MRED Moves to Compel Arbitration in Zillow Antitrust Lawsuit
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TL;DR
- MRED filed a motion to compel arbitration in Zillow's antitrust lawsuit.
- The motion cites mandatory arbitration clauses in contract agreements.
- MRED requests a stay on non-arbitrable claims and opposes Zillow's preliminary injunction.
- The court has not yet ruled; a two-day hearing is scheduled.
Overview
Midwest Real Estate Data (MRED) has asked a federal court to compel arbitration in response to an ongoing antitrust lawsuit filed by Zillow and Compass International Holdings. This request precedes a scheduled two-day hearing on Zillow's motion for a preliminary injunction.
What Happened
On Monday, MRED filed documents with the court asserting that its contracts with Zillow-including the IDX and VOW agreements-contain mandatory arbitration clauses covering related disputes.
MRED argues the arbitration provisions are enforceable and claims that Zillow, as a party to these contracts, is bound by them. MRED also distinguishes its 'Participation Agreement' from the IDX access agreements, emphasizing that the latter are central to the current dispute and contain the mandatory arbitration clauses.
MRED has requested the court stay all claims deemed non-arbitrable and deny Zillow's preliminary injunction, arguing the court already prevented MRED from suspending its listing feed to Zillow via a temporary restraining order.
Zillow opposes the motion, describing MRED's actions as an effort to remove the case from public scrutiny. As of Tuesday afternoon, the court had not ruled on the motion. A two-day hearing on Zillow's preliminary injunction request was set to begin Wednesday.
Context
The litigation stems from Zillow's antitrust claims filed in May against MRED and Compass, alleging that they conspired to withhold certain real estate listing data and exert pressure on Zillow regarding private listings.
MRED's motion focuses on arbitration clauses it believes govern the dispute, while Zillow contests the enforceability of those provisions.
Why It Matters
- If granted, MRED's motion would move significant parts of the dispute out of public court and into arbitration, potentially reducing transparency and changing the procedural direction of the case.
- The outcome could affect how similar contractual arbitration clauses are treated in antitrust and real estate disputes.
Sources
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MRED seeks arbitration in Zillow antitrust lawsuit
housingwire.com
