Chicagoland agents, brokers react to ruling in Zillow-MRED case 

A U.S. district judge on Tuesday ruled against Zillow's request for a preliminary injunction in its lawsuit against Midwest Real Estate Data (MRED) and Compass, effectively forcing the portal to forgo its listing access standards in the Chicago market if it wants to retain access to MRED's listing feed. 

The ongoing battle of wills between MRED and Zillow has drawn the attention of the industry at large, but it has the greatest potential impact on real estate professionals practicing in Chicago, where Zillow temporarily went dark for a couple of days in May after MRED made good on threats to cut the portal's data feed.

MRED and Compass characterized the judge's ruling as a victory for MLSs, real estate professionals and consumers alike, with Compass declaring in a press release on Thursday that the court's move had prompted "nearly 100 Compass real estate agents outside of Chicago" to join MRED within the last 24 hours as dozens of previously banned listings were restored to Zillow.

Zillow, meanwhile, reminded onlookers that the ruling wasn't a final judgment in the case. 

But for agents and brokers operating in the Chicago market, the decision creates some stability, at least for now, even if the market's future is still uncertain.

Praise for PLNs, consumer choice

Some brokerage leaders under the Compass banner see the judge's ruling as a validation of MRED's way of operating.

Amy Corr, chief brokerage officer at @properties Christie's International Real Estate, which was acquired by Compass in late 2024, said the ruling has brought "a sense of satisfaction" to agents and brokers in the area.

"The PLN [Private Listing Network] is a tool that has benefited thousands of homeowners over the past decade-plus and that so many agents rely on to perform their fiduciary duty," Corr said in an email, echoing the sentiment of MRED CEO Rebecca Jensen, who last year described the PLN as "one of our most human-centered innovations." 

"Bigger picture," Corr added, "putting the spotlight on MRED and Chicago has been a positive for the industry. MRED has always been a very innovative MLS, and has always served agents and consumers in a solutions-oriented way."

According to an email sent this week to agents at Coldwell Banker Realty Chicago — another brand now owned by Compass following its acquisition of Anywhere — the brokerage views the ruling as a win for transparency, consumer choice and an agent's ability to uphold their fiduciary duty.

"How homes are sold should not be decided by an algorithm," Coldwell Banker Regional President Ayoub Rabah wrote in the email reviewed by Real Estate News. "It should be decided by consumers, with the assistance of the professionals who earn their trust, provide strategy, and deliver results every day."

Chicago indies speak out

For Grigory Pekarsky, co-founder and managing broker of Vesta Preferred Realty, the ruling is part of an internal industry conversation that will only spill over to the public if MRED decides to cut Zillow's data feed again — a move he considers unlikely since Zillow has signaled its commitment to providing consumers with access to all listings.

He is concerned, however, that agents might get caught up in the private listing trend and forget what's best for consumers. 

"Unfortunately, if you're told to think one thing or another and your friend right next to you is doing it too, you're not going to raise the alarm," he told Real Estate News during a phone call. "I hope we remember we work for the consumer and have to do what's best for the consumer." 

Christopher McAllister, owner and designated managing broker of McAllister Real Estate, said the issues at stake in the Zillow/MRED case are "particularly important" for his business.

As a smaller firm, his brokerage has limited market spread and resources, but "what we do have is access to a cooperative MLS marketplace where independent brokerages can compete alongside some of the largest companies in the industry," McAllister wrote in an email. 

MRED allows companies to publicly display its listings "provided they follow the applicable licensing requirements and display listings approved for distribution," McAllister continued. "For an independent company like ours, consistent rules governing how that cooperative listing data is used and displayed matter."

Agents just want to serve their clients

Some Chicagoland agents are tired of being caught in the middle of these industry disputes and hope the ruling will better position the market for the future.

Carrie McCormick, a luxury specialist with @properties CIRE, said she felt the decision would give agents and their clients clearer guidance on how they're able to market homes, whether they prefer a strategy with more or less exposure. 

"For agents, the practical question is where a home will be seen and how we're reaching the right buyers," McCormick said in a text to Real Estate News. "Zillow is an important part of that, and so is the cooperation between agents through MRED. I'd like to see this lead to a more consistent process for everyone."

Chicago-based agent and entrepreneur Steven Koleno, who is also licensed in several other states across the country, posted on LinkedIn that he felt like the recent legal battles involving Zillow, MRED and Compass take focus away from the consumer.

"Maybe it's time we stop obsessing over Zillow and start obsessing over the consumer," Koleno wrote on Wednesday. "Consumers like Zillow. And they certainly didn't ask for private listings as the solution to real estate's trust problem in America."

Koleno added in a separate post on Thursday that truly "trusted advisors" lay out all the options for consumers, fully explaining their relative pros and cons, and then tell them, "Now YOU decide."