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Utah Real Estate

The Commission Lawsuit Is Over. What It Actually Changes for a Utah Seller

A model house, a contract and a pen on a table in warm afternoon light

Quick answer: On August 19, 2026, the US Court of Appeals for the Eighth Circuit unanimously affirmed the class settlements in the Sitzer and Burnett commission litigation, rejecting every argument raised by the seven objectors who appealed. The combined settlements exceed $876 million. For a Utah buyer or seller, nothing new changes. What the ruling did was make the August 2024 changes permanent instead of provisional. Buyers still sign a written agreement with their own agent before touring. Buyer-agent compensation still does not appear in the MLS. What a seller contributes toward the other side is still negotiated in each transaction, and there is still no standard, customary, or state-set rate in Utah.

By Kris Bowen, Real Estate Broker, LPT Realty, 23 years and more than 1,000 Utah closings.

What the court actually decided

A three-judge panel heard final arguments more than seven months ago and ruled on August 19, 2026. The objectors argued that the plaintiffs lacked standing, that the payout and the proposed distribution were inadequate, and that the settlement inappropriately swept in home buyers. The panel rejected each of those arguments and left the settlements in place.

The underlying case was a Sherman Act challenge to a National Association of Realtors rule that had required sellers to offer compensation to buyer brokers as a condition of listing on a multiple listing service. That rule is gone. It has been gone since August 2024. What was still open until last week was whether the settlement that removed it would survive review.

It did. That is the whole of the news.

Why “nothing changed” is the useful headline

I have read a fair amount of commentary in the last few days implying that Utah sellers should expect something to happen to their costs. Nothing is going to happen to your costs because of this ruling. The court affirmed a settlement. It did not set a fee, cap a fee, or create a new one.

What it did do is close the door on a question that has been sitting under every listing appointment for two years: is any of this going to snap back? No. Plan around the current rules, because the current rules are the rules.

What has been true in Utah since 2024, and now stays true

There are two separate fees, not one. Your listing agreement covers the listing brokerage’s fee, and that is the only side your listing agent is paid from. The buyer’s agent is paid under a separate written agreement between the buyer and that agent. Two agreements, two brokerages, negotiated independently.

There is no standard, customary, or state-set rate for either fee. Every brokerage in Utah sets its own price and competes on it. Anyone who tells you what the rate “is” is describing what they charge, or guessing about what others charge. Ask each agent you interview to quote their own fee in writing, and compare the quotes.

Buyers sign first. Since August 2024 a Utah buyer signs a written buyer representation agreement, stating their agent’s compensation, before touring homes. That number is settled between the buyer and their agent before anyone walks through your front door.

Buyer-agent compensation is not in the MLS. It cannot be posted there, so an agent cannot filter or skip listings based on what is offered. This is the change that quietly protects sellers who contribute less, or nothing.

What you contribute is a decision, not a default. A buyer’s agent may ask you to contribute toward their fee. You may agree, you may counter with a smaller amount, or you may decline. All three are legitimate and all three happen. It is negotiated offer by offer, and you make the call when you have the offer in front of you rather than months earlier when you sign your listing agreement.

The four decisions a Utah seller still controls

The ruling is settled. These are not, and they are where the money actually is.

1. What you pay your own listing brokerage. Fully negotiable, always was. The thing worth weighing is not the number alone but what the number buys: the photography, the video, the paid distribution, the pre-list preparation, and the negotiating. A cheaper fee with no marketing behind it routinely costs more than it saves, because reach is what creates competing offers and competing offers are what move a price.

2. Whether to contribute toward the buyer’s agent, and how much. Approach this the way you approach any other concession: as a term of a specific offer, weighed against the price, the deadlines, and the strength of the financing. A contribution is not a fee you owe. It is a lever you can use, or not use, depending on the offer in front of you and how your home is positioned.

3. Whether to counter a compensation request instead of accepting or rejecting it. This is the option most sellers do not realize they have. A request for a contribution is a term like any other, and terms get countered.

4. Who you hire. The single largest variable in what a sale nets you is still the person running it. How to choose a listing agent covers the ten questions that separate them, and the Salt Lake County days-on-market numbers to hold the answers against.

What this does not mean

It does not mean commissions are now fixed, standardized, or predictable. The opposite is closer to true: pricing in Utah brokerage is more openly competitive than it has been in decades, which is exactly what the settlement was designed to produce.

It does not mean buyers now pay their own agent out of pocket in every deal. Some do, some negotiate a seller contribution, some fold it into the offer terms. It varies deal to deal, which is the point.

And it does not mean you need to decide anything today. If you are listing in the next few months, the decision that matters is who you hire and how the home is prepared and priced. The compensation question arrives later, with a specific offer attached, and it is easier to answer then.

The practical next step

If you are thinking about selling on the Wasatch Front, start with the number, not the fee structure. Know what your home is actually worth right now, then work backward to what a sale nets you.

Questions about your specific situation? Call 801-999-8005. No pressure, and no obligation.


Sources: US Court of Appeals for the Eighth Circuit decision of August 19, 2026, as reported by the National Association of Realtors, Inman, RISMedia, and Duane Morris LLP. This article is general information about a court ruling and Utah brokerage practice. It is not legal advice. For legal questions about your own transaction, talk to a Utah real estate attorney.

Kris Bowen, Real Estate Broker
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