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Motions to Dismiss Filed in Two Home Seller Cases (Gibson and Umpa)

Louisiana REALTORS® • February 27, 2024

An Update from Katie Johnson, NAR Chief Legal Officer and Chief Member Experience Officer

I'm writing to share a brief litigation update but first let me acknowledge that we understand that these are challenging times for our members and the industry, and we appreciate all the feedback and support as we navigate these challenges toward a positive outcome for property owners and the real estate profession. 


Yesterday, we filed motions to dismiss in two of the copycat home seller class action cases, the Gibson case and the Umpa case, both of which are pending before Judge Stephen Bough in federal court in the Western District of Missouri. 


As you may recall, these two copycat lawsuits were filed late last year, shortly following the Burnett verdict. As in the Burnett case, the plaintiffs in Gibson and Umpa claim that NAR and corporate defendants conspired to force home sellers to pay buyer broker commissions. Both cases are among those the Judicial Panel on Multidistrict Litigation (JPML) will consider centralizing at a hearing scheduled for next month.


NAR's motions raise issues relating to the specific allegations in these national cases that are in addition to those decided by the court in the Burnett case, which is a Missouri-only case. We believe that the cases should be dismissed because listing brokers or buyers, not sellers, compensate buyer brokers and because offers of compensation are authorized by state real estate laws. MLS rules do not require any particular amount of compensation (zero is allowed in some MLSs), and the MLS can be easily avoided by sellers who prefer to avoid any MLS rules.


Other defendants filed motions arguing for additional grounds for dismissal. The plaintiffs will have an opportunity to respond to these motions before the court rules on them.



We will continue to keep you informed about legal milestones. As always, please feel free to reach out to me or my team with any questions.

Consumer Guide Update: Preparing for Homeownership

By Louisiana REALTORS® • February 19, 2025
As previewed last week, NAR is pleased to share the latest consumer guide focused on preparing for homeownership. This guide covers what prospective buyers should consider as they kick off the home purchase process, including the importance of credit scores, mortgage pre-approval, down payments, budgeting, and educational resources. As a reminder, all guides in this series are available for download—in both English and Spanish—on facts.realtor . Please allow a few days for the Spanish version of the latest resource to be translated and uploaded. For ease of reference, below is a list of the most recent guides: NEW: Preparing for Homeownership Escrow and Earnest Money Pricing Your Home Preparing to Sell Your Home Fire Damage and Policy Coverage Thank you for your continued engagement with the “Consumer Guide” series and for sharing the resources with potential clients to ensure they have the information they need to be successful in their homebuying or selling journey. Remember that these guides are for informational purposes only and are not meant to enact or change any existing NAR policy. Be on the lookout for next week’s guide on Wednesday, which will cover property taxes.

Consumer Guide Update: Escrow and Earnest Money

By Louisiana REALTORS® • February 14, 2025
As previewed last week, NAR is pleased to share the latest consumer guide focused on escrow. This guide covers what homebuyers should know about earnest money deposits, including the general terms and use cases in real estate transactions. As a reminder, all guides in this series are available for download—in both English and Spanish—on facts.realtor . Please allow a few days for the Spanish version of the latest resource to be translated and uploaded. For ease of reference, below is a list of the most recent guides: NEW: Escrow and Earnest Money Pricing Your Home Preparing to Sell Your Home Fire Damage and Policy Coverage Flood Insurance Thank you for your continued engagement with the “Consumer Guide” series and for sharing the resources with prospective clients to ensure they have the information they need to find success in their homebuying or selling journey. Remember that these guides are for informational purposes only and are not meant to enact or change any existing NAR policy. Be on the lookout for next week’s guide on Wednesday, which will cover preparing prospective buyers for homeownership.

2026 LR Officer Elections, RVPs & NAR Director Applications

By Louisiana REALTORS® • February 12, 2025
The Louisiana REALTORS® Board of Directors will conduct several elections this Spring. Interested candidates that meet the qualification who are looking to serve at either the state association level or the national association level are encouraged to view the criteria and submit an application. An application that is not submitted on the appropriate form or not submitted pursuant to the instructions shall not be considered as submitted timely.
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