MLS PIN moves forward with settlement changes despite lack of final approval

By Housing News

Despite
lacking
final
court
approval

and
while
facing
vocal
disapproval
from
the

Department
of
Justice



MLS
Property
Information
Network

has
decided
to
move
forward
in
implementing
some
of
the
changes
outlined
in
its

settlement
agreement

for
the
Nosalek

commission
lawsuit
.

In
an
email
sent
to
MLS
PIN
customers
on
June
20
and
obtained
by

HousingWire
,
the
MLS
states
that,
effective
immediately,
listing
brokers
and
agents
are
able
to
submit
listings
to
its
platform
without
offering
any
cooperating
compensation
to
the
buyer’s
broker,
as
outlined
in
its
settlement
agreement.

“If
your
seller
instructs
you
not
to
offer
compensation,
enter
a
value
of
0
into
the
compensation
fields
in

Pinergy

[the
MLS
platform],”
the
email
states.

The
email
also
notes
that
MLS
PIN
is
not
opting
into
the
nationwide commission
lawsuit
 settlement
agreement
 reached
by
the National
Association
of
Realtors
 (NAR),
choosing
instead
to
move
forward
with
its
own.

“Even
though
MLS
PIN’s
rules
changes
presented
as
part
of
the
settlement
in
Boston
are
still
awaiting
final
court
approval,
MLS
PIN
has
decided
to
start
implementing
those
rules
changes
now,”
the
email
states.
“If
the
Court
in
Boston
does
not
approve
our
settlement,
we
may
need
to
further
modify
our
rules
and
Pinergy
or
revert
to
our
previous
rules.”

Some
of
the

additional
changes

that
MLS
PIN
is
looking
to
implement,
as
outlined
in
its
settlement
include:

  • “Offers
    of
    compensation,
    if
    any,
    will
    be
    made
    by
    the
    seller.
    Listing
    brokers
    and
    cooperating
    brokers
    will
    no
    longer
    split
    commissions.
  • Listing
    agreements
    must
    disclose
    that
    the
    seller
    is
    neither
    required
    to
    offer
    compensation
    nor
    required
    to
    accede
    to
    any
    cooperating
    broker’s
    request
    for
    compensation.
    The
    listing
    broker
    must
    disclose
    this
    to
    the
    seller
    before
    the
    seller
    signs
    the
    listing
    agreement.
  • If
    a
    seller
    elects
    to
    offer
    compensation,
    the
    listing
    agreement
    must
    also
    say
    that
    the
    cooperating
    broker
    will
    be
    an
    intended
    third-party
    beneficiary
    of
    the
    agreement
    with
    the
    right
    to
    enforce
    the
    same.
  • Before
    posting
    a
    listing,
    the
    listing
    broker
    must
    certify,
    in
    a
    checkbox
    designated
    for
    this
    purpose
    in
    Pinergy,
    that
    the
    listing
    broker
    has
    notified
    the
    seller
    of
    the
    seller’s
    rights
    not
    to
    offer
    compensation
    and
    not
    to
    accede
    to
    a
    cooperating
    broker’s
    request
    for
    compensation.”

MLS
PIN
did
not
specify
when
these
changes
would
be
put
in
place.
But
in
two
emails
dated
June
24,
also
obtained
by
HousingWire,
the
MLS
told
customers
that
new
data
fields
would
be
“made
available
in
the
Property
Resource
for
Compensation
within
roughly
30
days.”

The
new
fields
are
related
to
cooperating
compensation
offered;
facilitator
compensation
offered;
sub-agent
compensation
type;
cooperating
agent
compensation
type;
facilitator
compensation
type;
and
the
new
option(s)
to
the
compensation
based
on
field
(compensation
not
offered
and
potential
compensation
not
offered
on
the
MLS).

According
to
the
email,
the
database
field
for
the
Property
Resource
for
Compensation
“will
be
null
or
empty
if
the
broker
selects
‘Not
Offered’
under
the
two
new
compensation
fields
and
the
already
provided
Sub
Agency
Compensation
field.
If
any
of
the
three
fields
return
null
or
is
empty,
please
display
‘Not
Offered’
for
compensation.”

In
June
2023,
MLS
PIN
reached
a
settlement
agreement
with
the
Nosalek
plaintiffs.
But
in
late
September
of
last
year,

the
DOJ
intervened,

stating
that
it
had
“significant
concerns”
about
the
settlement. 

In
February
2024,
the
DOJ
filed
a

statement
of
interest

in
the
Nosalek
suit,
in
which
it
called
for
the
end
of
cooperative
compensation.
Earlier
this
month,
MLS
PIN
and
the
Nosalek
plaintiffs
filed

a
legal
brief

in
which
they
expressed
their
disagreement
with
the
DOJ’s
position
on
cooperative
compensation
and
urged
Judge
Patti
B.
Saris,
who
is
overseeing
the
suit,
to
approve
the
settlement.

Earlier
this
week,
Saris
delayed
her
own
ruling
on
MLS
PIN’s
settlement
agreement
until
after
the
court
overseeing
the
final
approval
of
NAR’s
settlement
agreement
issues
a
decision
in
late
November.

The
DOJ
did
not
return
a
request
for
comment.

 

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