Investor alleges Zillow lied about co-marketing program

Lawsuit seeks class-action status on behalf of shareholders
  • A lawsuit alleges Zillow Group defrauded hundreds or thousands of investors by not disclosing that its agent-lender co-marketing program is not compliant with RESPA.
  • Zillow Group maintains that its acts and practices are lawful and that its co-marketing program allows agents and lenders to comply with RESPA.
  • The outcome of settlement talks between Zillow Group and the CFPB is pending.

A Zillow Group shareholder has filed a lawsuit alleging the company and its two top executives defrauded investors by misrepresenting its co-marketing program’s compliance with an anti-kickback law, thereby artificially inflating the real estate giant’s stock price.