Compass and NWMLS reach lawsuit settlement

by Emily Marek

Compass is claiming victory in its lawsuit settlement with the Northwest Multiple Listing Service.

Compass and the Northwest Multiple Listing Service reached a settlement in the year-plus-long lawsuit between the parties, both groups shared on Monday. Details have not yet been publicly filed in court.

Compass originally filed its lawsuit against the NWMLS in April 2025, alleging the listing service was a “monopolist” violating “homeowner choice”; NWMLS filed a counterclaim nearly a year later, claiming Compass’ three-phase listing strategy breached state law.

Now, though, Compass CEO Robert Reffkin is claiming victory.

“Our original objective in taking legal action against the NWMLS has been fully realized,” Reffkin said in a press release. “We brought this lawsuit on a fundamental principle: homeowners deserve the absolute right to control how their properties are marketed, and real estate brokers should never face fines from NWMLS simply for following their client’s lawful instructions which in Washington State is their statutory duty. Ultimately, we achieved what we set out to accomplish, securing vital protections for both homesellers and their real estate brokers.”

As part of the settlement, NWMLS will offer a “First Look” listing status that functions similarly to Compass’ “Coming Soon” listings. The status will allow sellers to “generate early demand, gather buyer feedback and test pricing,” Compass said, while eliminating the risk of price drops or days on market that would be visible to consumers if the listing were active.

Effective Sept. 4, brokers will be able to publicly market First Look listings for 21 days prior to launching active status. NWMLS maintained that all First Look properties “must be timely submitted” in order to prevent “off-MLS shadow markets.”

Other First Look features launching on Sept 4 include:

  • Optional showings for sellers who choose to hold them prior to an active launch.
  • Seller marketing controls, wherein homeowners can decide whether their listings are publicly launched on all Internet Data Exchange sites or on a select few.
  • Internal pre-launch history (like price adjustments and days in First Look status) saved in the NWMLS database; this data will be accessible to brokers and clients but not to the general public.

“Northwest MLS has always provided seller flexibility within an open, transparent marketplace, and our rules are constantly evolving to meet changing consumer expectations,” said NWMLS President and CEO Justin Haag. “We are giving sellers the flexibility they desire when preparing a home for market, while steadfastly protecting buyers from private networks. Simply put, First Look modernizes the pre-launch preparation process, while ensuring an open marketplace and fair competition, in full compliance with Washington State’s open-market laws.”

NWMLS said First Look was developed in response to member feedback, but that the practice will resolve the “ongoing litigation” with Compass.

Compass added that two additional stipulations will take effect by Oct. 15: NWMLS will require all websites using NWMLS data to prominently portray the name and contact information of listing agents directly next to any “call to action” (including buttons like “contact broker” or “schedule showing”) in an effort to prevent listing giants like Zillow and Redfin from diverting buyers to in-house agents. NWMLS will no longer add the NWMLS watermark to listing photos.

Furthermore, Compass said NWMLS is now prohibited from taking legal action against the brokerage “under the guise of enforcing state law.”

“Compass proudly invested millions in the case against NWMLS for our real estate professionals and clients, and it was worth it,” Reffkin stated. “MLSs are a group of direct competitors that are telling their competitors how they can and cannot compete, which is the textbook definition of an antitrust violation. MLSs exist to distribute listings, when the homeowner wants to use it, not to let brokerage competitors collectively dictate how other brokers compete in marketing services or how homesellers market their homes.”

This story is ongoing and will be updated as new information becomes available.

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