A legal showdown is brewing in the U.S. that could have ripple effects across the global real estate industry.
Compass, one of the largest brokerages in the United States, has filed a high-stakes antitrust lawsuit against property giant Zillow, challenging a new policy that Compass says restricts competition and undermines consumer choice.
At the heart of the lawsuit is Zillow’s new listing rule, which took effect on June 30, 2025.
The rule states that any home that’s publicly marketed must be listed on a Multiple Listing Service (MLS)- the agent-run databases that power platforms like Zillow – and published on Zillow within one business day.
If it’s not, Zillow will ban the listing from appearing on its site.
Compass calls foul
Compass says this move unfairly targets its multi-stage marketing approach, which includes “private exclusives” – listings shared first with Compass agents and their clients before going public.
The Washington Post reports this early access model allows sellers to test pricing or quietly gauge market interest before a broader launch.
Compass CEO Robert Reffkin said in a statement: “This lawsuit is about protecting consumer choice.
No one company should have the power to ban agents or listings simply because they don’t follow that company’s business model.
That’s not competition—it’s coercion”
Compass argues that by forcing immediate MLS syndication, Zillow is leveraging its massive reach to block innovation and limit how agents can serve clients.
The lawsuit, filed in the U.S. District Court for the Southern District of New York, is being led by Ken Dintzer, a prominent antitrust attorney who also represented the U.S. government in its case against Google.
In a statement emailed to CBS MoneyWatch, a Zillow spokesperson said Compass’ claims “are unfounded” and that it will fight the lawsuit.
“At the heart of this issue is a simple principle: When a listing is publicly marketed, it should be accessible to all buyers — across all platforms, including Zillow.
Hiding listings creates a fragmented market, limits consumer choice and creates barriers to homeownership, which is bad for buyers, sellers and the industry at large, especially in this inventory and affordability-constrained environment.”
With over 2 billion visits in Q1 2025, Zillow maintains it’s the digital gateway for home shopping—and that consumers expect comprehensive listings when they search.
“Real estate works best in the open, not behind closed doors,” said Zillow’s Chief Industry Development Officer Errol Samuelson.
“The vast majority of agents and consumers want the same thing: maximum exposure. More visibility means more competition, stronger offers, and better outcomes for both buyers and sellers.”
Zillow’s new rule mirrors a similar requirement from the National Association of Realtors (NAR) in the U.S., which aims to ensure cooperation between agents and discourage off-market “pocket listings.”
While the lawsuit is unfolding stateside, the core issues resonate globally, especially in Australia’s portal-dominated market.
As agents increasingly face algorithm-driven discovery, data ownership debates, and rising marketing costs, the question of who controls listing visibility is more relevant than ever.
