CARY,
N.C., Sept. 16, 2024 /PRNewswire/ -- Fathom
Realty, a wholly owned subsidiary of Fathom Holdings Inc. (Nasdaq:
FTHM), a national, technology-driven, end-to-end real estate
services platform integrating residential brokerage, mortgage,
title, and SaaS offerings for brokerages and agents, today
announced that it has reached a nationwide settlement related to
claims asserted in Burnett v. The National Association of
Realtors., et al.
While we believe the settlement amount is immaterial in GAAP
terms, Fathom Holdings is disclosing the details in the spirit of
transparency. As part of the settlement, Fathom Realty will pay
$500,000 into a settlement fund
within 5 days after the settlement is formally approved by the
court, $500,000 on or before
October 1st, 2025, and $1,950,000 on or before October 1st, 2026. The Company believes that it
has, and will generate, adequate funds to make these payments
without compromising its business.
Fathom Realty has also agreed to adhere to the rule changes put
forth by the National Association of REALTORS.
"Fathom Realty was founded on the principle of delivering
unparalleled support to our agents. We believe that this settlement
represents the most prudent way forward, enabling our agents to
focus on their clients without the distraction of prolonged
litigation," stated Fathom Holdings CEO, Marco Fregenal. "Our unwavering commitment to
providing excellent service to our agents, clients, and customers
remains steadfast. As we proceed, it is important to note that this
settlement is not an admission of liability or an acknowledgment of
the validity of any claims made against us. We continue to assert
that Fathom never participated in any conspiracy to inflate
commissions and continue to believe that due to our flat-fee model,
there was no incentive to join any such conspiracy. Entering into a
settlement now has the benefits of avoiding ongoing legal fees and
removing the demand on the executive team's time, allowing us to
focus on growing our business and ensuring our agents continue to
have the opportunity to excel in their service to clients."
About Fathom Holdings Inc.
Fathom Holdings Inc. is a
national, technology-driven, real estate services platform
integrating residential brokerage, mortgage, title, and SaaS
offerings to brokerages and agents by leveraging its proprietary
cloud-based software, intelliAgent. The Company's brands include
Fathom Realty, Encompass Lending, intelliAgent, LiveBy, Real
Results, and Verus Title. For more information, visit
www.FathomInc.com.
Cautionary Note Concerning Forward-Looking
Statements
This press release contains "forward-looking
statements," made pursuant to the Private Securities Litigation
Reform Act of 1995. Forward-looking statements are subject to
numerous conditions, many of which are beyond the control of the
Company, including: liquidity risk and the possibility the Company
might have to raise more money; risks related to acquisitions and
the integration of acquisition; risks related to general economic
conditions, including interest rates; risks in effectively managing
rapid growth in our business; reliance on key personnel;
competitive risks; and the other risk factors set forth from time
to time in our SEC filings, copies of which are available on the
SEC's website, www.sec.gov. The Company undertakes no obligation to
update these statements for revisions or changes after the date of
this release, except as required by law.
Investor Contact:
Matt Glover
Gateway Group, Inc.
949-574-3860
FTHM@gateway-grp.com
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SOURCE Fathom Holdings Inc.
