FDD Items 3 & 4 · 2025 filing

@properties litigation history

What @properties 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: 10; Item 3, as counted in the filing

Largest settlement, franchisor's own cases: None stated

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

Six antitrust putative class action lawsuits filed in late 2023 and early 2024 against Parent, the Company, and Christie's International Real Estate Group related to real estate listing policies alleged to be anticompetitive. Cases pending in federal courts in Georgia, South Carolina, New York (2), Illinois, and Missouri. One case (Umpa) reached final settlement approval in November 2024. Additional non-class action pending: Stuart v. HK Lane Palm Desert involving breach of fiduciary duty and professional negligence claims.

Item 3 (litigation) · 10 matters disclosed · 7 pending listed

Litigation cases

The franchisor

Pending (3)

March v. The Real Estate Board of New York et al
pending
Brought by a third party · filed 2024-01-01 · S.D.N.Y. · 23-CV-09995
“… Case No. 23-CV-09995 (S.D.N.Y. filed Jan. 1, 2024). Putative class action on behalf of class of persons who sold residential real estate with the Real Estate Board of New York Listing Service Universal Co-Brokerage Agreement Rules and Regulations from November 8, 2019 through the date of case filing.”Page 12 of the 2025 FDD, Item 3
Friedman v. The Real Estate Board of New York, Inc. et al
pending
Brought by a third party · filed 2023-12-29 · S.D.N.Y. (originally E.D.N.Y.) · 24-CV-00405
“… Case No. 24-CV-00405 (S.D.N.Y.), originally 23-CV-09601 (E.D.N.Y. filed Dec. 29, 2023).”Page 12 of the 2025 FDD, Item 3
Burton v. Bluefield Realty Group, LLC et al.
pending
Brought by a third party · D.S.C. · 24-cv-01800-JDA
“… – Case No. 24-cv-01800-JDA (D.S.C.). Putative class action on behalf of statewide class of persons from November 6, 2019, through the date of case filing who used a listing broker in the sale of a home listed on an MLS in the District of South Carolina.”Page 12 of the 2025 FDD, Item 3

Concluded (2)

1925 Hooper LLC et al v. The National Association of Realtors et al.
settled
Brought by a third party · filed 2023-11-22 · N.D. Ga. · 23-CV-05392
“… Case No. 23-CV-05392 (N.D. Ga. filed Nov. 22, 2023).”Page 12 of the 2025 FDD, Item 3
Umpa v. The National Association of Realtors et al.
settled
Brought by a third party · filed 2023-12-27 · W.D. Mo. · 23-cv-000945
“… Case No. 23-cv-000945 (W.D. Mo. filed Dec. 27, 2023). Putative class action on behalf of nationwide class of persons from December 27, 2019 through the date of case filing who used a listing broker”Page 12 of the 2025 FDD, Item 3

Parent, affiliates, master franchisor and subfranchisor

Pending (4)

Tuccori v. At World Properties, LLC
pending
Brought by a third party · At World Properties, LLC (Parent) · filed 2024-01-05 · N.D. Ill. · 24-CV-00150
“… Case No. 24-CV-00150 (N.D. Ill. filed Jan. 05, 2024). Putative action on behalf of nationwide class of persons from March 17, 2000 through the date of case filing who purchased residential real estate listed on a NAR”Page 12 of the 2025 FDD, Item 3
Aratlakov v. Lost Island, et. al.
pending
Brought by a third party · At World Properties, LLC (Parent) · filed 2023-02-28 · Ill. Cir. Ct. · 2023 LA 19
“… Case No. 2023 LA 19 (Ill. Cir. Ct. filed February 28, 2023). Parent and licensed broker partners that are affiliated with Parent are currently the subject of a suit that alleges failure by a broker partner to disclose zoning”Page 13 of the 2025 FDD, Item 3
Lyons vs. Wilson, et al.
pending
Brought by a third party · At World Properties, LLC (Parent) · filed 2023-07-19 · Ill. Cir. Ct. · 2023 L 7202
“… Case No. 2023 L 7202 (Ill. Cir. Ct. filed July 19, 2023). Parent and licensed broker partners that are affiliated with Parent are currently the subject of a suit by a real property buyer Richard Lyons, who purchased real property sold by a broker partner.”Page 13 of the 2025 FDD, Item 3
Stuart v. HK Lane Palm Desert, Inc.
pending
Brought by a third party · HK Lane Palm Desert, Inc. and Christie's International Real Estate · filed 2018-07-23 · Sup. Ct. Cal. · PSC-1804352
“… Case No. PSC-1804352 (Sup. Ct. Cal. filed Jul. 23, 2018). Bruce F. Stuart, Trustee of the Bruce F. Stuart Trust Dated May 21, 1996, filed suit against”Page 12 of the 2025 FDD, Item 3

Concluded (1)

Kjarsgaard v. Reilly, et al.
settled
Brought by a third party · At World Properties, LLC (Parent) · filed 2017-02-17 · Ill. Cir. Ct. · 2018 L 11552
“… Case No. 2018 L 11552 (Ill. Cir. Ct. filed Feb. 17, 2017). Parent and licensed broker partners that are affiliated with Parent are currently the subject of a suit that alleges failure to disclose, fraud, and misrepresentations in connection with the sale of real estate to buyers, Joel and Kathryn Kjarsgaard.”Page 13 of the 2025 FDD, Item 3
Outcome: “Parent settled for $10,000 paid to the plaintiffs.”

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.

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 @properties verdict Risk analysis on the brand page Franchisee contacts for due-diligence calls