Compass responds to Corcoran’s “multi-front assault” suit

“No agents should feel trapped” just for changing firms, startup says

New York /
Mar.March 25, 2015 12:59 PM

Compass responded Wednesday to the Corcoran Group’s lawsuit against it, saying in a statement to The Real Deal that the New York State Supreme Court has “flatly rejected” Corcoran’s complaints against the startup brokerage.

According to Compass, the “Court scoffed at Corcoran’s attempt to prevent its agents from working for Compass and merely instructed Compass’ personnel to continue complying with Company policies already in place — not accessing others’ listings databases and following existing non-solicit agreements.”

The firm added that the court allowed it “to continue operating its business as usual, which, according to the Court, may include Compass’ recruitment of Corcoran employees and agents.”

Documents From The Court hearing Tuesday are currently sealed, and as such, Compass’ statements about the hearing could not be independently verified. In a statement, Corcoran said the firm does not comment on ongoing litigation.

On Monday, TRD first reported on Corcoran’s legal action, which accused Compass of using “unlawful methods” in a “coordinated, multi-front assault of unfair competition” and sought a temporary restraining order against Compass. The suit also named former Corcoran agents and managers who are now at Compass.

The next day, TRD reported on the job offer that Compass made to Gene Martinez, the former manager of Corcoran’s Soho office. Corcoran included a copy of the offer letter in its suit against Compass, as support for its claim that Martinez violated his noncompete agreement with the firm.

In Wednesday’s statement, Compass said, “No agents should feel trapped by the threat of being sued just for exercising their independence and deciding to change firms.”


Related Articles

arrow_forward_ios
49 East 10th Street and Barbara Corcoran (Credit: Google Maps and Getty Images)

Corcoran to shut down office in building partly owned by Barbara Corcoran

Corcoran to shut down office in building partly owned by Barbara Corcoran
Corcoran President & CEO Pamela Liebman (Credit: Corcoran, Getty Images)

Welcome to Queens: Corcoran opens first borough outpost

Welcome to Queens: Corcoran opens first borough outpost
Corcoran CEO & President Pamela Liebman (Credit: iStock)

Corcoran begins new lead-gen push via Facebook ads

Corcoran begins new lead-gen push via Facebook ads
From left: American Express CEO Kenneth Chenault, Joshua Kushner, Richard LeFrak, Softbank CEO Masayoshi Son, Miki Naftali and Salesforce CEO Marc Benioff (Getty)

Compass’ IPO means payday for these investors

Compass’ IPO means payday for these investors
Robert Reffkin (Getty, iStock)

Compass files confidentially for IPO

Compass files confidentially for IPO
Rober Reffkin and J. Gregory Maffei (Getty, Linkedin, iStock)

Compass poached brokers with bait-and-switch, ex-agent alleges

Compass poached brokers with bait-and-switch, ex-agent alleges
Scott Durkin, president and COO of Douglas Elliman; Bess Freedman, CEO of Brown Harris Stevens

The Covid churn: Inside resi brokerages’ recruiting games

The Covid churn: Inside resi brokerages’ recruiting games
195 Amity Street and 561 Pacific Street in Brooklyn (Photos via Google Maps; 561 Pacific)

Historic Cobble Hill townhouse tops Brooklyn’s luxury contracts last week

Historic Cobble Hill townhouse tops Brooklyn’s luxury contracts last week
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...