Editor’s note: The COURT REPORT is RISMedia’s weekly look at current and upcoming lawsuits, investigations and other legal developments around real estate.
Legal cases in the real estate sphere continue to chug forward, with deadlines locked in and cases reassigned.
Batton case reassigned to new judge after recusal
On Wednesday, Sept. 4, Judge Andrea R. Wood recused herself from the following real estate commission lawsuits: Batton v. NAR, Moehrl vs. NAR and Batton v. Compass, Inc. The two Batton cases are the largest filed by homebuyers, and their claims are mostly not covered by settlement agreements struck so far, making them a still-significant threat to the industry.
Wood cited a potential conflict of interest due to a previously unknown connection to the defendants’ legal team. She wrote:
“It has come to my attention that the spouse of a person related to me within the third degree of relationship is a partner in a law firm representing a defendant in this case. My relationship with this relative has not affected or impacted any decision in this case. Nonetheless, the relationship requires recusal under the Code of Conduct for United States Judges.”
In the Batton case at least, a new judge was found swiftly: LaShonda A. Hunt. Appointed by President Joe Biden, Hunt has served as a judge on the United States District Court for the Northern District of Illinois since May 2023. She previously served as a bankruptcy judge in the Northern District of Illinois from 2017 to 2023.
Parties in the Batton case have been ordered to file a status report by Sept. 25. A new hearing for the case is scheduled for Oct. 8, though it is unclear if the assignment of a new judge will cause further delays in the proceedings, with the Batton cases previously targeting a trial in late 2026 or early 2027.
Top Agent Network pocket listing lawsuit sets trial date
On Nov. 3, 2025, trial will begin on Top Agent Network, Inc. vs. the National Association of REALTORS®.
The crux of the case is the Clear Cooperation policy. TAN alleges that NAR and the San Francisco Association of REALTORS® have used the policy to “monopolize” real estate services and, in turn, blacklist TAN.
Clear Cooperation is currently a hot-button topic in real estate, and subject of the Department of Justice’s investigation into NAR. The policy does not have universal approval within the industry either. At RISMedia’s 2024 CEO & Leadership Exchange, Compass CEO Robert Reffkin described the policy as “forced cooperation.”
“The thing I’d like to see is MLSs having people use them because they want to, not because they’re forced to. And I think that is inevitable. We need to do that before lawyers make us do that,” he added.
The Keyes Company settles commission lawsuits
On Sept. 3, the Keyes Company/Illustrated Properties reached a settlement agreement with the plaintiffs in the Gibson class-action lawsuit. Keyes is the self-described largest independent brokerage in Florida.
As of now, the amount of the settlement has not been disclosed to the public or in filings.
CEO Mike Pappas told RISMedia in a statement about the settlement:
“At The Keyes Company and Illustrated Properties, our priority has always been to support our agents and deliver outstanding service to their customers. After carefully considering all options, we believe that settling this matter is the most prudent course of action. This decision allows us to move forward without the distraction of ongoing litigation, so we can remain focused on what we do best—leading the market with innovation, a commitment to our community, and providing exceptional value and support to our real estate associates.”
