Research suggests Compass is suing Zillow over a policy banning listings not on the MLS within 24 hours of public marketing, escalating a long-standing dispute.
It seems likely that the lawsuit claims Zillow's actions are anticompetitive, aiming to maintain market dominance, while Zillow defends it as promoting transparency.
The evidence leans toward this being part of an ongoing industry debate over private versus public listings, with both sides having valid points on consumer choice and market fairness.
Background
Compass, a major real estate brokerage, has filed a lawsuit against Zillow, a leading online real estate platform, over Zillow's new policy set to ban listings not added to the Multiple Listing Service (MLS) within 24 hours of being publicly marketed, effective June 30, 2025. This policy aligns with the National Association of Realtors' (NAR) Clear Cooperation Policy, aiming for market transparency.
The Lawsuit
Compass alleges Zillow is using "anticompetitive tactics" to protect its market dominance, claiming the policy harms their strategy of offering private exclusive listings first, which they argue benefits sellers with privacy and control. The lawsuit, filed on June 23, 2025, in New York federal court, accuses Zillow of breaking federal antitrust laws and names Redfin as a co-conspirator, though not a defendant
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Long-Running Fight
This lawsuit escalates a years-long tension between Compass and Zillow over how real estate listings should be handled. Compass pushes for private listings to give sellers more options, while Zillow advocates for broad, public exposure to ensure fairness and access for all buyers, reflecting differing views on market practices
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This note provides a detailed examination of the lawsuit filed by Compass against Zillow on June 23, 2025, regarding Zillow's policy on privately marketed listings, and the broader context of their ongoing dispute. It explores the specifics of the lawsuit, the underlying industry tensions, and the implications for the real estate market, offering insights for industry stakeholders and analysts.
The US real estate industry has been marked by evolving practices in how properties are listed and marketed, particularly with the rise of digital platforms like Zillow, which boasts about 227 million unique monthly visitors and a database of 160 million properties
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On June 23, 2025, Compass filed a lawsuit in federal court in Manhattan, alleging that Zillow is engaging in "anticompetitive tactics" and breaking federal antitrust laws by enforcing this policy
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The lawsuit also names Redfin as a co-conspirator, though not a defendant, suggesting Compass believes other major players are supporting Zillow's policy, potentially to maintain market positions
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Zillow defends its policy as implementing the NAR's Clear Cooperation Policy, which requires listings to be submitted to the MLS within one business day of public marketing to ensure transparency and fairness
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This lawsuit escalates a long-standing feud between Compass and Zillow, rooted in differing views on listing practices. Compass has been pushing private listings, arguing they offer sellers benefits like privacy, control, and the ability to test the market without immediate public exposure, appealing to high-net-worth clients and celebrities
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The tension has been evident in earlier exchanges, such as Robert Reffkin's pushback against Zillow's policy in June 2025, highlighting alternative platforms like Homes.com and Realtor.com
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Historically, the real estate industry has seen similar disputes, such as in 2019 when Zillow and Compass settled lawsuits over employee poaching, indicating a pattern of legal battles
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Below are tables summarizing key details of the lawsuit and policy:
Aspect | Details |
---|---|
Lawsuit Filed Date | June 23, 2025 |
Court Location | Federal court, Manhattan, New York |
Compass's Claim | Zillow's policy is anticompetitive, breaking antitrust laws |
Zillow's Policy Effective Date | June 30, 2025, with phased rollout starting May 28 |
Policy Details | Bans listings not on MLS within 24 hours of public marketing |
Co-Conspirator Named | Redfin, not a defendant |
Company Position | Stance |
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Compass | Private listings offer privacy, control; Zillow's policy harms competition |
Zillow | Policy ensures transparency, aligns with NAR's Clear Cooperation Policy |
The evidence suggests that Compass's lawsuit against Zillow, filed on June 23, 2025, is a significant escalation in their long-running dispute over listing practices, with Compass challenging Zillow's policy banning listings not on the MLS within 24 hours of public marketing as anticompetitive. Zillow defends this as promoting market transparency, aligning with NAR's Clear Cooperation Policy. This conflict reflects broader industry debates on private versus public listings, with implications for consumer choice, market fairness, and competition in the real estate sector.
Compass Sues Zillow, Accusing Site of Gate-Keeping Home Listings - The New York Times
Compass Sues Zillow as Fight Over Private Home Listings Heats Up - Bloomberg
Compass sues Zillow over private listings policy - HousingWire
Zillow to stop showing certain home listings in late May under new listing policy - USA Today
Real Estate Brokerages Fight Over How Houses for Sale Should Be Listed - The New York Times
The feud between Robert Reffkin, Zillow rages on - HousingWire
NAR Introduces New Flexibility for Sellers While Retaining Clear Cooperation Policy - NAR
NAR Introduces New MLS Policy to Expand Choice for Consumers - NAR
Zillow Group and Compass settle no-compete dispute between real estate heavyweights – GeekWire
Compass Sues Zillow for ‘Joint Boycott’; Accuses Redfin and eXp of Co-Conspiracy - RISMedia
Compass sues Zillow over its "Zillow ban," alleging antitrust breach - CBS News
Zillow will begin banning noncompliant listings on June 30 - HousingWire