The message below is being sent today to all members of the association. In addition to the information below and on the linked resource page, Executive Board members and members of the Board of Directors should take caution against communicating about the lawsuit to avoid any potential risk to yourself or the association.
Here is the text of the message that went out to all members.
Dear members of Texas REALTORS®:
Yesterday, Texas REALTORS® was named in a lawsuit, QJ Team et al v Texas Association of Realtors et al. Several local associations of REALTORS® and real estate brokerages in Texas have been named as co-defendants.
This is one of several copycat commissions-related lawsuits across the country that have been filed in the wake of a verdict against NAR and other corporate defendants in the case of Burnett v. NAR et al. Texas REALTORS® expected claims like this to be filed after the verdict was returned in Burnett v. NAR et al and will respond to it in court.
Texas REALTORS® stands by the value of the professional expertise that you—our members—provide to your clients. Please continue to communicate to clients and consumers the value you bring to them when they are involved in real estate transactions.
Please also continue to clearly communicate your role in the transaction and all details about how you are compensated. As always, rely on guidance from your broker and your firm’s legal counsel. Remember, too, that Texas REALTORS® has several forms for use by members—including listing agreements and buyer/tenant representation agreements to help all parties clearly understand compensation related to a transaction.
Though there are aspects of this pending litigation that Texas REALTORS® is unable to discuss, rest assured that the association highly values transparency and will provide information and updates as we work toward a positive resolution for the association and its members.
Sincerely,
Marcus Phipps
Chairman of the Board, Texas REALTORS®
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