Council of MLS Launches $1M Legal Fund to Counter Compass Litigation Threats

The Council of Multiple Listing Services has launched a legal action fund exceeding $1 million to help member MLSes defend against litigation threats from Compass over listing marketing rules, CEO Jessica Edgerton said. Only member MLSes may seek grants, though contributors extend beyond MLSes to other industry groups. Grant applications are expected to open within weeks. The Chicago-based trade group, which counts 241 MLS members, said the fund will cover "legal matters of significance" to the broader industry under written eligibility criteria, conflict-of-interest procedures and independent antitrust review. The move follows Compass CEO Robert Reffkin's warning at a CMLS conference that the brokerage is "prepared to sue any MLS that fines or punishes agents for publicly marketing office exclusives," setting an Oct. 6 deadline. California Regional MLS sued on the eve of that deadline, and as of Thursday six MLSes across Arizona, California, Colorado and North Carolina had filed suits seeking rulings that their policies comply with antitrust law.