National Association of Realtors Faces New Antitrust Lawsuit Over Membership Rules

The National Association of Realtors (NAR) is contending with yet another antitrust complaint, this time from a Texas broker who alleges that the organization’s membership requirements violate federal competition laws.

Luz de Amor Eytalis, the broker for Strategic Realty in Wichita Falls, Texas, filed a lawsuit in U.S. District Court last week, followed by an amended complaint the next day. Representing herself, Eytalis accuses NAR, along with the Texas Association of Realtors (TAR), the Wichita Falls Association of Realtors (WFAR), and Paragon MLS Connect, of monopolistic practices that stifle competition within the real estate market.

According to her complaint, Eytalis takes issue with a rule that requires Realtors to join local, state, and national associations to gain access to the Multiple Listing Service (MLS). She argues that this arrangement constitutes an illegal “tying agreement,” which she claims unfairly restricts alternative options and competition in the real estate industry.

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In her lawsuit, Eytalis is seeking $5.8 million in damages, as well as unspecified restitution and punitive damages. Additionally, she has requested a jury trial and a court declaration that the membership agreements violate antitrust laws. She has further called for the creation of a new MLS system that does not mandate membership in all three organizations as a condition of access.

This lawsuit adds to the growing list of antitrust challenges faced by NAR, with similar suits previously filed in Michigan, Pennsylvania, and California.

In an emailed statement, a spokesperson for NAR stated that the organization would address the claims in court. The statement emphasized that “NAR does not require that MLS access be limited to NAR members,” and clarified that MLS operations are managed at the local level, with each MLS determining its own participation criteria.

Source: Housing Wire