A Big Nothing...will not pass. Commission is negotiable and clients choose to pay. 

We shall see what happens. I disagree with one of the comments in the article; I think if the law passes, the new system might actually strengthen the concept of buyer agency because agents would be more vested in working with a particular buyer and maybe work harder.

My understanding is that the lawsuit is about sellers not being told that they are also paying the buyer's agency.  Not about changing commissions.

Don't you love these frivilous law suits - there's no antitrust actions going on here - everything sellers sign is negotiable. Period!

The winners here, once again, are only the attorneys.

I don't see this having any impact as nothing is being done that's anti-competitive or harmful to the seller.  So what if buyers have to pay their agent directly?  They'll just take it off the price they can afford to offer.  The net to the sell will still be the same.

Let's say you hypothetically have a 6% rate on a 1,000,000 listing.  6% of that is 60,000.  What does it matter if the seller pays $60k on 1m or $29,100 on $970,000  The end result is essentially still the same ($900 difference).

I don't know your market, but in mine buyers are barely able to afford the prices.  There is no way they could afford the prices plus a hypothetical 3% agent commission.  I'd imagine some flat rate "help u sell" type buyers agents companies will be formed and buyers agents will have to learn to handle commission objections and join the "race to the bottom" that some listing agents are engaged in.

All things are Negotiable in Real Estate. I am not losing any sleep.

Jayne,

 $$$$$$$$$for attorneys on both sides...A

This was discussed here recently Jayne Combs NMLS#222444 and I'm confident that there will be no major change in our industry because of this suit.

Another distraction to ignore.

This will take so long to adjudicate, I have given this very little thought.

My thoughts....pay your Association dues and do what you can do to protect our industry from those who wish to end it.

I've heard.  I waste no time thinking about that.  

Let's see how thing progress before commenting about it. 

I don't know how it will work out. All I know is that it will be on the Plaintiff to prove their case. 

You will have to cope with changes as they come.

My opinion is that all sellers and buyers have the right to negotiate, noting this and with the internet today if someone says they do not know the splits they are under a rock.

Do away with commissions and go to a fee-based module and both will pay more. 

Sellers are not "forced" to do anything.  Commissions are always negotiable. If they don't like the terms, they shouldn't sign the listing agreement. 

So many laws already to protect the public from confusion, or stupidity, maybe they should be spending more efforts on education.

This is merely the tip of the iceberg and we all had better hope this gets thrown out of the Court. It is up to the parties of any contract to either agree, disagree or amend the terms. The Courts need to stay out of it

Commssions ARE negotiable. I think the attorneys are the ones who will win with lots of billing

You better read into this a little different. The portion of the suit is price fixing. What you just stated is, there in fact is a change needed.

There is no price fixing in the industry. There are many different models to the industry that sellers can use.

Commissions are negotiable. Some charge more than others. Exclusive buyer agency would be more prevalent!

commissions are negotiable.... 

When I was new in real estate, I joined a team. The team owner once told me I took to long to go over contracts. Sigh. There in lies part of the problem. It is OUR JOB to be well versed in every point of our promulgated contracts whether it be a listing agreement, buyers agreement, residential contract. It is OUR JOB to review the contract with the client. The industry is partly to blame. We have allowed mediocrity for a LONG time. (Some brokerages operate like puppy mills.) Commissions are very clearly addressed in our promulgated forms in Texas. Anyway, if it changes, it changes. We will have to adapt and overcome. There is no sense crying in our tea towels.

I will wait and see how this pans out before worrying.  I don't see how it can fly, but will see.

Commissions have always been negotiable.

Some business models in the USA do have agents being paid by the one who hired them.

The issue that is really being addressed is how BROKERS have man-handled how REALTORS are able to conduct business.

If BROKERS/FRANCHISES don't get their act together, someone just may cancel their show completely.

In Florida, we are  considered Residential Transactions Brokers unless otherwise stated as single agency or non-representation. In my area, it is not common to have a Buyer's Agency Agreement where the Buyer agrees to a Buyer Agent Commission. The Commission is handled in the Listing Agreement and there is a specific section that covers what portion of the listing fee, if any, is paid as a cooperation fee to the Buyer's Agent, per the MLS.  The split is not always even and can depend on what type of representation the Buyer has, if any.

Not sure how a class action suit will be enforced state to state, with each state having different types of Agency, ie Single, Dual, Transaction, Non-Representation., even if  the same company or franchise, like a RE/Max operates in multiple states.

Seems like the normal frivolous lawsuit that make attorneys money and does very little for our Industry.

Sellers have a choice, pay the buyer agent commission and open their house up to the largest pool of buyers or not pay the ba commission and wait for a buyer with a lot of cash to buy their home.

I don't believe this will go anywhere, but if we could go back in time; Every REALTOR use to work for the Seller and it was Buyer beware. That is what I refer to as back in the "Good ole days" !!

My thought is that the final decision will not be in the best interest of the plaintiff and will substantially disrupt Buyer Agency.

I have met many agents who bring doubt and distrust to the industry and to cause the many to wonder how you can make this type of money for what they do (or don't)? Then there are those worth every penny (plus). If commissions change it doesn't change me or what I do. My intellectual property stands! People who have savvy, skills and charity always go on

Just read it and found this paragraph interesting:

"Some brokers challenged allegations in the suit, such as buyer agents refusing to show homes with low commission splits. Alexis Eldorrado, managing broker of Eldorrado Chicago Real Estate, told me that “in reality, if the buyers have found the place they want and are interested in seeing it, NAR’s code of ethics requires the agent to show it.”

That reads like we, the buyer's agent, MUST show a home when asked? Does that include FOR SALE BY OWNER where there is no agreement?

I am not working up a sweat about the outcome of this lawsuit. I do not believe the plaintiffs will be successful. 

I think I will be long retired before anything like this happens...

No idea...

Don't believe it will go anywhere.

Wow Jayne, I did not know, thanks for the information

The fees here can not be lower.