The Raygun of Lawsuits: Hardy v. NAR

The latest lawsuit is an expression of frustration, but it will go nowhere fast

Ten months ago, when the RE/MAX and Anywhere settlements were announced, I posited that the clause in those settlements that prohibited RE/MAX and Anywhere from requiring REALTOR membership was a big deal. Greg and I discussed it in an Industry Relations podcast episode back then:

But as longtime readers know, I have long thought that the MLS and the REALTOR Association should get divorced, and that the commission lawsuits may be the final straw that breaks that camel’s back.

Well, this week, a few brokers filed a class action lawsuit in federal court in Michigan now named Hardy v NAR. Inman has the story, and uploaded the actual complaint. Which is always good.

Let me give you all the TL;DR — This might be one of the worst drafted complaints I have seen in quite some time. The attorney appears to know nothing about real estate, about the MLS, about REALTOR Associations, didn’t do any real research, and just kinda let stream of consciousness take over. I truly believe ChatGPT could have written a better legal brief. One can never tell when it comes to lawsuits, but I do think this one is a slam-dunk win for the defendants. Unless…

The important takeaway, however, is that a lawsuit points to the obvious frustration from the industry with organized real estate as a whole and with NAR in particular. That this complaint is the legal equivalent of a Raygun breakdance routine is no reason to completely disregard it.

Plus, there is that “unless” to consider….

Let’s dig in.