Eighth Circuit upholds NAR commission lawsuit settlement

The appeals court issued its judgment on seven consolidated appeals concerning the final approval of the nationwide settlement, which occurred in November 2024. The court rejected the objectors' arguments that the settlement was too broad, unfair to certain class members, improperly handled, or procedurally defective.

According to the court's opinion, the nationwide scope of the settlement was justified due to evidence of a nationwide conspiracy and the necessity of a nationwide release to achieve the settlement. The appeals court also dismissed claims that buyers were inadequately represented, stating that the practice changes benefit the entire class and that payments would consider commissions paid by class members.

Furthermore, the court found no due-process violation despite the district court requiring objectors to attend the fairness hearing in person, as objectors received notice, had an opportunity to present their objections, and their arguments were considered on their merits.

Parties involved have two weeks from August 19 to file a petition for rehearing. A spokesperson for NAR stated the trade group is pleased with the court's order and will continue to work towards fair, transparent, and pro-consumer real estate markets.