Latest news with #Bough
Reuters
14-04-2025
- Business
- Reuters
US judge rejects call to withdraw from real estate antitrust lawsuit
April 11 (Reuters) - A federal judge in Missouri declined a request that he withdraw from hearing a major antitrust lawsuit after disclosures showed lawyers in the case previously donated to political campaigns involving the judge's wife. In an order, opens new tab on Thursday, U.S. District Judge Stephen Bough said Howard Hanna Real Estate Services had not met the 'heavy burden of proof' to justify his recusal in the litigation in Kansas City. Howard Hanna is among several defendants in the antitrust lawsuit, which was filed by home sellers in 2023 accusing brokerages of conspiring to inflate the commission that sellers pay in residential real estate sales. A spokesperson for Howard Hanna said the company was evaluating the judge's order. Michael Ketchmark, a lead attorney for the plaintiffs, on Friday welcomed the order and said they looked forward to presenting the case to a jury. Bough did not immediately respond to a request for comment. Pittsburgh-founded Howard Hanna markets itself as the country's largest family-owned real estate brokerage. The lawsuit was filed by plaintiffs' lawyers who had won a landmark class action jury verdict in Bough's courtroom in a related antitrust lawsuit. Home sellers since that October 2023 verdict have secured more than a billion dollars in settlements with major brokerages and the real estate industry's chief trade group. The verdict spurred a wave of similar lawsuits against brokerages around the country. Bough's wife is an attorney and at-large councilmember for Kansas City, Missouri. Bough had disclosed the donations from members of the plaintiffs' team in an earlier, related class action. Donations from plaintiffs' lawyers to the judge's wife 'create an appearance of impropriety' for the court, Howard Hanna had argued to the court. A lawyer for the plaintiffs countered that the donations were not improper and that Howard Hanna delayed raising its disqualification bid "until after it lost all its motions trying to escape accountability in Missouri." In his ruling, Bough said his wife's campaign committee had received 'contributions from a huge cross section of the community, including lawyers representing both plaintiffs and defendants in this case.' The judge questioned the timing of the recusal bid by Howard Hanna, saying it had come after the court declined the company's effort to dismiss the lawsuit. Bough, in his decision, said he 'has taken significant time and effort to comply with the ethical rules.' The case is Don Gibson et al v. National Association of Realtors et al, U.S. District Court for the Western District of Missouri, No. 4:23-cv-00788-SRB. Lawyers cry foul over $34 million eXp settlement with US home sellers Home listing service ends antitrust lawsuit against US realtors' group
Reuters
11-03-2025
- Business
- Reuters
US judge in brokerage antitrust case faces recusal bid over political donations
March 11 (Reuters) - A national real estate brokerage has asked a U.S. judge in Missouri to withdraw from hearing a major antitrust lawsuit after disclosures showed plaintiffs' lawyers in the case previously donated to political campaigns involving the judge's wife. Howard Hanna Real Estate Services in a court filing, opens new tab on Monday said ethics rules require the recusal of U.S. District Judge Stephen Bough, whose wife is an attorney and at-large councilmember for Kansas City, Missouri. Howard Hanna is among several defendants in the lawsuit, which was filed by home sellers in 2023 and accused brokerages of conspiring to inflate the commission that sellers pay in residential real estate sales. The donations from plaintiffs' lawyers to the judge's wife 'create an appearance of impropriety' for the court, Howard Hanna said. The company has denied violating U.S. antitrust law. Howard Hanna declined to comment. Lawyers for the plaintiffs did not immediately respond to a request for comment. Bough did not immediately respond to a similar request left with his chambers. Howard Hanna's legal team at WilmerHale includes former Bill Clinton-era U.S. solicitor general Seth Waxman. Pittsburgh-founded Howard Hanna markets itself as the country's largest family-owned real estate brokerage, employing 15,000 sales associates in nearly 500 offices. The firm said it ended 2023 with more than $37 billion in closed sales volume. The lawsuit against Howard Hanna and other brokerages was filed by plaintiffs lawyers who had just won a landmark class action jury verdict in Bough's courtroom in a related antitrust lawsuit. Since that October 2023 verdict, home sellers have secured more than a billion dollars in settlements with major brokerages and the real estate industry's chief trade group. The verdict spurred a wave of similar lawsuits against brokerages around the country. Bough had disclosed the donations from members of the plaintiffs' team in the earlier class action. 'The ethics rules make it abundantly clear if I know someone is donating to my wife, then I need to put them on the conflicts list,' Bough said at a hearing last year in that case. He said at the hearing that he had just learned that one of the members of the plaintiff's team had donated to his wife. The judge also said some of the large defense law firms in the Kansas City area donated to his wife. At the hearing, Bough said he would be 'more than glad to step down,' but none of the parties asked for his recusal at the time. The case is Don Gibson et al v. National Association of Realtors et al, U.S. District Court for the Western District of Missouri, No. 4:23-cv-00788-SRB. Home listing service ends antitrust lawsuit against US realtors' group Judge approves US realtor group's $418 mln sales commission settlement
