Keller Williams is the latest defendant to reach a settlement in the landmark commission lawsuits that have shaken up the real estate industry. Per court filings on Feb. 1, the brokerage has agreed to pay $70 million and change business practices moving forward.
The deal was jointly negotiated with the plaintiffs in both the Sitzer-Burnett case and the Moehrl case. The deal aims to shield Keller Williams from any future lawsuits from sellers regarding commissions, though the court will have to rule is such protections will be granted.
“I’m relieved to share that we have negotiated a nationwide settlement of the Sitzer | Burnett case–on terms that protect our agents, our franchisees, and our industry,” Gary Keller, executive chairman of Keller Williams, said in a company-wide e-mail. “Crucially, the settlement releases individual agents and franchisees from copycat litigation filed in the wake of Sitzer/Burnett.”
As we previously reported, last fall, RE/MAX and Anywhere announced that their respective settlement offers had received preliminary approval from the courts. Anywhere said it would settle Sitzer-Burnett and Moehrl for $83.5 million, while RE/MAX announced it’s settling for $55 million.
The deals leave the National Association of Realtors and HomeServices of America as the remaining defendants in the aforementioned suits.