Compass has joined the National Association of Realtors, Anywhere, Keller Williams and RE/MAX in settling the commission lawsuits.
In a document filed with the Securities and Exchange Commission on Friday morning, the Robert Reffkin-helmed firm announced that it had reached a nationwide settlement in relation to the Umpa and Gibson suits on Thursday.
As part of the settlement, Compass has agreed pay $57.5 million into the settlement fund, adding to the $626.5 million total from the four other settlements.
Additionally, like the three other brokerage firms that have already settled, Compass has agreed to make changes to its business practices as part of the settlement. These changes include that Compass firms will require or encourage agents to make it clear to clients that commissions are negotiable, that agents will have the freedom to set or negotiate commissions as they see fit, and that agents will not be required to make offers of compensation or accept offers of compensation from cooperating brokers.
“The settlement payment and other agreements resolve all nationwide claims home sellers made against Compass and we do not expect this to have any impact on our ability to serve you,” Reffkin wrote in an email. “By settling, Compass is not saying that we did anything wrong. The reason we have chosen to settle is so we can minimize distractions and focus on serving you and your clients.”
The settlement is still subject to final court approval.
