The Case is Stayed!

Read the full video transcript below:

Anthony Lamacchia: This case is stayed pending ruling by Judge Bough on the near proposed settlement. Those are hand written words by Judge Patty B Sarris in Boston yesterday. On June 24th, 2024. This is something that you wrote into a prior filing that went into the court system last Friday in the MLS PIN select case. Both sides have been making their arguments for weeks. I’ve done past videos on them, and now given I think all of the DOJ pressure and the research that the judge has probably done, she has decided to stay the case. Now, many have asked me, what does that mean when a judge stays a case? That means the case is essentially put on hold, and she makes it clear here that it is put on hold pending the proposed NAR settlement by Judge Bough. So in my eyes, folks, this is a big victory for the Department of Justice and a victory for, in my opinion, lead plaintiff attorney Michael Kaczmarek, because now essentially the entire country of cases is under Judge Bough ruling. I’ve been vocal before, and I’m not going to go on and on about it, but it’s pretty clear that Judge Bough in his opinions, are those that are usually against the way that real estate has been for 100 years or so he usually rules against and are and against the way that things have been in, in my opinion, in doing that also against the good for buyers in transparency, etc.. So what does this mean? Well, this means that for now it looks very possible or very likely that business will be able to continue to be done the way that it’s been done in MLS, at least until Winter.

Now that’s providing that MLS doesn’t decide on their own to just say, forget it. We’ll go along with the NAR settlement, which I have no idea if they’re going to do, but the entire settlement is pretty darn clear. You have all all MLS is and realtors and companies have until August the 17th to adhere to the NAR settlement guidelines, which is no compensation being offered in the MLS or you’re not covered under the settlement. So there’s a bit of a a dilemma here. There’s a bit of a, you know, there’s some conflicting interests here. And I don’t necessarily blame either side, be it any proposed settlement or the MLSPIN proposed settlement or the folks at MLS when they tried to take a hard stance for what they believe is best. And I think they did that in their response two weeks ago. 

And I think they did a terrific job. As I mentioned in my prior videos here on crushing and real estate, they said, how could a right be taken away from a seller? This is an argument I’ve been making since October. Home sellers or sellers of any product in the world should have the right to offer compensation out. They should have the right to do that and how could you ever stop them from doing that? Well, the Department of Justice feels differently. They apparently don’t have a problem bumping up against the First Amendment or things like that. So they’ve applied enough pressure that this Judge Patti B. Saris , who so far seems to be working very hard on the case and been very fair on it.

This judge, who last December said she loved, in her words, the settlement. Here we are at the end of June. Now she’s putting a stay on the case. even though both sides have, for the third time said they’ve agreed on the proposed settlement. So why did that happen? Well, let’s put ourselves in the shoes of Judge Patti B. Saris. And you all know I’m not an attorney, right? I’m not at all. But I’m surmising and giving some opinions on what I think goes on. And obviously, a lot of those opinions come from my likely conversations with advisers and attorneys that I have in my circle. So in her shoes. Well, if I approve this proposed settlement, as is now, I’ll effectively be the only judge approving the only MLS in the country to operate by still offering compensation. Now, make sure not to get confused with what I just said. I recognize that some other MLS may still offer compensation. Northwest MLS I give them a ton of credit. Three weeks ago on a video when they came out and said, we’re going to still offer it, but there’s a difference between northwest MLS and MLSPIN right now.

At the present moment, northwest MLS, as I’m doing this video isn’t under any lawsuit. They don’t have a judge to answer to. They probably recognize and accept the fact that they’re likely going to be in one. But at this moment they don’t. So the judges looking at it, saying, wait, if I approved this proposed settlement as is, I’m effectively setting a precedent as a federal judge that it is okay to continue offering the offering, the allowance of offering compensation, be it seller to to buyer’s agent, whatever.

She is hesitant to do that because then it goes against what the vast majority of the country will be doing. So what does this mean for realtors, broker owners, and everyone that is using MLSPIN? My company and our Realtors included this mean folks. She’s leaning towards going along with the national settlement, which means commissions are coming out of MLS and all the MLS is, including probably MLSPIN.

And at some point here, will it be before August 17th? Will it be six months from now after this? you know, she cited, plaintiffs show file with supplemental preliminary approval, of settlement within 30 days of that ruling, the United States will have 90 days. So this gets us into, like, February and March. Will compensation be allowed to be offered in MLSPIN between now and then? Maybe. I’m not exactly sure now, but folks, it’s pretty clear that it’s coming out at some point. So as I’ve said before, if you are a realtor who doesn’t know how to negotiate your compensation within your transaction to discuss it with your buyer, negotiated with your buyer, negotiate it, through listing agent, seller within the transaction. You’ve got a problem, you’ve got a problem. And this stay on this case tells me that even more so, a lot of decisions are going to have to be made in the next month between various broker owners and all parties that are involved here that operate in MLS, PIN, various other MLS, etc. and I will be out with more updates as I see fit as the team sees fit over the next few weeks. 

But in the meantime, realtor friends and broker owner friends, I would hurry up and make sure you are on top of this thing and make sure you have yourselves completely ready to be negotiating these things throughout the transaction. Which, by the way, has been going on for decades. But there’s a little, less confusion when it’s transparently offered in the MLS and it’s open for everybody to see. That’s an easier way and a more transparent way to do business that is better for buyers and sellers alike. But now there’s going to have to be more verbal back and forth, various new forms, etc. that’s all folks. I hope that makes sense. Stay tuned in here to crushing in real estate. YouTube. keep an eye on my, Instagram as well as it in real estate Instagram. And I’ve been putting out some, more messaging on Twitter as well. That’s all folks. Thank you.

 

Learn more about Anthony Lamacchia