The Burnett v. NAR lawsuit is the Missouri antitrust class action that ended with a $1.78 billion jury verdict against the National Association of Realtors in October 2023, more than $1 billion in follow-on settlements, and a set of nationwide rule changes that took effect in August 2024 governing how real estate agents get paid. Filed in 2019 by home sellers, the case attacked the long-standing practice under which listing agents advertised, through the multiple listing service, what a seller would pay the buyer’s agent. Appeals are still pending in the Eighth Circuit, but the practice changes are already in force across the country.
What the Sellers Claimed
The case, Burnett v. National Association of Realtors (Case No. 4:19-cv-00332-SRB), was filed in the U.S. District Court for the Western District of Missouri before Judge Stephen R. Bough. The named plaintiffs were home sellers who listed properties on MLSs affiliated with NAR.1U.S. District Court, Western District of Missouri. Case 19-CV-332
Their theory targeted NAR’s “cooperative compensation rule.” To list a home on an NAR-affiliated MLS, the listing broker had to make a blanket offer of compensation to any buyer’s agent who brought a buyer. Sellers ended up paying both sides of the transaction, and buyers had little reason to negotiate their own agent’s fee because they weren’t the ones writing the check. Plaintiffs argued that this arrangement eliminated price competition among buyer agents and kept commissions locked at a customary 5–6% of the sale price.2The New York Times. NAR Antitrust Lawsuit
The October 2023 Verdict
Several defendants settled before trial. Anywhere Real Estate, the parent of Coldwell Banker, Sotheby’s International, and Corcoran, paid $83.5 million. RE/MAX agreed to $55 million.3The Real Deal. How the Broker Commissions Battle Blew Up
The remaining defendants — NAR, HomeServices of America, and Keller Williams — went to a Kansas City jury. On October 31, 2023, that jury found them liable for conspiring to inflate commissions and awarded roughly $1.78 billion in damages.2The New York Times. NAR Antitrust Lawsuit Under federal antitrust law, that number could have been trebled to more than $5 billion.3The Real Deal. How the Broker Commissions Battle Blew Up
The Settlement Payments
Facing the possibility of trebled damages and years of appeals, the losing defendants moved toward a global resolution. NAR agreed to pay $418 million into a settlement fund. HomeServices of America agreed to $250 million. Keller Williams contributed $70 million. Additional brokerages that opted in pushed the total above $1 billion.4HousingWire. NAR Commission Lawsuit Settlement Approved5Hagens Berman Sobol Shapiro. Real Estate Broker Commissions Antitrust
Judge Bough granted final approval of the NAR and HomeServices settlements on November 26, 2024.6Bloomberg Law. Realtors Get Final Approval of $418 Million Antitrust Settlement
What Changed on August 17, 2024
The settlement did more than transfer money. It required two structural changes to how residential real estate is conducted anywhere an NAR-affiliated MLS operates, both effective August 17, 2024.
First, listing agents can no longer advertise what a seller will pay a buyer’s agent through the MLS. Compensation can still be negotiated between the parties off-MLS, but the automatic blanket offer that held the old system together is gone.7National Association of Realtors. Final Reminder of August 17 NAR Practice Change Implementation
Second, an agent working with a buyer must enter into a written agreement with that buyer, spelling out services and compensation, before the buyer tours any property.7National Association of Realtors. Final Reminder of August 17 NAR Practice Change Implementation
These rules remain in force regardless of what happens on appeal.8MetroTex Association of Realtors. Update on Sitzer-Burnett Appeals Process
Who Could File a Claim
The settlement class covered anyone who sold a home listed on an MLS in the United States and paid a commission to a brokerage within a designated window. Eligibility periods varied by MLS region. The earliest window began April 29, 2014, for sellers who used certain Missouri-area MLSs. Sellers in most of the rest of the country were covered from October 31, 2019. All eligibility periods ended on August 17, 2024.9Real Estate Commission Litigation. NAR Settlement FAQ
Claims went through JND Legal Administration at RealEstateCommissionLitigation.com. The filing deadline was May 9, 2025, and nearly 500,000 claims had been submitted by late November 2024.4HousingWire. NAR Commission Lawsuit Settlement Approved10Real Estate Commission Litigation. Frequently Asked Questions There is no fixed per-claimant payout. The fund will be split among approved claimants after attorneys’ fees, administration costs, and service awards, with pro rata reductions if approved claims exceed the money available.9Real Estate Commission Litigation. NAR Settlement FAQ
Payments are on hold. The settlement cannot become final and money cannot go out until appeals are resolved.11Real Estate Commission Litigation. NAR Settlement Status
The Eighth Circuit Appeal
A group of objectors filed appeals with the Eighth Circuit Court of Appeals beginning in late 2024.11Real Estate Commission Litigation. NAR Settlement Status The most prominent objector is Tanya Monestier, a law professor at the University at Buffalo, who has argued her own appeal pro se after filing a 136-page objection.
