This new MLS policy, effective May 1, requires NAR members of MLSs, who desire to market listings privately, or “off-market,” do so only with the written permission of the seller (informed consent) while also making the MLS aware of the fact that the listing agent has been engaged the seller.
On Monday, May 11, The National Association, California Association, and the San Francisco Association of REALTORS (NAR, CAR and SFAR) were named in a new federal antitrust lawsuit challenging the newly implemented "Clear Cooperation Policy."
The lawsuit was filed Monday in the U.S. District Court for the Northern District of California by Top Agent Network (TAN), a San Francisco-based, members-only platform for real-estate agents.
Top Agent Network (TAN), launched in 2010, is a members-only networking and communication platform for real-estate agents who can show that they are in the top 10% of producers in their geographic area.
Its roughly 10,000 members, pay between $475 and $675 in annual dues, and use the platform to share information about off-market listings, which are for sale but not in the MLS.
That policy is now against NAR rules, said Mr. Faudman, TAN founder. “We’re concerned that this could put a huge damper on TAN, to the point that it destroys the business. ”
He went on to say that the new policy harms home sellers because it prevents them from choosing to market their homes privately if they wish (does anyone see the potential for a fair housing dilema). In actuality, the policy does not prohibit Off Market or Off MLS, it merely requires the informed consent of the seller and notification to the MLS.
Referencing sellers, he said:
“They don’t want to have to expose the property to very single Tom, Dick and Harry real-estate agent and their clients,” he said.
Great exposure has always been looked at as a benefit in the sale of most homes, and limiting the Toms, Dicks, Harrys, and Janes can be counter to the best interest of the seller, and possibly a fair housing violation.
