Rightmove defends position after £1.5bn lawsuit wipes £300m off value - Property Industry Eye
Rightmove is defending itself against a £1.5bn lawsuit alleging unfair fees, which has already caused a £300m drop in its market value.Summary
Rightmove is responding to a class action lawsuit filed by accountant Jeremy Newman on behalf of numerous estate agents, alleging the company charged “unfair” fees and exploited its dominant market position. The claim seeks approximately £1.5bn in damages and has already resulted in a £300m decrease in Rightmove’s market value, reflecting investor concerns about financial and reputational risks. Rightmove strongly refutes the allegations, asserting it provides value to agents through its platform and reach, and intends to vigorously defend the case.
Over 250 estate agencies have expressed support for the claim, sharing concerns about Rightmove’s pricing practices and consistent fee increases. The lawsuit is being fully funded by Innsworth Capital, with legal support from Scott+Scott UK LLP and economic analysis from Kairos Economics.
James Hain-Cole of Scott+Scott stated that Rightmove has been able to financially pressure its subscribers due to a lack of effective competition, consistently raising prices without justification. Rightmove maintains its platform facilitates market transparency and provides a growing range of products and features to benefit the UK housing market.
(Source：Google News)