U.S. Court sides with Web-based real-estate agents in MLS dispute

November 30, 2006

A U.S. District Court Judge in Chicago has denied a motion to dismiss a Department of Justice case involving the National Association of Realtors policies allowing traditional (i.e. offline) real-estatate agents to block Web-based agents from posting real-estate listings online.

As it stands now, a broker who is a participant in the Multiple Listing Service cannot share the listings online without the permission of the listing broker.

The matter is contentious because without the overhead of traditional Realtor offices, Web-based agents- who often work out of their homes- can offer similar services but for less cost.

"This provision would prevent (an online real-estate broker) from providing over the Internet the same (listing information) provided in person, or through any non-Internet technology without restriction," Judge Mark Filip of the U.S. District Court of the Northern District i Ukkubius in a decision late Tuesday.

The National Association of Realtors says it will appeal the ruling, and expects the ultimate decision to be in its favor.