TAN and NAR have agreed to dismiss their lawsuit, according to court documents filed on Monday. However, Top Agent Network can re-file charges or bring the case to another court in the future.
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A lawsuit filed by the Top Agent Network (TAN) against the National Association of Realtors (NAR) has been dismissed for a second time, according to legal filings.
As of Monday, TAN and NAR notified Judge Vince Chhabria that they had agreed to dismiss the lawsuit without prejudice. Each party will cover their own attorneys’ fees and expenses, the filing specified. The designation of “without prejudice” means that the plaintiff is allowed to re-file charges or bring the case to another court.
“The National Association of Realtors (NAR) and Top Agent Network (TAN) announce that they have reached an agreement under which TAN will dismiss its pending antitrust case against NAR without prejudice,” a joint statement from TAN and NAR sent to Inman said.
“This pause will allow NAR to continue to deliberate the future of the Clear Cooperation Policy, including any possible interpretations or modifications.”
Asked whether any money changed hands between TAN and NAR as part of a settlement or other agreement and whether TAN planned to re-file the suit at a later date, TAN declined to comment.
TAN originally filed the lawsuit in May 2020 to “stop NAR and its affiliates from conspiring to shut down competition, disrupt the relationship between real estate agents and their clients, and take away a family’s freedom to choose how to market their home for sale.”
The lawsuit was filed in response to NAR’s Clear Cooperation Policy, which was adopted in May 2020 and requires listings to be put on the MLS within 24 hours of being publicly marketed. Agents from TAN argued that homesellers should have more of a choice in the matter of putting their homes up on the MLS. This year, the policy has become more contentious as the U.S. Department of Justice (DOJ) has continued to scrutinize NAR’s practices, and many real estate leaders have weighed in on whether or not the policy should continue as-is, be abolished or be amended.
“While most homesellers prefer to market through the MLS — which generally puts a listing before the most eyeballs the fastest — at any given time a significant percentage of consumers prefer not to do so,” an amended complaint filed in Oct. 2024 stated.
“Many consumers wish to preserve their privacy and do not want to host viewings or have their property widely available for viewing on a listing website,” the complaint continues. “Other consumers engage in limited off-MLS marketing to ‘test the waters’ to determine the appropriate price for their home listing on the local MLS — MLSs retain listing data and overpricing a home on the MLS and failing to achieve a quick sale can lead to a lasting drop in the property’s value.”
The court initially dismissed the lawsuit in 2021 with prejudice, arguing that TAN was the wrong plaintiff for such a lawsuit against NAR, since the network’s business model in itself was allegedly anticompetitive.
TAN later appealed the ruling to the Ninth Circuit Court of Appeals. In 2023, the appeals court vacated the lower court decision in ruling that allegations made in TAN’s lawsuit were nearly equal to allegations made in a lawsuit filed by the PLS.com — a lawsuit that had been allowed to move forward.
In December 2023, the lawsuit was reopened by Judge Chhabria and TAN filed a motion for reconsideration in May 2024. Judge Chhabria granted that request in July 2024, stating that TAN had “adequately alleged antitrust injury.”
The San Francisco Association of Realtors had been an original defendant in the lawsuit, but in October 2024, TAN decided to focus its legal battle on NAR and removed the San Francisco Association of Realtors as a defendant.
The years’-long legal battle at last appears to be resolved — at least for now.
Inman Deputy Editor Andrea V. Brambila contributed reporting for this story.
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