Zillow Sued in Federal Class Action Over Alleged Steering and Hidden Flex Fees
Plaintiffs say hidden Flex fees with steering on Zillow inflated prices.
Overview
- Filed Friday in U.S. District Court in Seattle by homebuyer Alucard Taylor, the suit names multiple Zillow entities and seeks nationwide class status, treble damages, disgorgement and an injunction.
- The complaint alleges Zillow’s “Contact Agent” and “Request a Tour” buttons route buyers to Zillow‑affiliated agents and prompt a Touring Agreement that describes services as free.
- Plaintiffs say Zillow’s Flex agents must remit up to 40% of their commissions to the company without disclosure to buyers or sellers, which they argue inflates purchase prices.
- The filing challenges a listing rule requiring properties to appear on Zillow within one business day of other public advertising, alleging enforcement up to bans with reinstatement by choosing a Zillow agent.
- Citing Zillow investor materials, the suit points to dominant search share and more than $2 billion in annual lead‑sales revenue to argue platform power, and Zillow had not commented at publication.