Keller Williams announced it has agreed to a $70 million settlement in the Sitzer/Burnett lawsuit that challenged the commission structure of real estate professionals.
Company founder and Executive Chairman Gary Keller announced the settlement in an internal email, stating this agreement “releases individual agents and franchisees from copycat litigation filed in the wake of Sitzer/Burnett.” He added the decision was reached to protect the company from an extended and expensive future in courtrooms.
“We had full confidence in the strength of our appeal,” he continued. “But we also knew the appellate process could be long and unpredictable – and that our franchisees and agents would have no protection and complete uncertainty while that process played out over time. Our Keller Williams family needs and deserves protection now, not later.”
The terms of the settlement were not disclosed, although the company is reportedly seeking a deal similar to the ones achieved by Anywhere Real Estate and RE/MAX. HomeServices of America and the National Association of Realtors are the remaining defendants in Sitzer/Burnett lawsuit that have not agreed to a settlement.
