Judge denies Zillow’s motion to dismiss antitrust lawsuit.
A court has denied Zillow’s motion to dismiss after zeroing in on specific factual allegations that a judge found sufficiently concrete to let the case proceed. The opinion highlights reported referral fees in the 35%–40% range and the plaintiff’s claim that Zillow captures roughly 60% of the relevant audience, treating those figures as more than conclusory rhetoric. By citing those numeric assertions, the court signaled that the complaint meets the pleading standard to survive an early dismissal challenge, leaving questions about market power and fee practices open for further factual development rather than resolving them at the threshold.
The ruling pushes the dispute into the discovery phase, where alleged fee arrangements and audience metrics will be scrutinized and tested with documents and witness testimony. For Zillow and market participants, the decision raises both litigation and commercial stakes: continued attention to fee levels and audience concentration could affect partner relations, pricing arrangements and settlement dynamics even though the court has not found liability. The denial focuses the legal fight on whether the pleaded facts ultimately demonstrate unlawful conduct or lawful competitive behavior as the record develops.
Key elements:
– Denial of motion to dismiss — Court concluded the complaint plausibly alleged facts warranting further proceedings.
– Alleged referral fees (35%–40%) — Fee percentages cited by the court as a central factual claim supporting the plaintiff’s theory.
– Claimed audience share (~60%) — The plaintiff’s market-share allegation was treated as material to assessing market power at the pleading stage.
– Path to discovery — The ruling allows document exchanges and depositions to test the fee structures and audience metrics.
– No determination of liability — The decision preserves factual development and does not adjudicate whether any conduct was unlawful.
You can read this full article at: https://www.housingwire.com/articles/zillow-antitrust-lawsuit-tying/(subscription required)
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