FDD Items 3 & 4 · 2025 filing

Engel & Völkers litigation history

What Engel & Völkers disclosed about lawsuits, arbitrations and bankruptcy in the 2025 Franchise Disclosure Document. Item 3 lists the material legal actions a franchisor must report; Item 4 covers bankruptcy. This is the franchisor's own disclosure, not a court record, and not legal advice.

Items 3 (litigation) & 4 (bankruptcy) at a glance

What the filing discloses

Cases disclosed: 9; Item 3, as counted in the filing

Largest settlement, franchisor's own cases: $6.9M; As stated in Item 3

Bankruptcy (Item 4): None; Franchisor, parent, predecessor or officer

Filing year: 2025; Disclosures cover the prior ten years

Extracted from the 2025 Franchise Disclosure Document

Item 3: litigation

3 pending cases (antitrust class actions re broker commissions: Gibson consolidated / Lopez), 1 pending (EVFL v. EVA breach of contract); 4 concluded cases. Settled Gibson for $6.9M and Lopez for $800K.

Item 3 (litigation) · 9 matters disclosed · 3 pending listed

Litigation cases

The franchisor

Pending (3)

Aleandro Lopez, individually and on behalf of similarly situated individuals, v. Engel & Volkers, Engel & Volkers America, Inc., Live & Play LLC d/b/a Engel & Voelkers Chicago, Jennifer Ames Chicago, Inc., d/b/a Ames Group Chicago, Side, Inc., the Keyes Company, and Illustrated Properties, LLC
pending
Brought by a third party · filed 2025-04-17 · Northern District of Illinois, Eastern Division · 1:25-cv-04207 (consolidated for final approval with Tuccori v. At World Properties, LLC, 1:24-cv-150)
“… (Case No. 1:25-cv-04207) in the Northern District of Illinois, Eastern Division.”Page 18 of the 2025 FDD, Item 3
Outcome: “The Settlement Agreement includes a total monetary settlement amount of $800,000 to be paid by us into the qualified settlement fund over a period of time. The Court granted preliminary approval of the Settlement on October 15, 2025, and we are currently awaiting final approval.” (page 19)
Engel & Voelkers Florida Residential LLC, a Florida Limited Liability Company v. Engel & Völkers Americas, Inc.
pending
Brought by a franchisee · filed 2025-12-17 · United States District Court for the Southern District of New York · 1:25-cv-10474-LGS
“… (1:25-cv-10474-LGS). On December 17, 2025, Engel & Voelkers Florida Residential LLC (“EVFL”) filed a civil action against Engel & Völkers Americas, Inc. (“EVA”) in the United States District Court for the Southern District of New York.”Page 19 of the 2025 FDD, Item 3
Don Gibson, Lauren Criss, John Meiners, and Daniel Umpa, individually and on behalf of all others similarly situated v. National Association of Realtors, Homeservices of America, Inc., et al. (including Engel & Volkers, Engel & Volkers Americas, Inc.)
pending
Brought by a third party · filed 2024 · United States District Court for the Western District of Missouri, Western Division · 4:23-cv-00788-SRB (consolidation with 4:23-cv-00945-SRB)
“On April 23, 2024 plaintiffs filed a consolidated class action complaint against us and the above named defendants claiming an antitrust conspiracy by and between the National Association of Realtors® (“NAR”) and residential real estate brokerages to increase broker compensation at the expense of property sellers.”Page 18 of the 2025 FDD, Item 3
Outcome: “Although we vigorously dispute Plaintiffs’ allegations, we agreed to settle the case on June 18, 2024 and entered into a settlement agreement dated July 12, 2024 (“Settlement Agreement”) that includes a total monetary settlement amount of $6.9 million to be paid by us into the qualified settlement fund.”

Concluded (3)

EVCS, LLC and Amie Streater v. Engel & Völkers Americas, Inc., Curtin Stinson, Luxury Tucson, Inc., Turner Associates, LLC, and IRE Inc.
settled
Brought by a franchisee · filed 2023-10-26 · District Court, County of El Paso, State of Colorado · 2023CV32068
“… Case No. 2023CV32068 In the District Court, County of El Paso, State of Colorado.”Page 19 of the 2025 FDD, Item 3
Outcome: “On November 29, 2024 the plaintiffs and we entered into a settlement agreement by which all claims between plaintiffs and us were settled and we paid to plaintiffs a total amount of $200,000. On January 2, 2025 the court dismissed us with prejudice from the action.” (page 20)
Jessie Rodriguez and Cal American Homes and Realty v. Engel & Volkers Americas, Inc. and Does 100
settled
Brought by a franchisee · filed 2021-04-07 · U.S. District Court, The Central District of California · 2:21-cv-02993
“… Case No. 2:21-cv-02993, in the U.S. District Court, The Central District of California, On April 7, 2021 our franchisee, Cal American Homes and Realty, and its owner Jessie Rodriguez, filed a complaint against us alleging fraud, intentional interference with prospective economic advantage,”Page 20 of the 2025 FDD, Item 3
Outcome: “On April 27, 2021 the parties entered into a settlement agreement and all claims between them were settled, without any damages being paid.”
In Re: Franchise No Poaching Provisions, State of Washington v. Engel & Völkers Americas, Inc.
concluded
Government or regulatory action · filed 2019-08-16 · State of Washington, King County Superior Court · 19-2-25518-8
“In Re: Franchise No Poaching Provisions, State of Washington v. Engel & Völkers Americas,Inc., State of Washington, King County Superior Court, No. 19-2-25518-8, commenced on August 16, 2019.”Page 20 of the 2025 FDD, Item 3
Outcome: “The matter was resolved by Engel & Völkers and the Washington State Office of the Attorney General entering into an Assurance of Discontinuance, approved by the King County Superior Court on September 30, 2019.”

