Broker Challenges NAR’s MLS Control: “They Keep Overreaching”

The real estate industry’s relationship with the National Association of Realtors faces mounting challenges as multiple lawsuits emerge nationwide. Texas broker Lou Eytalis recently joined others in challenging NAR’s mandatory membership requirements for MLS access (see lawsuit complaint below), with similar cases in Michigan, Pennsylvania, and Louisiana. These suits coincide with controversy over NAR’s Standard of Practice 10-5, which has sparked First Amendment challenges from both brokers and agents who argue the rule improperly restricts speech by banning hate speech and discriminatory language on personal social media accounts.

These legal challenges come amid a turbulent period for NAR, which faces scrutiny over sexual harassment allegations, spending practices, and commission lawsuits. The Free Speech Coalition, representing real estate professionals across multiple states, argues that NAR’s speech restrictions exceed their authority and violate constitutional rights. Meanwhile, Eytalis and others contend the mandatory membership issue extends beyond fees – it’s about forcing change within an organization they believe has lost touch with members’ needs. While NAR maintains local organizations control MLS access rules, their intervention preventing Phoenix Realtors from offering membership-free MLS access suggests otherwise. The convergence of these suits – challenging both membership requirements and speech restrictions – represents growing industry pushback against NAR’s regulatory reach.



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