brothers, as he is the only one who cares about his well being.
If intellectually disabled means that a person would not be found competent to p...
What is a survivorship deed?
It depends on the law of the state in which the real property is located....

Can I sue the executor of my fathers estate?
Get a lawyer. Not one you pay by the hour - a contingency based attorney. If he ...
My father and mother died with a will. The will states that the family house be sold and any money left be divided equally among the sibling. The house as a loan against it for $200.000. The executor of the estate (my si
Contest the will, this should lock things up in probate and prevent her from doi...
When selling an inherited home, how to make sure that the beneficiaries are taxed on the stepped up basis?
The cost basis at which the beneficiaries receive the property is the current fa...
He has half brothers and sisters and I would prefer his estate go to only one of his half brothers, as he is the only one who cares about his well being.
If intellectually disabled means that a person would not be found competent to p...
What is a survivorship deed?
It depends on the law of the state in which the real property is located....