Parent, affiliates, master franchisor and subfranchisor

Concluded (3)

EV Scarsdale Corp. and Jonathan Lerner v. Engel & Voelkers North East, LLC, Engel & Voelkers N.Y., LLC as successor in interest to Engel & Voelkers North East, LLC, Engel & Völkers U.S. Holdings, Inc. and Rauert Peters
settled
Brought by a franchisee · Engel & Voelkers North East, LLC; Engel & Voelkers N.Y., LLC (successor in interest to North East); Engel & Völkers U.S. Holdings, Inc.; Rauert Peters · filed 2011-04-29 · Supreme Court of the State of New York, County of New York · Index No. 651169-11
“… Supreme Court of the State of New York, County of New York, Index No. 651169- 11, filed April 29, 2011.”Page 20 of the 2025 FDD, Item 3
Outcome: “The remaining claims were settled pursuant to a settlement agreement dated May 29, 2018 between us, the plaintiffs in this action and the plaintiffs in the 2 other actions disclosed in this Item (the “Settlement Agreement”). Pursuant to the Settlement Agreement, we paid the plaintiffs in the 3 cases a total amount of $125,000.” (page 21)
James Ian Properties Corp., Gary Leveillee and Gordon Dwan v. Engel & Voelkers North East LLC, Engel & Voelkers N.Y. LLC as successor in interest to Engel & Voelkers North East, LLC, Engel & Völkers U.S. Holdings, Inc., and Michael Audet
settled
Brought by a franchisee · Engel & Voelkers North East LLC; Engel & Voelkers N.Y. LLC (successor in interest); Engel & Völkers U.S. Holdings, Inc.; Michael Audet · filed 2011-06-10 · Supreme Court of the State of New York, County of New York · Index No: 651611/11
“… in the Supreme Court of the State of New York, County of New York, Index No: 651611/11, filed June 10, 2011.”Page 21 of the 2025 FDD, Item 3
Outcome: “The remaining claims were settled pursuant to the Settlement Agreement dated May 29, 2018 between us, the plaintiffs in this action and the plaintiffs in the 2 other actions disclosed in this Item. Pursuant to the Settlement Agreement, we paid the plaintiffs in the 3 cases a total amount of $125,000.”
Riverside Homes Realty Inc. and Ling Ho v. Engel & Voelkers North East LLC, Engel & Voelkers N.Y. LLC as successor in interest to Engel & Voelkers North East LLC, Engel & Völkers U.S. Holdings, Inc., Rauert Peters, Michael Audet and Ralph Lenihan
settled
Brought by a franchisee · Engel & Voelkers North East LLC; Engel & Voelkers N.Y. LLC (successor in interest); Engel & Völkers U.S. Holdings, Inc.; Rauert Peters, Michael Audet and Ralph Lenihan · filed 2011-06-10 · Supreme Court of the State of New York, County of New York · Index No. 651608/11
“… in the Supreme Court of the State of New York, County of New York, Index No. 651608/11, filed June 10, 2011.”Page 21 of the 2025 FDD, Item 3
Outcome: “The remaining claims were settled pursuant to the Settlement Agreement dated May 29, 2018 between us, the plaintiffs in this action and the plaintiffs in the 2 other actions disclosed in this Item. Pursuant to the Settlement Agreement, we paid the plaintiffs in the 3 cases a total amount of $125,000.” (page 22)

Item 3 lists the litigation the franchisor must disclose; a matter against a parent, an affiliate or a named officer is not a matter against the franchisor, and pending claims are allegations, not findings.

Disclosure signals that moved the score

How this shows up in the verdict

Multiple active litigation streams (antitrust, breach of contract, no-poaching investigation) create legal and operational uncertainty
Antitrust litigation specifically regarding 'broker commission rules' suggests franchisor practices may be under regulatory scrutiny and subject to forced change

The verdict grade is FranchiseVerdict's editorial assessment across SBA loan performance, unit growth, revenue and disclosure signals. It is not investment advice.

Before you weigh a lawsuit

How to read Item 3

A franchisor must disclose pending actions and any material civil action involving the franchise relationship, plus convictions or civil judgments for fraud, unfair or deceptive practices, or franchise-law violations, going back ten years. A case the franchisor brought against a franchisee counts too. Item 3 does not include every dispute: settled claims below the materiality line and matters resolved in private arbitration can be absent.

Questions worth asking current and former franchisees, using the contact list in Item 20:

Were you, or anyone you know in the system, party to a dispute with the franchisor?
Was it resolved by settlement, arbitration or a court, and on what terms?
Has the number of disputes gone up or down since you signed?

Back to the Engel & Völkers verdict Risk analysis on the brand page Franchisee contacts for due-diligence calls