Zillow, MRED, Compass Await Ruling in Chicagoland MLS Dispute

Zillow, Midwest Real Estate Data (MRED), and Compass International Holdings are awaiting a ruling on Zillow's motion for a preliminary injunction. The hearing concluded last Thursday, with all parties required to file post-hearing briefs by Thursday of this week, and replies due the following Monday. The core of the dispute centers on Zillow's antitrust claim that MRED and Compass conspired to revoke Zillow's access to the Chicagoland Multiple Listing Service (MLS) data feed.

During the two-day hearing, Zillow presented arguments that MRED altered its objective criteria for filtering IDX listing data specifically to target Zillow, allegedly at Compass's request. Zillow contends that the suspension of its listing feed was not due to a neutral rule violation but rather because Zillow's policies threatened Compass's business model. Zillow's policy prohibits listings from its platform if they are not available on IDX or VOW feeds within one business day of public marketing, a rule that impacts Compass's practice of marketing properties as private exclusives before making them public through the MLS.

Zillow's legal team argued that its policy is pro-competitive and benefits consumers. The company asserted that MRED's actions were a direct response to Zillow's policy, which it claims would have negatively affected Compass's ability to market "private exclusive" listings. Judge John Tharp will rule on Zillow's motion for a preliminary injunction, a decision that requires Zillow to demonstrate irreparable harm without the injunction and a likelihood of prevailing at trial. The broader antitrust lawsuit hinges on the alleged collusion between MRED and Compass to restrict Zillow's access to essential listing information in the Chicagoland market.