Just under nine months after filing a bombshell lawsuit against Zillow, Compass is dropping its legal challenge after the portal quietly modified its “Listing Access Standards” yesterday.
The lawsuit had claimed that Zillow conspired with fellow portal Redfin to prevent Compass from implementing its “three-phased marketing plan” that involves a private listing phase. Last April, Zillow announced new rules that would effectively remove those listings (and others that were marketed in a limited capacity) from Zillow’s platforms.
But a lot has changed since then. Compass became the largest brokerage in the country after acquiring Anywhere, and struck a partnership with Redfin to syndicate exclusive listings on that portal. And most recently, Zillow itself announced its own premarketing program in partnership with a handful of big brokerages.
“Our goal has always been to give homeowners more choice to decide when, where and how to market their homes,” said Robert Reffkin, chairman and CEO of Compass International Holdings, in a statement. “We are pleased to see that other brokerages are now recognizing the strong consumer demand for more options in how they sell their homes. Homeowners deserve more choices, not fewer choices.”
In a statement provided to RISMedia, a Zillow spokesperson claimed “the underlying issue” of private listing networks remains, despite the end of the lawsuit and its own changes to its rules, and promised the company would continue to restrict listings that violate the new standards.
“Zillow’s Listing Access Standards were introduced to protect core principles of competition, openness and access that support healthy markets and benefit homebuyers, sellers and agents. Our standards remain in effect, and Zillow will continue to choose not to display listings that were previously hidden from the public for the benefit of any one company. Any suggestion that these standards are no longer being enforced is incorrect.”
But the end of the lawsuit is another sign of how fast the conversation around private listings has evolved. Compass and Reffkin began a public campaign to repeal or reform the Clear Cooperation policy in late 2024, but did not appear to pick up much support as it touted the power of a premarketing, private-listing focused business model.
After the National Association of Realtors® (NAR) affirmed Clear Cooperation in early 2025, Zillow created a new set of rules meant to curb the prevalence of those private networks, citing transparency principles. Compass sued the portal in June, claiming the new policies specifically targeted its “innovative” practices and relied on monopolistic power.
Zillow’s update to its rules came at the same time it announced a “Zillow Preview” premarketing program. The portal now only bans listings that “(have) been part of selective or gated marketing practices that require a consumer to work with the listing brokerage to get access to the listing.”
The Zillow spokesperson sought to distinguish this premarketing effort from private networks that are not visible to all consumers, or require sign-ups, registration or contracts with a particular company.
“The distinction is simple: Zillow Preview is public and expands access; private listing networks are closed and restrict it. We will always advocate for transparency and fairness for consumers,” the spokesperson said.
Compass, for its part, claimed that Zillow had ended what it has always called a “ban” on some listings.
“The end of the ‘Zillow Ban’ is a major victory for home sellers and their real estate professionals. It ensures that homeowners have the freedom to decide when, where and how to market their homes, and that real estate professionals can uphold their fiduciary duties to their clients without fear of being banned by Zillow,” Compass said in its statement.
The lawsuit is being dismissed without prejudice, meaning that it could be refiled with the same allegations at a later date.
This is a developing story. Stay tuned to RISMedia for updates.
