Boston Real Estate for Sale

Compass lawsuit agreement

Real estate brokerage company Compass Inc. will pay $57.5 million as part of a proposed settlement to resolve lawsuits over real estate commissions, the company said in a regulatory filing Friday.

The New York-based company also agreed to change its business practices to ensure clients can more easily understand how brokers and agents are compensated for their services, according to the filing with the Securities and Exchange Commission.

Among the policy changes Compass agreed to make, the company will require that its brokerages and their agents clearly disclose to clients that commissions are negotiable and not set by law, and that the services of agents who represent homebuyers are not free. It also agreed to require that its agents who represent homebuyers disclose right away any offer of compensation by the broker representing a seller.

Compass follows several big real estate brokerages and the National Association of Realtors in agreeing to settle federal lawsuits brought on behalf of home sellers across the U.S.

Keller Williams and Anywhere Real Estate, which owns brokerage brands such as Century 21 and Coldwell Banker, have reached separate settlement agreements that also include provisions for more transparency about agent commissions for homebuyers and sellers.


Byline – John Ford – Boston Seaport Condo Broker.

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Updated: Boston Real Estate Blog 2024

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