Bondi affirmed that the enforcement of antitrust legal guidelines can be a “priority” for her as Lawyer Common, which means that the true property business needs to be ready for investigations into its practices to proceed in full drive.
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Pam Bondi was grilled by U.S. senators on Wednesday and Thursday of her Senate affirmation hearings to turn out to be the subsequent U.S. Lawyer Common, addressing a wide range of lawmakers’ considerations from revitalizing the U.S. Division of Justice’s (DOJ) public picture to how she would deal with requests from President Trump and extra.
Senator Chuck Grassley, R-Iowa, quizzed Bondi on how she would implement antitrust legal guidelines with a view to finest defend shoppers, a topic that has been top-of-mind for a lot of actual property professionals over the previous few years because the DOJ has nailed huge gamers just like the Nationwide Affiliation of Realtors (NAR) and RealPage for practices that it deems anticompetitive in nature.
“Enforcing antitrust laws is extremely important to ensure that markets are fair and that consumers are protected,” Sen. Grassley stated on Wednesday. “I’ve been active in making sure that the Justice Department and the [Federal Trade Commission] carefully scrutinize mergers and that they look out for anti-competitive behavior and predatory practices. I keep a close eye on these issues as they impact my state of Iowa and particularly agriculture, healthcare and technology industries, and I’m interested in your commitment to make antitrust enforcement a priority.”
Bondi affirmed that she can be dedicated to upholding antitrust legal guidelines as Lawyer Common.
“Antitrust enforcement was a priority when I was a state AG and it will be a priority if I am confirmed as Attorney General,” Bondi stated. “And again, I am so proud to have Gail Slater handling that; she is loved by both sides.”
Slater, who beforehand labored on the FTC, was nominated in December by President Trump to guide the DOJ’s antitrust division.
With the fee lawsuits settlement, NAR and different main firms within the business addressed a number of the DOJ’s considerations about business practices, together with rising transparency round how brokers are paid with new contracts and abolishing cooperative compensation, whereby homesellers comply with pay a fee to their vendor’s agent, which is then shared with the agent who brings a purchaser to the transaction.
Nonetheless, the business continues to stay firmly inside the DOJ’s gaze. With Slater and Bondi asserting their dedication to scrutinizing antitrust practices, actual property needs to be ready for investigations into the business to proceed.
On Monday, the Supreme Courtroom denied NAR’s attraction request in its case with the DOJ, which implies that the DOJ can reopen its investigation into NAR’s fee and pocket itemizing guidelines. The DOJ has steered that the Sitzer | Burnett settlement didn’t go far sufficient and that itemizing brokers and sellers shouldn’t be in a position to make pre-emptive affords of compensation to purchaser brokers in any respect — even outdoors of the MLS.
Likewise, the DOJ has continued to weigh in on instances NAR is concerned in relating to the Clear Cooperation Coverage (together with one levied by defunct low cost brokerage REX), which has spurred an excessive amount of debate within the business in current months and which NAR’s management workforce is evaluating for attainable modifications.
A renewed dedication to antitrust litigation by the DOJ additionally could influence a major lawsuit towards rental software program maker RealPage and a number of other main landlords, together with Greystar Actual Property Companions, Blackstone’s LivCor, and Cushman & Wakefield. The lawsuit alleges the businesses engaged in a scheme to lower competitors between landlords through the use of RealPage’s rental pricing algorithm, which it claims harmed renters and resulted in elevated lease costs for shoppers.
One of many principal themes to come back out of the affirmation hearings was the significance of restoring public belief within the DOJ and depoliticizing the division, some extent made a number of instances by senators on either side of the aisle.
“The concern is that weaponization of the Justice Department may well occur under your tenure,” Senator Sheldon Whitehouse, D-R.I., stated.
