Frequently Asked Questions

What is the NAR Settlement?

As a result of the settlement of a class action lawsuit (Burnett et al. v. National Association of Realtors, et al., Case No. 19-CV-00332-SRB in the U.S. District Court for the Western District of Missouri; Moehrl, et al. v. National Association of Realtors, et al., Case No. 1:19-cv-01610-ARW, in the U.S. District Court for the Northern District of Illinois; and other cases), a Settlement Fund was created by the Court for those that may be eligible as a member of the affected Class (“Class Members”).

Who is NAR Claims Settlement of Massachusetts?

NAR Claims Settlement of Massachusetts, LLC ("NARCSMA") is a Massachusetts company created to identify potential Class Members and assist those potential Class Members in filing claims to recover compensation from the Settlement Fund. As of February 1, 2025, more than $980 Million dollars has been collected by the Settlement Fund. That figure may grow as more brokerages settle with the Plaintiff. NAR Claims Settlement of Massachusetts is NOT the Court-appointed Settlement Administrator. NARCSMA are not attorneys, were not involved in prosecuting the class action lawsuits and are not affiliated with the attorneys who represented the Class. NARCSMA’s purpose and focus is to assist and facilitate properly filing claims for potential Class Members and manage the process for the potential Class Members to receive payment.

Is my real estate broker affected?

If you file a claim with the Settlement Fund, the broker who helped you buy the property is directly affected. The settlement is focused on compensating home sellers who paid commissions, not on penalizing individual brokers or agents.

Key points:

  • The settlement does not target individual brokers or agents for any wrongdoing.

  • Brokers and agents are not personally responsible for funding the settlement.

  • The settlement aims to change industry practices going forward, such as prohibiting offers of compensation on MLS platforms.

  • Your claim does not result in any direct financial penalty for your broker.

Why was there a Class Action Lawsuit?

There were multiple class action lawsuits alleging anti-competitive practices in real estate transactions. The lawsuits challenged NAR’s MLS rules, which required home sellers to set a predetermined buyer agent commission, arguing that this practice limited competition and increased costs for consumers. The settlement aims to eliminate mandatory commission-sharing, promoting more transparent and competitive pricing in the real estate market.

How do I know if I am eligible to receive a payment from the settlement fund?

You may be eligible for compensation if you (1) sold a home between December 17, 2016 and August 17, 2024; (2) listed the home on a multiple listing service (MLS); and (3) paid a commission to an agent representing the buyer in the real estate transaction.

How much money will eligible claimants receive?

There is not a definite answer to this question currently. This will depend on the number of claimants as well as the amount paid in commission when you sold your home.

If NARCSMA helps me file a claim, am I responsible for any costs related to submitting a claim?

Absolutely not. You do not incur any costs by exclusively authorizing NARCSMA to file a claim on your behalf. NARSCA assists on a contingent fee basis (one-third of any monies recovered) and is only compensated if and when a claim is paid.

Do I have to use NARCSAMA to file a Claim?

No, you may file on your own through the Claims Administrator without any cost. The expertise we offer is in making sure the claim is filed properly with all the supporting documentation available.

How is NAR Claims Settlement of Massachusetts Compensated?

NARCSMA is compensated by a contingent fee. If your claim is successful, NARCSMA will charge a fee that is one-third (33.33%) of the compensation you receive. If your claim is unsuccessful, you owe nothing.

What is the deadline for filing a claim and when will I receive my payment?

The deadline for filing a claim is May 9, 2025. The payments from the settlement fund will be issued at some point after that date where the Claims Administrator has to review all of the documentation submitted by all persons making a claim to determine who is eligible and the validity of the claim and that all the necessary supporting paperwork was filed correctly as part of the claim.

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