Dear CAR Member,
As your President, I have pledged to keep you as informed as possible on key litigation events as they occur. Yesterday, C.A.R. was named as a defendant in a second copycat class action antitrust lawsuit filed in California federal court (Central District). The lawsuit, Freedlund v. Redfin Corporation et al., is against NAR, Redfin and C.A.R. Similar to the Fiero suit filed last month, this new lawsuit alleges that the defendants conspired to engage in anticompetitive conduct relating to NAR’s cooperative compensation rule. The plaintiff is an individual who sold her house in 2021 and was represented by a Redfin agent in that transaction.
As I noted last month when I updated you about the first lawsuit, we believe these allegations are without merit for several reasons, and we are ready to present those arguments in court. C.A.R. has retained highly experienced antitrust defense counsel to work with our own legal team. As a reminder, due to the current litigation against C.A.R. and various other ongoing antitrust cases, C.A.R. will not comment on aspects of this case; however, we will continue to do our best to keep you informed of significant developments to the extent appropriate.
You know well how to represent your value to clients, and I know you do this every day. Please continue to have transparent discussions with your clients about how you are paid, and how compensation is structured. C.A.R. has proactively provided you with numerous resources to help you demonstrate your value to clients, and we hope you utilize these resources freely. C.A.R.’s list of 167 things REALTORS® do for their clients can be found on Smart Zone, our specially created website to help you navigate a challenging market. You’ll also find buyer agent resources, including legal guides, and educational resources for using the Buyer Representation and Broker Compensation Form, as well as business and legal tools on this site.
Thank you, as always, for your support, and know that we will continue to vigorously defend the Association and its practices to the best of our abilities.
Sincerely,
Melanie Barker
2024 C.A.R. President