Editor’s note: The COURT REPORT is RISMedia’s weekly look at current and upcoming lawsuits, investigations and other legal developments around real estate.
Compass and Zillow file final hearing documents, await judge’s ruling
Compass and Zillow have both filed their final court documents related to the recent hearing in the two companies’ lawsuit over Zillow’s private listing standards. The hearing was an evidentiary hearing held for Judge Jeannette Vargas in the Southern District of New York to hear arguments on Compass’s request for an injunction against Zillow’s private listing standards. Both companies have now filed their final documents for that effort, which argue their positions for or against the injunction.
Vargas can now rule at any point to determine whether or not Zillow’s listing standards will be on hold for the remainder of the lawsuit.
CoStar copyright lawsuit against Zillow officially moved to Seattle
A federal judge in New York transferred the copyright infringement lawsuit CoStar filed against Zillow across the country to Washington state, shortly after CoStar dropped its objections to Zillow’s request that the litigation be moved.
In a short order, Judge Edgardo Ramos of the Southern District of New York wrote that “the convenience of parties and witnesses as well as interests of justice are
served by a transfer of this case.” Zillow had accused CoStar of filing the lawsuit in New York, a city that neither company is based in, to avoid “unfavorable” precedent in Washington, where Zillow’s headquarters are.
CoStar has denied this, saying in a statement that new information precipitated the company to drop its objections to the transfer, adding that the company wants the case decided as soon as possible “on the merits.”
CoStar has accused Zillow of violating copyright through the alleged usage of tens of thousands of CoStar-copyrighted images displayed on Zillow’s platforms.
Two Zillow/Redfin lawsuits consolidated
On Wednesday, Nov. 27, U.S. District Court Judge Anthony Trenga granted a motion to consolidate two antitrust lawsuits involving Zillow and Redfin’s $100 million multifamily rental syndication deal—merging the Federal Trade Commission’s (FTC) lawsuit against Zillow and Redfin over an alleged illegal anti-competitive agreement made between the two portals with a similar suit filed by attorneys general in Connecticut, Arizona, Washington, Virginia and New York.
Grand Jury declines to re-indict Attorney General James
A federal grand jury has declined to indict New York Attorney General Letitia James on bank fraud and false statement charges related to a 2023 mortgage transaction. This was the second prosecution attempt after the initial indictment was dismissed on Nov. 24, due to the unlawful appointment of the prosecuting attorney. Attorney General James has denied all wrongdoing.
