The CEO of the National Association of Realtors (NAR) is stepping down ahead of his planned retirement, just two days after the trade group faced a tough judgment in federal court regarding its guidelines on real estate agent commissions.
The NAR announced that Bob Goldberg, who has had a 30-year career at the trade association, will be stepping down. Nykia Wright, the former CEO of the Chicago Sun-Times, will take over on an interim basis starting November 20.
This unexpected departure comes after the NAR was ordered by a federal jury to pay nearly $1.8 billion in damages for artificially inflating commissions paid to real estate agents. This class-action suit, filed in 2019, alleged that the NAR and other defendants violated federal antitrust law by requiring home sellers to pay the buyer’s broker.
If the court decides to award treble damages, the NAR and the defendants could be liable for over $5 billion. The NAR has stated that it plans to appeal the ruling.
In a statement, Goldberg expressed his belief that it is the right time for the organization to look to the future. He will serve as an executive consultant during the transition to Wright.
This leadership change follows the resignation of former NAR President Kenny Parcell, who stepped down after sexual harassment allegations were reported by The New York Times. Tracy Kasper assumed the role of president-elect after Parcell’s departure.
The NAR, which boasts more than 1.5 million members, has faced scrutiny from both litigation and the Justice Department over allegations of restraining competition in residential real estate services. The government withdrew a proposed settlement agreement in 2021 to conduct a broader investigation into the NAR’s rules and conduct.
Another federal lawsuit has been filed against the NAR and national brokerages over agent commissions, seeking class-action status. The outcome of the 2019 case could potentially lead to changes in the rules determining agent commissions and who bears the cost of the transaction.
Nykia Wright, the incoming interim CEO, expressed her honor to join the organization and make a difference in the evolving real estate landscape.
