Compass Real Estate in Another lawsuit – How many real estate lawsuits do they have?
It seems like every day, Compass is in another lawsuit, I guess if you’re backed by Wall Street money it doesn’t really matter.
Here’s the latest one, In October, Rainy Hake Austin jumped from head of operations for Compass’s West Coast division to president of a luxury brokerage firm called; The Agency. (When did the CIA get into the real estate business?) But seriously that’s the name of the real estate company, The Agency.
Back to the real estate lawsuit, when Austin tried to recruit former colleagues, Compass shut the door, citing a clause in her contract she had signed, according to Inman.
Don’t mess with The Agency –
Austin was with Compass since March 2019, when the brokerage acquired Northern California-based Alain Pinel Realtors, until her departure for Mauricio Umansky’s brokerage.
A Real Deal investigation earlier this year found that several current and former Compass agents said they had difficulty leaving the firm because of costly clawback provisions in their contracts they hadn’t fully understood at signing.
This is NOT Compass only real estate lawsuit
Compass has faced two other recent lawsuits. The brokerage, which went public on April 1, was sued days later by Pennsylvania-based brokerage Howard Hanna over alleged agent poaching and stolen trade secrets. Compass encouraged three former Hanna brokers to breach their contracts when they jumped ship, according to Hanna’s suit.
Compass has been on the offensive in court this year, as well. In late January, Compass countersued Realogy, alleging its rival was “flooding the market with false information about Compass” to hurt its business.
Source: [Inman] — Dennis Lynch
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Updated: Boston Real Estate 2021