NAR Update Lawsuit Settlement

I originally planned to provide a deep dive into our first-quarter market data this week, but unfortunately most of the county data is not expected to be released until later this week. I’ll make sure to get those updates out to you very soon so you can see how each of our markets is trending.

In the meantime, we have a huge industry development to discuss. Just when we thought the dust had finally settled from the 2024 Sitzer/Burnett case, last week brought another major shift in the real estate industry’s legal landscape. On April 10, 2026, the National Association of Realtors announced a settlement in the Tuccori v. At World Properties case. This week, I want to break down what this new settlement covers and show how it specifically impacts our agents. I also think it is very important to discuss where the DOJ currently stands. Let’s dive in…

Closing the Loop: The Tuccori Settlement

While the 2024 Sitzer/Burnett settlement focused on claims from home sellers, this new agreement addresses claims brought by home buyers. We have seen a number of copycat lawsuits since the Sitzer/Burnett settlement, but this is the one most industry leaders have been keeping a close eye on. Essentially, this Tuccori agreement settles allegations that buyer’s agent commissions were artificially inflated.

The Key Takeaways:

When Does All This Litigation End in Our Industry?

We are moving toward the finish line, but it’s not quite over yet. The following information on a timeline and outlook is from an article released by NAR last week on the Tuccori Settlement…

The Wild Card: The DOJ

While NAR is reaching agreements with private plaintiffs, the Department of Justice remains the most significant wild card in our industry.

The DOJ’s focus isn’t on settlement checks, it’s on price competition according to them. They are closely watching to see if the 2024 rule changes actually lead to lower costs for consumers. As they have stated in the past, their ideal goal is “total decoupling.” This is where buyers and sellers negotiate their own fees completely independent of one another.

Because commission averages have remained relatively steady despite the rule changes, they are staying involved in cases like Batton to ensure the industry is truly encouraging competition rather than finding workarounds. If commissions nationwide hover around the traditional averages, the DOJ will likely continue to keep a close eye on our industry. They aren’t looking for one specific percentage, instead they are looking for a diverse market where prices fluctuate based on the value delivered.

It is worth noting that with the current DOJ, the threat of a government-mandated commission rate has dropped significantly. Instead of suing to change rules, they are more likely to push for deregulation in mortgage origination and construction to lower costs overall. The DOJ’s current priority leans more towards investigating large private equity firms and institutional investors who are buying up single-family homes in bulk. In our world this is a very positive shift and one we hope stays for years to come.

What this means for us: The DOJ views the cost of moving as a major priority for the American public. While they will likely continue to apply pressure to see more variety in pricing structures, this is also a massive opportunity for us. One of the DOJ’s primary goals is to break the assumption that every brokerage should earn the same commission regardless of what they bring to the table. We know that not every brokerage delivers an equal amount of service, technology, or expertise. A brokerage that provides limited support and minimal marketing should not necessarily expect to earn the same compensation as a full-service brokerage like ERA King.

At ERA King, we have already built our business model around this transparency. By clearly articulating our value and being open about how we are paid, we are already doing exactly what the DOJ wants to see, which is putting the consumer in control of the deal.

In Conclusion

This latest settlement is good news for our industry. It addresses the remaining legal exposure regarding buyer claims that wasn’t fully covered in the 2024 settlement. It validates that the path we’ve taken, which focuses on transparency and clearly defining our value, is the correct one. Our mission at ERA King hasn’t changed, we focus on the client and we always “Just Do the Right Thing.” I truly believe that ERA King agents are the best in the country. By acting as a trusted advisor through life’s biggest transitions, you play a vital role in shaping the growth, character, and long-term stability of the communities we call home. We will continue to keep everyone posted as this settlement and other happenings in our industry move forward.

I want to express my sincere appreciation for each and every one of you. As I visit our different markets and attend events throughout the year, one thing remains consistent, your unwavering support for our communities and local charities. This was on full display this past Saturday in Birmingham at an event that is incredibly near and dear to Faith and me. I know weekends are valuable, yet we still had an incredible ERA King crowd show up to support the event. The level of support you showed meant the world to us. I see this kind of overwhelming generosity across our entire company all the time, and it is truly special to be a part of.