FTC settles with Zillow, Redfin; requires Redfin to restart rental listings business

Published Aug 25, 04:19 PM UTC

The U.S. Federal Trade Commission (FTC) reached a settlement with Zillow and Redfin over claims that the companies made an illegal deal to suppress competition in online rental advertising. The FTC alleged that Redfin agreed to shut down its internet listings and exclusively repost Zillow's apartment listings in exchange for $100 million and other compensation, staying out of the market for up to nine years. The proposed order, filed in U.S. District Court for the Eastern District of Virginia, requires Redfin to restart its standalone rental housing listings business and hire sufficient staff within six months or face financial penalties. The settlement also resolves litigation from state attorneys general in Arizona, Connecticut, New York, Virginia, and Washington. Redfin, now owned by Rocket Companies, will continue syndicating Zillow listings but is free to advertise non-Zillow listings. Both companies maintain the partnership was pro-consumer and procompetitive.