NAR D.C. Circuit Petition Update

Louisiana REALTORS® • July 15, 2024

Update from Katie Johnson, NAR Chief Legal Officer and Chief Member Experience Officer

I am writing to share an update regarding our ongoing dispute with the Department of Justice (DOJ) regarding its ability to reopen a previously closed investigation into NAR’s policies.


This dispute with the DOJ is separate from and does not affect NAR’s March 15 Settlement Agreement related to private class action litigation that, if approved, would resolve nationwide litigation over claims from home sellers related to broker commissions.

 

Friday, July 12, 2024, we received word that the United States Court of Appeals for the D.C. Circuit has denied our petition for rehearing. This is a disappointing outcome, and we maintain that its decision in this matter stands in opposition to years of precedent on the interpretation of government contracts and the bedrock principle that the government must honor its word.

 

You may recall we reached an agreement in 2020 to end an investigation into certain NAR policies—including the cooperative compensation rule and clear cooperation policy—provided that NAR implement four key rule changes. NAR began implementing the terms of the agreement in good faith. Eight months later the DOJ resumed that same investigation, violating our agreement. We subsequently asked the D.C. District Court to prohibit the DOJ from pursuing its investigation. While the D.C. District Court ruled in our favor, DOJ appealed that decision, and it was subsequently reversed by the D.C. Circuit in a 2-1 split decision.

 

In NAR’s petition filed on May 20, 2024, we outlined the far-reaching implication the D.C. Circuit court’s ruling could have, as it directly conflicts with precedent on these types of contractual issues. Anyone who finds themselves in a negotiation with the government could be impacted.

 

We are currently evaluating all remaining legal pathways that are available to us. We are committed to continuing to forcefully advocate for the interests of our members, home buyers, and home sellers and exploring all opportunities to hold the DOJ to the terms of our 2020 agreement. We will keep you informed as NAR Leadership decides on next steps. At the same time, NAR continues to focus on its mission to promote the value of REALTORS® and access to homeownership.


It is important to underscore that this dispute focuses only on DOJ’s ability to unilaterally withdraw from its 2020 settlement agreement with NAR, it does not address any of the Department’s claims about NAR policies or antitrust topics.


As always, if you have any questions, please don’t hesitate to reach out.

By Louisiana REALTORS® June 6, 2025
The National Association of REALTORS® Board of Directors approved a 2026 budget with no dues increase and passed a Professional Standards Recommendation to clarify language in NAR Code of Ethics Standard of Practice 10-5, which prohibits harassment of any person or persons protected under Article 10 of the Code. A day earlier, the Executive Committee approved another Professional Standards change, revising language for Policy Statement 29 designed to ensure state and local associations can fairly and consistently enforce the Code of Ethics. Learn more about the changes. Read the revised Code of Ethics and Standards of Practice. Board members also approved a consent agenda to elect the 2026 officers and regional vice presidents . Christine Hansen of Ft. Lauderdale, Fla., was elected 2026 President-Elect, and Colin Mullane of Ashland, Ore. was elected 2026 First Vice President. The meeting opened with a video message from President Donald Trump, who welcomed REALTORS® to Washington and thanked them for support of the House-passed tax reform. NAR routinely invites the U.S. president to address REALTORS® at the Washington meetings. Over NAR's history, nine sitting presidents have addressed the association. Board Actions Approved a series of Finance Committee recommendations, accepting the association’s financial statement, approving the 2026 operating and advocacy budgets, and keeping dues at $156. The board actions also redirect $35 of the $45 Consumer Advertising Campaign assessment to operating funds. This change positions NAR to make its next settlement payment in February 2026 and maintain a balanced budget without raising total dues. The remaining $10 for the Consumer Advertising Campaign will fund optimized, metrics-driven activities that reach and engage consumers in critical markets. NAR CEO Nykia Wright and President Kevin Sears explained the shift at the opening session of the conference . Amended Standard of Practice 10-5 to give state and local associations greater clarity in how to fairly and consistently enforce Article 10 of the Code of Ethics. The amended Standard of Practice says that REALTORS®, in their capacity as real estate professionals, in association with their real estate businesses, or in their real estate-related activities, shall not harass any person or persons based on race, color, religion, sex, disability, familial status, national origin, sexual orientation, or gender identity. Made a series of recommendations to the Standards of Practice to bring the language in line with the terms of NAR’s 2024 settlement. Approved a motion to make one member of the Executive Committee a commercial practitioner who has served as chair, vice chair or liaison of an NAR commercial-related committee or forum to serve a two-year term and be independent of the 10% commercial representation requirement outlined in the NAR Constitution. Approved a recommendation from the Credentials and Campaign Rules Committee to amend qualifications for president-elect, first vice president and treasurer effective Jan. 1, 2026. Qualifications for top-line officers are now aligned with those already in place for regional vice presidents. Approved recommendations from the Member Accountability Committee related to applications for volunteer leadership and the Statement of Appropriate Event Conduct. The goal of the recommendations is to ensure members found in violation of the NAR Member Code of Conduct are properly disclosed. Award Winners NAR President Kevin Sears announced the 2025 Distinguished Service Award winners James P. Cormier , AHWD, C2EX, of Minneapolis-St. Paul, and Brooke S. Hunt , AHWD, E-PRO, SFR, SRS, C2EX , of Flower Mound, Texas. In addition, the group recognized the winner of the 2024 William R. Magel Award, Anne Marie DeCatsye , CEO of the Canopy REALTOR® Association and Canopy MLS in the Charlotte, N.C., metro area. REALTORS® Relief Foundation  During the meeting, REALTORS® Relief Foundation President Greg Hrabcak appealed to board members to make a tax-deductible donation. The fund provides housing assistance to victims in the immediate aftermath of a disaster; 100% of funds donated go to disaster relief. “We’ve had devastating wildfires in California, tornadoes in Missouri and Kentucky and flooding in West Virginia, and we’re still in the first half of this year,” Hrabcak said. Before the meeting ended, directors had donated more than $41,000.
How to Leverage National Homeownership Month in Your Marketing
By Louisiana REALTORS® June 5, 2025
Whether you’re working in Baton Rouge, Shreveport, Lafayette, or anywhere in between, here’s how you can use Homeownership Month to elevate your real estate marketing and better serve your community.
What Homeownership Means for Building Wealth
By Louisiana REALTORS® June 2, 2025
Here are key insights and ready-to-use talking points to show your clients how homeownership is more than just a place to live—it's a smart strategy for long-term wealth building, especially right here in our state.
Show More