What is the file date for the Moehrl case against Remax?
Remax Franchise · 2025 FDDAnswer from 2025 FDD Document
A number of putative class action complaints were filed against the National Association of Realtors ("NAR"), Anywhere Real Estate, Inc. (formerly Realogy Holdings Corp.), HomeServices of America, Inc. ("HSA"), RE/MAX, LLC and Keller Williams Realty, Inc. The first was filed on March 6, 2019, by plaintiff Christopher Moehrl in the United States District Court for the Northern District of Illinois (the "Moehrl Action"). Similar actions have been filed in various federal courts. The complaints make substantially similar allegations and seek substantially similar relief. For convenience, all of these lawsuits are collectively referred to as the "Moehrl-related antitrust litigations." In the Moehrl Action, the plaintiffs allege that a NAR rule that requires brokers to make a blanket, non-negotiable offer of buyer broker compensation when listing a property, results in increased costs to sellers and is in violation of federal antitrust law. They further allege that certain defendants use their agreements with franchisees to require adherence to the NAR rule in violation of federal antitrust law. Amended complaints added allegations regarding buyer steering and non-disclosure of buyer-broker compensation to the buyer. While similar to the Moehrl Action, the Moehrl-related antitrust litigations also allege: state antitrust violations and claims against a multiple listing service ("MLS") defendant rather than NAR. Among other requested relief, plaintiffs sought damages against the defendants and injunctive relief. RE/MAX, LLC filed motions to dismiss in the Moehrl Action, Burnett Action, and Nosalek Action which were denied in October 2019, October 2020 and December 2021, respectively.
Source: Item 3 — LITIGATION (FDD pages 21–29)
What This Means (2025 FDD)
According to Remax's 2025 Franchise Disclosure Document, the initial Moehrl Action was filed on March 6, 2019. This lawsuit, filed by Christopher Moehrl in the United States District Court for the Northern District of Illinois, is central to a series of related antitrust litigations. The plaintiffs in the Moehrl Action allege that a National Association of Realtors (NAR) rule requiring brokers to make a blanket, non-negotiable offer of buyer broker compensation when listing a property results in increased costs to sellers and violates federal antitrust law. They further claim that Remax uses its agreements with franchisees to enforce adherence to this NAR rule, also in violation of federal antitrust law.
The Moehrl Action and its related litigations have seen several amended complaints adding allegations regarding buyer steering and non-disclosure of buyer-broker compensation to the buyer. These lawsuits also include state antitrust violations and claims against multiple listing service (MLS) defendants rather than just NAR. The plaintiffs are seeking damages against the defendants and injunctive relief. Remax filed motions to dismiss in the Moehrl Action, Burnett Action, and Nosalek Action, all of which were denied by the courts.
The ongoing nature of the Moehrl-related antitrust litigations and the various filings, motions, and settlements indicate that this is a complex and potentially costly legal issue for Remax. Prospective franchisees should be aware of these legal challenges and their potential impact on the Remax business model and operations. It is important to note that Remax denies the material allegations in these complaints and entered into the Settlement after considering the risks and costs of continuing the litigation.