Monestier contends the plaintiffs never established the ongoing or imminent harm required for Article III standing to seek injunctive relief, because the named plaintiffs alleged only past injuries. She calls the practice changes “functionally unenforceable” and points to post-settlement commission data as evidence they are cosmetic.12University at Buffalo School of Law. Monestier Reply Brief She has also characterized the $333 million attorneys’ fee award as disproportionate against an estimated average class-member recovery of about $16.13HousingWire. NAR Settlement Appeal Law Professor Tanya Monestier
In September 2025, the Eighth Circuit denied an attempt by NAR and certain defendants to introduce filings from other commission cases into the appellate record.14Real Estate News. Appeals Court Rejects New Evidence in Sitzer-Burnett Case Oral arguments went before a three-judge panel of Judges Lavenski Smith, Ralph Erickson, and Jonathan Kobes on January 14, 2026, with 90 minutes covering damages, class standing, and settlement fairness.15Real Estate News. Appellants Have Their Final Say About Commissions Settlements A decision is expected by late summer or early fall of 2026.8MetroTex Association of Realtors. Update on Sitzer-Burnett Appeals Process
Related Cases and Homebuyer Claims
Burnett focused on sellers. Homebuyers have brought their own parallel cases. Batton v. National Association of Realtors in the Northern District of Illinois alleges that the same cooperative compensation rules inflated home purchase prices. The court allowed claims for injunctive relief and state-law damages to proceed in February 2024.16Justia. Batton v. National Association of Realtors
A separate case, Tuccori v. At World Properties, has become the primary settlement vehicle for buyer-side claims. In April 2026, NAR agreed to pay $52.25 million to resolve buyer claims through Tuccori, separate from its $418 million seller-focused deal. Firms including HomeServices of America, Anywhere Real Estate, and Realty ONE Group have opted in, bringing the total to roughly $106 million as of mid-2026.17Real Estate News. NAR, Elliman Opt Into Tuccori Homebuyer Settlement
Companion seller cases include Moehrl in the Northern District of Illinois, Gibson in the Western District of Missouri, and 1925 Hooper LLC in the Northern District of Georgia. Most of these were folded into or supplemented the Burnett settlements, though some non-settling defendants remain in litigation.18Cohen Milstein. Moehrl v. National Association of Realtors19Real Estate Commission Litigation. Gibson Settlement Status20Real Estate News. Judge OKs eXp, Weichert Deals After 18-Month Battle
Have Commissions Actually Dropped?
The evidence a year in is mixed. A CNBC report from August 2025, citing Redfin data, found the average buyer’s agent commission was 2.43% in the second quarter of 2025, slightly higher than 2.38% in the same quarter of 2024.21CNBC. Where Real Estate Commissions Stand a Year After New Rules Were Introduced Total commissions dipped from 5.64% to 4.96% in the months immediately following August 2024, according to RISMedia research, but the traditional practice of sellers covering the buyer’s agent fee has largely persisted.22Axios. Realtor Commission Broker Fee
In competitive markets, sellers still offer to cover buyer-agent fees to attract offers. As of March 2025, a near-record 44% of sellers were offering concessions to help buyers cover purchase expenses, including agent fees. Stephen Brobeck, a senior fellow at the Consumer Policy Center, told Axios that changes were coming “very slowly” as some brokers work to “preserve the old system.”22Axios. Realtor Commission Broker Fee
The Department of Justice has stayed skeptical throughout. When Judge Bough approved the NAR settlement, DOJ noted its continuing investigation into residential real estate practices and specifically flagged concerns that the mandatory buyer-broker agreement could harm buyers and reduce competition among brokers.6Bloomberg Law. Realtors Get Final Approval of $418 Million Antitrust Settlement The paperwork has clearly changed. Whether the money has, on any lasting basis, is the question the Eighth Circuit’s decision and the next few years of market data will answer.