Zillow ($Z/$ZG) Redfin Rental Agreement Antitrust Risk Case

Attorneys review the case details to decide whether to proceed with a class action.

W.D. Washington

Court

2:26-cv-02016

Case number

02/11/2025

Class period Start

05/07/2026

Class period End

08/10/2026

Lead Plaintiff motion deadline

$Z and $ZG investors filed a claim against Zillow for allegedly describing its Redfin rental-listing deal as a partnership while hiding that it effectively removed Redfin as a competitor.
• After the FTC filed an antitrust lawsuit over the Redfin agreement, $Z fell 4.3% on September 30, 2025.
• $Z and $ZG investors can join this case to be notified about potential recovery.
Case Details:

Between February 11, 2025 and May 7, 2026, Zillow told investors that its agreement with Redfin was a rentals partnership making Zillow the exclusive provider of multifamily rental listings on Redfin’s sites. Executives emphasized that the arrangement would expand listing distribution and support Zillow’s long-term rentals strategy.

However, during this period, investors allege the agreement was not simply a partnership but a deal that caused Redfin to stop competing in multifamily rental advertising. Zillow allegedly failed to disclose that Redfin was required to transition customers to Zillow and exit parts of the rental advertising market. Zillow received competitively sensitive information and access to Redfin employees, and the agreement created a heightened risk of antitrust scrutiny and legal costs.

Then, on September 30, 2025, the FTC filed a lawsuit alleging Zillow and Redfin unlawfully agreed to suppress competition in online apartment rental listings. $Z fell 4.3%, closing at $77.05. 

Additional revelations followed on February 10, 2026 and May 7, 2026, including elevated legal expenses and a court ruling allowing the FTC lawsuit to proceed. 

By May 8, 2026, $Z had dropped to $41.43, representing a total decline of 46.2% over the correction period.

Based on these events, $Z and $ZG investors filed a claim against Zillow, alleging the company:
It hid antitrust risks from the Redfin deal.
It described the deal as a partnership while allegedly removing Redfin as a rental-listing competitor.
It prompted investors to reassess Zillow as legal scrutiny and costs mounted.
Investors argue Zillow misled the market about the Redfin agreement and related antitrust exposure, causing losses when the truth emerged.

Case Type

US Securities Class Action

Case Status

Attorney Investigation

Alleged Offence

Misleading Statements,

Fraud,

Failure to Disclose,

Omissions

Suspected Party

Management

Security Type

Stocks

Trade Direction

Long

Shock Event Date

09/30/2025

Filing date

06/09/2026

Lead Plaintiff Deadline

08/10/2026

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