What is the relationship between Anywhere and Corcoran in the Moehrl lawsuit?
Corcoran Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 3: LITIGATION]
B. Other Pending Litigation.
- Christopher Moehrl, individually and on behalf of others similarly situated v. The National Association of Realtors, Realogy Holdings Corp., HomeServices of America, Inc., Re/Max Holdings, Inc., and Keller Williams Realty, Inc., (Case No. 1:19-cv-01610, United States District Court for the Northern District of Illinois). On March 6, 2019, plaintiff, Christopher Moehrl, filed a putative class action against Anywhere and the other named defendants. Plaintiff claims that the defendants engaged in a continuing contract, combination, or conspiracy to unreasonably restrain trade and commerce in violation of Section 1 of the Sherman Act, because defendant The National Association of Realtors ("NAR"), established mandatory anticompetitive policies for the MLSs and its member brokers regarding the setting and payment of the buyer broker commission. Plaintiff further alleges that the defendant franchisors conspired with NAR by requiring their respective franchisees to comply with NAR's policies and Code of Ethics. Plaintiff seeks a permanent injunction enjoining the defendants from requiring sellers to pay the buyer broker or to otherwise restrict competition among buyer brokers, an award of damages and/or restitution, including treble damages with joint and several liability, attorneys' fees and costs of suit. On April 15, 2019, a related case was filed in the same district against the same defendants, making similar claims and seeking similar relief on behalf of the same potential class. The related case is captioned Sawbill Strategic, Inc. v. The National Association of Realtors, HomeServices of America, Inc., Keller Williams Realty, Inc., Realogy Holdings Corp., and Re/Max Holdings, Inc. (Case No. 1:19-cv-02544, United States District Court for the Northern District of Illinois). On May 17, 2019, Anywhere and the other defendants filed Motions to Dismiss the Moehrl matter. On June 14, 2019, plaintiffs in the Moehrl and Sawbill matters filed a Consolidated Amended Class Action Complaint, which consolidated the two Illinois actions and added certain additional plaintiffs and defendants. On August 9, 2019, Anywhere and the other defendants filed Motions to Dismiss the consolidated complaint and on October 2, 2020, the Court denied NAR's and other
[Item 3: LITIGATION]
On October 5, 2023, Anywhere entered into a nationwide Settlement Agreement with the Moehrl and Burnett plaintiffs for $83.5 million (the "Anywhere Settlement Agreement").
In exchange for monetary, injunctive, and cooperation commitments outlined in the Anywhere Settlement Agreement, plaintiffs and the "Settlement Class" agree to release and discharge Anywhere and its respective subsidiaries, related entities, affiliated franchisees, and independent contractors, from any and all claims arising from or relating to conduct that was alleged or could have been alleged in the Moehrl and Burnett actions based on any or all of the same factual predicates for the claims alleged in the Moehrl and Burnett actions, including but not limited to commissions negotiated, offered, obtained, or paid to brokerages in connection with the sale of any residential home.
On November 20, 2023, the Court granted the motion for preliminary approval of the Anywhere Settlement Agreement.
The Court granted final approval of the Anywhere Settlement Agreement on May 9, 2024.
The final approval has been appealed by several parties and is currently pending in the Eighth Circuit Court of Appeals.
Copycat Antitrust Cases: Since October 2023, dozens of copycat antitrust lawsuits with similar or related claims, seeking similar relief on behalf of the same potential class, were filed against various real estate brokerages, NAR, MLSs, and/or state and local Realtor Associations, about a third of which name Anywhere, its subsidiaries, the Real Estate Affiliates and/or franchisees of us and the Real Estate Affiliates. In those cases, plaintiffs have generally either agreed to dismiss or stay the actions against Anywhere, its subsidiaries or franchisees pending the conclusion of the appeals of the trial courts' grant of final approval of the nationwide Anywhere Settlement Agreement in the Moerhl and Burnett matters, as described in the Moehrl litigation disclosure in this Item 3.
Source: Item 3 — LITIGATION (FDD pages 18–25)
What This Means (2025 FDD)
According to Corcoran's 2025 Franchise Disclosure Document, Anywhere Real Estate Inc., formerly known as Realogy Holdings Corp., was a defendant in the Christopher Moehrl lawsuit. The plaintiff in the Moehrl case claimed that Anywhere and other defendants engaged in a conspiracy to restrain trade in violation of the Sherman Act related to the setting and payment of buyer broker commissions. The plaintiff also alleged that the defendant franchisors, including Anywhere, conspired with the National Association of Realtors (NAR) by requiring their franchisees to comply with NAR's policies and Code of Ethics.
Anywhere entered into a nationwide settlement agreement with the Moehrl and Burnett plaintiffs for $83.5 million. As part of this agreement, the plaintiffs and the settlement class agreed to release and discharge Anywhere, its subsidiaries, related entities, affiliated franchisees, and independent contractors from claims related to the conduct alleged in the Moehrl and Burnett actions. This settlement received final approval from the court, though it has been appealed and is currently pending in the Eighth Circuit Court of Appeals.
Several copycat antitrust lawsuits with similar claims have been filed against various real estate brokerages, NAR, and other related entities. In many of these cases, the plaintiffs have agreed to dismiss or stay the actions against Anywhere, its subsidiaries, or franchisees, pending the conclusion of the appeals related to the Anywhere Settlement Agreement. This indicates that the resolution of the Moehrl case and the subsequent settlement have significant implications for ongoing and future litigation involving Anywhere and its related entities, including Corcoran franchisees.