Compass and CRMLS Are on a Collision Course Over Office Exclusives

Full disclosure: I am a Compass agent. What follows is reporting, not a legal opinion, and I want you to know where I sit.

Compass had demanded that CRMLS stop fining agents who publicly market office-exclusive listings by Oct. 6, or face a federal antitrust lawsuit. On Sept. 30, CRMLS refused. It also announced a legal defense fund and said it will countersue.

The fines at issue are 1% of the list price, with a minimum of $500 and a maximum of $2,500. Compass CEO Robert Reffkin has said the company plans to begin filing MLS lawsuits in mid-October.

CRMLS has its own position. It says its Rule 7.9 already allows sellers to market their homes publicly off the MLS.

What an office exclusive is

It is a listing that is marketed through a brokerage's own channels and not put on the MLS right away. Whether that is good for sellers is a real argument, and reasonable people disagree. Supporters say it gives sellers control over how and when their home is shown. Critics say it can limit the exposure that helps a seller get the best price. I think sellers deserve to hear both sides, and I'm always glad to walk through them.

What it means for you

For now, very little changes on the ground. If you are listing your home, your options and your agent's recommendations are what matter, not the headlines. I'll tell you plainly what I think serves your goals, including when that means maximum exposure.

If you are a buyer, the practical effect depends on how the dispute plays out. Access to listings is something I'll keep watching on your behalf.

This is a fight between large institutions, and both sides have strong incentives. I expect more news in the coming weeks, starting with whatever happens after the Oct. 6 deadline. I'll keep you posted as things develop.

Sources: Inman, The Real Deal.