Real Estate Giants Found: In a significant legal development, the National Association of Realtors (NAR) and several residential brokerages have been found guilty by a Missouri jury of conspiring to artificially inflate commissions for home sales, resulting in a liability of $1.78 billion in damages. This verdict stems from a case brought forward by home sellers who, between 2015 and 2022, collectively raised objections to the commissions they were required to pay to buyers’ brokers.
The plaintiffs, encompassing the sellers of over 260,000 homes in Missouri, Kansas, and Illinois, asserted that the commission model stifled competition in the real estate industry. Despite the diminishing role of brokers as homebuyers increasingly turn to online platforms for property searches, commissions for buyer’s brokers remained in the 2.5% to 3% range. This verdict has the potential to be tripled to over $5.3 billion under U.S. antitrust law, though the ruling is subject to appeal.
Michael Ketchmark, the lead lawyer for the plaintiffs, hailed the ruling as a moment of accountability in the real estate sector. On the other hand, the defendants have consistently denied wrongdoing. The NAR emphasized that there was no evidence suggesting that agents were compelled to “make offers of compensation at all, let alone at amounts that stabilize, fix, or raise commissions.”
NAR President Tracy Kasper announced the association’s intention to appeal the liability finding, maintaining that NAR rules ultimately serve the best interests of consumers, support market-driven pricing, and foster healthy business competition. Both Berkshire-owned HomeServices of America and Keller Williams were also defendants in the case. HomeServices expressed disappointment in the verdict and plans to appeal, while Keller Williams is considering its options and affirming that this is not the end.
It’s noteworthy that Re/Max and Anywhere Real Estate, representing brands such as Century 21, Coldwell Banker, and Corcoran, were initially defendants in the case but chose to settle before the trial. Re/Max paid $55 million, while Anywhere Real Estate paid $83.5 million without admitting liability.
In a parallel legal development, the U.S. Department of Justice is seeking to revive an antitrust probe into the NAR’s practices, further underscoring the scrutiny faced by the real estate industry regarding its commission practices and competition regulations.
Also read: Santander Ambitious Move: Shedding 5 Billion Euros in Toxic Real Estate Assets
Our Reader’s Queries
How big was the largest human skeleton ever found?
Upon opening the tomb, a complete human skeleton was discovered. It measured an astonishing 30-1/2 feet in length, 10 feet wide across the shoulders, and 5 feet deep from the breast to the back. The teeth were as large as an ox’s foot, while the shin-bone alone measured an impressive 4 feet in length.
What are the giant skeletons found in Lovelock Cave?
In 1931, the Nevada Review-Miner reported the discovery of two colossal skeletons in a dry lake bed near Lovelock, Nevada. These massive remains measured 8.5 and 10 feet in height and were mummified in a style reminiscent of ancient Egyptian practices. This finding has sparked curiosity and speculation about the existence of giants in the past.
When did giants go extinct?
The colossal creatures featured in this video roamed the earth during the Pleistocene era, which spanned from 2.5 million to 11,000 years ago. Sadly, these magnificent beasts have been extinct for the past 60,000 years. Experts attribute their demise to a combination of early human hunting practices and a shifting climate.
Were there giants in Africa?
The remains of an unidentified giant from Africa’s ancient times consist of massive vertebrae and human-sized bones. During our expedition four years ago, we accompanied a local nomad on a motorbike to the site of the first skeleton. We were able to uncover just enough to estimate its length at an impressive 60 feet.