eXp moves to dismiss fraud allegations in Acevedo suit
After
being
dragged
back
into
the
Acevedo
sexual
assualt
lawsuit,
eXp
Realty
and
its
parent
company
eXp
World
Holdings
are
again
seeking
to
dismiss
the
claims
against
them.
In
late
October,
the
Acevedo
suit
plaintiffs
filed
their
third
amended
complaint,
in
which
they
accused
eXp
of
fraudulent
misrepresentation
in
regards
to
their
handling
of
the
investigation
into
the
plaintiffs’
claims
of
sexual
assault.
Originally
filed
in
February
2023,
and
first
amended
shortly
thereafter,
the
suit
centers
around
claims
from
four
women
that
suspended
eXp
agent
David
Golden,
now-former
eXp
agent
Michael
Bjorkman
and
eXp
agent
Brent
Gove
violated
federal
sex
trafficking
laws
by
ignoring
or
participating
in
alleged
sexual
assaults.
Over
the
course
of
the
lawsuit’s
three
year
tenure,
eXp
and
its
founder
Glenn
Sanford
have
been
accused
of
negligent
hiring,
however
these
claims
against
Sanford
and
his
firm,
have
been
dismissed.
In
their
third
amended
complaint,
which
arose
after
the
completion
of
discovery,
the
plaintiffs
claimed
that
they
have
evidence
that
their
sexual
assault
claims
were
not
investigated.
In
the
amended
complaint,
the
plaintiffs
claimed
that
eXp
executives
lied
both
privately
and
publicly
about
investigating
their
allegations
of
sexual
assault
and
harassment.
The
new
claims
cite
evidence
uncovered
during
discovery,
which
includes
notes
from
a
call
between
eXp’s
senior
vice
president
of
agent
compliance
Cory
Haggard
and
Bjorkman
stating
that
the
firm
was
“not
investigating.”
Both
Haggard
and
Jim
Nuth,
another
eXp
executive
who
was
also
on
the
call,
noted
during
their
depositions
that
this
point
was
conveyed
during
the
call.
In
its
filing,
eXp
notes
that
the
plaintiffs
agree
that
the
firm
took
statements
from
the
platings
and
looked
into
their
allegations,
claiming
that
this
is
evidence
of
action
taken.
The
filing
also
notes
that
it
has
since
separated
itself
from
both
Bjorkman
and
Golden,
claiming
that
it
acted
“as
soon
as
the
accusers
brought
(incidents)
to
our
attention”
Additionally,
eXp
notes
in
the
filing
that
in
addition
to
taking
written
statements,
it
also
spoke
with
legal
counsel,
offered
to
speak
to
witnesses,
and
held
meetings
with
its
Agent
Compliance
Committee.
“Being
unhappy
with
the
manner
in
which
the
investigation
was
conducted,
or
the
results
of
the
investigation,
are
simply
not
the
same
thing
as
the
eXp
entities
falsely
representing
that
an
investigation
was
being
conducted,”
the
filing
states.
In
addition,
eXp
argues
that
the
plaintiffs
have
failed
to
meet
the
legal
standard
of
fraud
with
the
allegations
they
have
made,
claiming
that
they
have
“made
no
allegation”
that
any
of
the
executives
deposed
were
speaking
on
behalf
of
the
company
when
they
made
those
statements.
If
the
judge
does
not
dismiss
the
fraud
claim
as
eXp
has
requested,
the
firm
is
asking
that
the
court
delays
the
trail
to
allow
for
more
discovery,
a
move
the
plaintiffs
are
opposing
as
the
suit
has
already
been
delayed
five
times.
In
an
emailed
statement,
an
eXp
spokesperson
wrote
that
the
claims
are
“entirely
without
merit”
and
that
it
intends
to
“defend
the
case
vigorously.”
“eXp
is
committed
to
maintaining
a
workplace
and
community
that
is
inclusive,
respectful,
and
aligned
with
our
core
values,”
the
spokesperson
added.
“We
have
robust
policies
in
place
to
address
misconduct
and
retaliation,
and
we
do
not
tolerate
behavior
that
violates
those
standards.”





