What specific law is alleged to be violated in the lawsuits against Christies International Real Estate?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
In late 2023 and early 2024, six class action lawsuits were brought against national real estate brokerage and sales companies, including Parent, us, and Christie's International Real Estate Group, LLC, related to certain real estate listing policies, which are alleged to be anticompetitive and in violation of certain antitrust laws, described below. Aside from the Umpa case discussed below, these cases are stayed while the Judicial Panel on Multidistrict Litigation determines whether some or all of these actions should be consolidated for purposes of pretrial proceedings. These actions are in their infancy and no discovery has occurred. The relief sought in each of these matters include requests for (i) a determination that the action may be maintained as a class action, (ii) an order declaring the Defendants' actions to violate the law, (iii) damages and/or restitution for class members, (iv) pre- and post-judgment interest, (v) plaintiff's costs of suit, (vi) a permanent injunction enjoining the defendants from continuing conduct determined to be unlawful, and (vii) other relief as deemed appropriate. The six class action lawsuits are as follows: 1925 Hooper LLC et al v. The National Association of Realtors et al., Case No. 23-CV-05392 (N.D. Ga. filed Nov. 22, 2023). Putative class action on behalf of nationwide class of persons who engaged a listing broker affiliated with any defendant anywhere in the United States and incurred a commission payment to the buyer's broker in connection therewith from December 6, 2019 through the date of case filing. This case was dismissed following the announcement of the settlement in Umpa v. The National Association of Realtors et al.
Burton v. Bluefield Realty Group, LLC et al. – Case No. 24-cv-01800-JDA (D.S.C.). Putative class action on behalf of statewide class of persons from November 6, 2019, through the date of case filing who used a listing broker in the sale of a home listed on an MLS in the District of South Carolina. This case is stayed during the pendency of the appeals of the order granting final approval of the settlement in Umpa v. The National Association of Realtors et al.
Friedman v. The Real Estate Board of New York, Inc. et al, Case No. 24-CV-00405 (S.D.N.Y.), originally 23-CV-09601 (E.D.N.Y. filed Dec. 29, 2023). Putative class action on behalf of class of persons who sold residential real estate in REBNY Brooklyn using the services of a broker defendant and paid a buyer broker commission from January 18, 2020 through the date of case filing. Christie's International Real Estate LLC was voluntarily dismissed following the announcement of its settlement in Umpa v. The National Association of Realtors et al.
March v. The Real Estate Board of New York et al, Case No. 23-CV-09995 (S.D.N.Y. filed Jan. 1, 2024). Putative class action on behalf of class of persons who sold residential real estate with the Real Estate Board of New York Listing Service Universal Co-Brokerage Agreement Rules and Regulations from November 8, 2019 through the date of case filing. This case is stayed during the pendency of the appeals of the order granting final approval of the settlement in Umpa v. The National Association of Realtors et al.
Tuccori v. At World Properties, LLC, Case No. 24-CV-00150 (N.D. Ill. filed Jan. 05, 2024). Putative action on behalf of nationwide class of persons from March 17, 2000 through the date of case filing who purchased residential real estate listed on a NAR Multiple Listing Services ("MLS") in a transaction with a buyer-agent and/or seller agent employed by or otherwise affiliated with Company or any of its franchisees, subsidiaries, agencies, or otherwise affiliated entities. The parties have agreed to a settlement framework and the case is stayed while the plaintiff attempts to meet the steps necessary to advance the settlement towards resolution.
Umpa v. The National Association of Realtors et al., Case No. 23-cv-000945 (W.D. Mo. filed Dec. 27, 2023). Putative class action on behalf of nationwide class of persons from December 27, 2019 through the date of case filing who used a listing broker affiliated with any corporate defendant in the sale of a home listed on an MLS, and who paid a commission to a cooperating broker in connection with the sale of the home. Parent filed an individual and joint motion to dismiss and a motion to strike arbitrating class members. In November, 2024, the court issued a final approval of the settlement in this case.
Source: Item 3 — LITIGATION (FDD pages 11–13)
What This Means (2025 FDD)
According to Christies International Real Estate's 2025 Franchise Disclosure Document, the company, along with its parent and Christie's International Real Estate Group, LLC, faces several class action lawsuits alleging violations of antitrust laws. These lawsuits, filed in late 2023 and early 2024, concern certain real estate listing policies that are claimed to be anticompetitive. The plaintiffs are seeking various forms of relief, including a declaration that the defendants' actions violate the law, damages and/or restitution for class members, pre- and post-judgment interest, costs of the suit, and a permanent injunction to prevent the defendants from continuing the allegedly unlawful conduct.
Several specific cases are mentioned in the FDD. For example, 1925 Hooper LLC et al v. The National Association of Realtors et al. was a putative class action on behalf of a nationwide class of persons who engaged a listing broker affiliated with any defendant anywhere in the United States and incurred a commission payment to the buyer's broker in connection therewith from December 6, 2019 through the date of case filing. Friedman v. The Real Estate Board of New York, Inc. et al, was a putative class action on behalf of class of persons who sold residential real estate in REBNY Brooklyn using the services of a broker defendant and paid a buyer broker commission from January 18, 2020 through the date of case filing.
These cases are generally in their early stages, with many stayed pending decisions on consolidation or appeals in related cases. One case, Umpa v. The National Association of Realtors et al., received final approval of the settlement in November 2024. The presence of these lawsuits indicates potential legal and financial risks for Christies International Real Estate and its franchisees. Prospective franchisees should carefully monitor the outcomes of these cases and consult with legal counsel to understand the potential impact on their businesses.