Continuing what now appears to be a scorched earth strategy in defense of its private listing-focused business model, Compass today announced it will no longer be adhering to the Clear Cooperation Policy (CCP), which requires listings be added to the MLS within one day of public marketing, saying that it does not consider the rule—or any other national National Association of Realtors® (NAR) rule—to be binding.
In a letter sent out today to MLS’ and shared with RISMedia, Compass CEO Robert Reffkin made it clear that the company is sticking to its path of opposition against industry incumbents, which already includes multiple lawsuits and sharp words toward other leaders.
“Compass repeatedly warned the industry of the legal risk of rules like CCP, especially from future class actions,” Reffkin wrote. “In the coming years, the risk is significant that the industry could face class actions that are distinct from the currently pending compensation-focused cases, with the potential for a significant amount of damages.”
According to the letter, Compass informed NAR of its “non-adherence” around Clear Cooperation more than a year ago. Reffkin has previously claimed that a majority of MLSs in Compass’ footprint do not enforce Clear Cooperation.
The move, while a significant escalation, is not unprecedented. Only a few weeks ago, independent Pennsylvania-based brokerage Howard Hanna Real Estate Services made a similar announcement. A Compass spokesperson specifically noted Howard Hanna’s decision, saying that Compass is “following suit.”
A Howard Hanna spokesperson declined to comment on the decision, or on whether the company was in contact with Compass regarding Clear Cooperation adherence.
Similar to Howard Hanna, Compass does not appear to be specifically directing agents, brokers or franchises to ignore the rule. Rather, Reffkin said the company is formally stating that “Compass will continue to determine on a market-by-market basis whether to require its listing brokers to submit listings on a multiple listing service within any specific timeframe.”
“These decisions are made based solely on Compass’s own business interests, independent of NAR and any other brokerage,” Reffkin wrote.
NAR did not immediately respond to a request for comment, or questions about current or potential disciplinary proceedings against Compass. NAR bylaws allow MLSs to revoke access to the MLS for non-compliance with mandatory rules like Clear Cooperation, although enforcement is officially delegated to local associations and individual MLSs.
While there is still significant uncertainty regarding the endgame for brokerages that choose to flout NAR rules, Compass and Howard Hanna together represent a significant proportion of real estate activity. The two companies combined claimed around 320,000 total combined sales in 2024, according to RISMedia’s Power Broker Report. Compass claimed its agents held about 22,000 listings earlier this year, with 35%—or around 7,700—on its private platform.
But in the past, Compass has touted the fact that the vast majority, over 90%, of its private listings end up selling on the MLS.
In his letter, Reffkin sought to carve out so-called “national” policy from local MLS rules—although those rules are largely set by and through NAR.
“Programmatically, Compass has not followed any national, mandatory NAR MLS rules in a consistent or coordinated manner. Each MLS in which Compass operates has its own rules, and our agents are trained to comply with local MLS regulations, not national NAR mandates restricting client options,” he wrote.