Online Brokerage REX Pursues Litigation Against Zillow & NAR
Summary
Earlier this year, NAR counter-sued REX, claiming the company made false and misleading advertisements and statements about its services to deceive consumers. REX alleges in the lawsuit and brief filing that the segregation rule was put in place to protect “outrageously high” commissions brokers collect on homes sold through the traditional mortgage process. REX states that it harnesses digital technology and predictive analytics to bring commissions down to as low as 2% to 2.5%, saving consumers millions of dollars. Although REX Home Loans may have shut down operations, the company retained one high-profile attorney to carry them through the litigation process: David Boies, who has previously represented Al Gore, Harvey Weinstein, and multiple accusers against Jeffrey Epstein. As the U.S. Supreme Court has long held, going along with an illegal scheme is as much a violation of federal antitrust law as the creation and promotion of one.