Compass, NWMLS bicker over discovery in antitrust case
The brokerage and Washington state-based MLS have conflicting views over how the discovery phase is proceeding as the case advances toward a trial.
Compass and Northwest MLS continue squabbling over the exchange of information as they move closer to a trial over rules about pre-marketing home listings.
Both parties have been clashing in court ever since Compass filed its lawsuit against the Washington state-based MLS in April, with their latest arguments focused on the case's discovery phase.
Disputes over documents: Earlier this month, Compass filed a motion asking the judge to compel NWMLS to turn over documents important to the case, arguing that the MLS was avoiding its discovery obligations.
"Discovery has been open since June, yet NWMLS failed to even begin its custodial review — let alone produce a single custodial document — for months, necessitating this motion," the Compass filing alleged.
NWMLS responded in a Dec. 22 filing that took issue with Compass' characterization of events. The MLS said it has already "produced seven (7) volumes of responsive documents" and is reviewing more. The process is time-consuming because Compass' 72 document requests are "broad in scope and have forced NWMLS to invest substantial resources to collect, review, and prepare responses," according to the filing.
"Compass's complaint that NWMLS has failed to produce custodial documents is flat wrong," NWMLS said, adding that it "will continue to honor its agreements."
Discovery nears an end: The case's discovery phase is slated to end by late January. That timing should set the case in motion for a trial later in 2026. The case is slated to be tried in the U.S. District Court for the Western District of Washington State in Seattle.
What this case is about: In its April lawsuit, Compass alleged that NWMLS has monopolistic and anticompetitive business practices. The feud began in March when Compass launched a private listings push in the Seattle area in defiance of NWMLS rules, which led to a two-day suspension of Compass' IDX feed.
The brokerage has further alleged that the MLS's rules against pre-marketing and office exclusives obstruct seller choice and prevent Compass from implementing its 3-phased marketing strategy.
NWMLS contends that its policies are designed to "provide market transparency for home sellers, buyers as well as listing brokers and brokers representing buyers."
NWMLS also alleged in a June filing that Compass is pursuing a business strategy involving withholding listings but still expects "unfettered access to the real estate listing of all other brokers participating in an MLS."