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Zillow sued over alleged deception in its Flex program and listing rules, claiming hidden fees inflate commissions.
Zillow is facing a class-action lawsuit alleging its Flex program and listing policies misled consumers, potentially inflating real estate commissions.
The suit claims Zillow directs buyers to agents who pay up to 40% of their commission to the company—over $2 billion in revenue last year—without clear disclosure.
Plaintiffs argue that using Zillow’s “Contact Agent” feature leads buyers to believe they’re reaching the listing broker, not a Zillow-affiliated agent, obscuring the financial arrangement and possibly driving up prices.
The lawsuit also challenges Zillow’s 24-hour listing rule, seen as anticompetitive, and is linked to prior antitrust actions.
It seeks damages for U.S. buyers who used Zillow-referred agents in the past four years under federal and state laws.
Zillow denies the claims, calling them inaccurate and pledging a strong defense.
Zillow demandó por presunto engaño en su programa Flex y sus reglas de listado, alegando que las tarifas ocultas inflan las comisiones.