The National Association of REALTORS® (NAR) is continuing to put off potential action on the Clear Cooperation Policy (CCP), with the MLS Technology and Emerging Issues Advisory Board choosing not to “make a recommendation or take any other formal action” concerning the policy after two meetings.
The Board met last week on October 24 to discuss the policy, according to an NAR spokesperson. This is the board’s second meeting in seven weeks, which NAR stated is “an accelerated pace reflecting the importance of the CCP issue.” The board had originally met September 12 and 13, but had pushed any conversation on Clear Cooperation to this October meeting.
“As a critical next step, the Advisory Board turned the feedback it received throughout the whole Advisory Board committee process over to the Leadership Team at this time,” said an NAR spokesperson. “NAR will continue to evaluate CCP in the broader context of the issues facing NAR and the industry.”
As to why there is still no decision or formal recommendation, the NAR spokesperson said the organization has to “carefully weigh feedback from a wide range of members, stakeholders, and industry experts.” They also noted they have to consider the ongoing DOJ investigation—which they recently appealed to the Supreme Court to block earlier in October—and other litigations.
“As such, NAR will work carefully and diligently to ensure that we continue to review CCP to ensure a decision is made in such a way that is in the best interest of members and consumers,” the statement continued.
Previously, a source familiar with NAR’s processes and legal strategy said that if the MLS Advisory Board chose not to take action, it would likely be because they want to confer with a different group or bring in experts that could help them “think through” potential changes to the policy.
NAR stated they have received a “range of passionate opinions” about Clear Cooperation, as many in the industry have been outspoken about the policy’s future.
Compass CEO Robert Reffkin is one of those outspoken against the policy, saying he believes the current version of the policy is “forced cooperation” during his one-on-one interview with RISMedia Founder and CEO John Featherston at the company’s 36th Annual CEO & Leadership Exchange this past September.
“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 continued. “NAR senior leadership should just say, ‘This is not worth the risk,’ and we move on.”
On the other hand, there are still many in the industry who support Clear Cooperation and disagree with Reffkin’s calls on it.
“I fundamentally disagree with Robert. I fundamentally believe in organized real estate and how it functions in North America. We have a complete, accurate, liquid marketplace, which is the beauty of the MLSs,” said eXp Realty CEO Leo Pareja. “I think what Robert is saying is selfish, and it’s not good for the consumer. We have to stop worrying about our stock price and take care of buyers and sellers.”
Other companies have also weighed in publicly, and RISMedia’s latest Broker Confidence Index (BCI) survey found significant disagreements among real estate business owners as far as what should be done with the policy.
As for next steps, NAR stated they “will continue to gather feedback” concerning Clear Cooperation.
“NAR will continue to evaluate the policy in the context of the feedback provided and the ongoing litigation related to the policy,” the spokesperson continued. “There is no specific date for any further decision-making.”
