Editor’s note: The COURT REPORT is RISMedia’s weekly look at current and upcoming lawsuits, investigations and other legal developments around real estate.

John L. Scott and Real Estate One settle

Two independent brokerages have added to the pool of settlements in commission lawsuits, as reported on Oct. 3. 

John L. Scott Real Estate—which does business primarily in the Pacific Northwest—and Real Estate One—based in Michigan—have agreed to settle in the Gibson case, aka the largest Burnett copycat lawsuit. Full details of the settlement have yet to be made available.

Both brokerages were too large to be automatically included in NAR’s national settlement, and then chose not to opt-in.

The settlements are now pending final approval by a judge.

New eXp lawsuit filed over sexual assault allegations

eXp’s sexual assault allegations scandal has spawned several lawsuits from former agents and recruits, and now includes a suit from public pension funds.

The lawsuit alleges that the company breached its fiduciary duty in covering up reports of rape by “dozens” of top agents, as well as making new claims regarding retaliation and self-dealing at the highest level. 

“Defendants orchestrated a cover-up to protect the assailants, prioritizing the profits that inflated executive bonuses over agent safety and compliance with the law—as well as basic human decency,” the lawsuit claims.

The lawsuit filing also claims that a lawyer representing eXp admitted that allegations made by women in previous lawsuits are true. The lawsuit reads “(C)ounsel for the Company confirmed in a conversation with Lead Counsel that everything in the complaints is truthful and accurate,” but provides no further details on the context of that conversation.

An eXp spokesperson told RISMedia the company still asserts that “claims in those cases against eXp and its leadership have no basis in fact or law.”

eXp settles seller lawsuits in smaller copycat case

eXp has joined the list of real estate brokerages and organizations settling the many commission lawsuits filed by homesellers that have impacted the industry. The company had been a longstanding holdout of the U.S.’s largest brokerages—ones not covered in NAR’s settlement—to settle in the commission cases.

The brokerage has agreed to pay $34 million and “adopt certain practice changes,” according to a filing with the SEC. The money will be paid out in two installments: the first $17 million into the fund within a month of the settlement receiving final court approval, and the other $17 million a year after that.

Notably, this settlement was negotiated in a smaller copycat lawsuit that was filed in Georgia with most other settlements being reached with the same plaintiffs behind the legacy Burnett and Moehrl lawsuits.

Tuccori vs. At World Properties still working on settlement terms

The Illinois-based homebuyer commission lawsuit—Tuccori vs. At World Properties, the parent company of @properties Christie’s International Real Estate—continues to work its way toward a settlement but still needs more time, according to its latest filing.

It was previously reported by RISMedia that in its last joint status update on Aug. 6 the case was heading toward a settlement and had reached a “potential framework.” Now, the latest joint status report filed Oct. 4 stated that both parties have continued mediation and “made further progress toward finalizing their agreement.” 

However, both parties requested the case continue to be stayed until Jan. 10, 2025, as they require more time to negotiate the settlement. The case is notable as the first lawsuit filed by homebuyers to potentially reach a settlement, as larger buyer-filed lawsuits continue to loom over the industry.

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