The Latz lawsuit names HomeServices of America and Douglas Elliman as defendants. The new filing brings the number of plaintiffs to 31, some of whom are involved in other lawsuits.
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The commission’s lawsuit against Florida-based HomeServices of America and Douglas Elliman could get even bigger, as 31 new homebuyers want to join the lawsuit. This is revealed in new court documents.
The case in question is called “Ratz” after the lead plaintiff, James Lutz. In a new filing, Lutz’s lawyers authorize the filing of a new complaint, a document that begins the lawsuit and summarizes the initial claims, adding dozens of homebuyers as plaintiffs. I’m asking you to. Potential new plaintiffs include Maia Batton and Scott Davis, who are also involved in other commission cases.
News of the new application was first reported by Housing Wire.
In the new filing, Lutz and his attorneys argue that the new plaintiffs’ claims are identical to those already asserted by Lutz.
Lutz first filed the lawsuit in late April. The lawsuit comes after HomeServices was dismissed from a similar lawsuit known as Baton 1. In the lawsuit, Lutz said she purchased a home in Key Colony, Fla., in 2021 using a buyer agent affiliated with Berkshire Hathaway HomeServices. American franchisee home services. The lawsuit also claimed that as a result of so-called fixed prices, the costs for consumers to purchase a home are “exorbitant.”
The new filing is in response to the defendants’ attempts to have the lawsuit thrown out. HomeServices and Douglas Elliman specifically asked the judge in August to dismiss the lawsuit, arguing that Lutz was not qualified to represent class members’ claims outside of Florida.
The newly amended complaint plans to address this issue by adding plaintiffs who “reside or have purchased homes in 25 states and the District of Columbia,” the complaint says.
The Lutz case originally named only HomeServices as a defendant, but Douglas Elliman was added in June.
At the time the lawsuit began, the Lutz lawsuit was somewhat unusual for a commission lawsuit because it was brought by a homebuyer. There are many such lawsuits, but the most well-known are those like Sitzer. Barnett and Gibson — filed by home seller. The settlement, formed by the National Association of Realtors and various other industry participants, including HomeServices, covers these seller-initiated lawsuits.
Lutz and other buyer-initiated lawsuits have accused major industry players of violating antitrust laws and raising costs for consumers, even though they originate on the buyer side of the home-buying process. The claims are similar to those in the seller-initiated lawsuit.
The judge has not yet decided whether the 31 new plaintiffs will be allowed to join the Lutz lawsuit.
Read the new submission here (if you don’t see the document, please refresh the page).
Email Jim Dalrymple II