MV Realty is being sued by Attorneys General in four states for deceptive business practices, and now the Washington State Senate is taking action.
It has voted unanimously to pass Senate Bill 5399, which would curb those deals significantly and stop companies from making decades-long listing deals by cutting the length to just two years.
“At the end of the day, Mr. President, this bill narrows the length of time you can do a future listing agreement to two years, which we think is much more reasonable than the current contracts are being entered into last year,” the bill’s author, State Sen. Mark Mullet from Issaquah, said. “That can be 40 years in length. And last year, Mr. President, there are 750 different people in the state of Washington who entered into contracts such as these. And I think when it comes time, when they realize what they’ve signed up for, most have had regrets. And so we encourage adoption of this bill today. This is not something we need happening in the state of Washington.”
After receiving the constitutional majority, substitute Senate Bill 5399 was declared as passed.
The Florida-based company pays as little as $300 for the right to sell your home for 40 years.
It’s also under fire for making alleged illegal robocalls by the FCC.
We told you about the story of Ron Glenn. His 85-year-old mother Betty Wiedenhoft and partner Allan McPherson had no idea Ron signed a deal with MV Realty.
When he died four months later, she sold the property with another agent.
Because of that, MV Realty wanted $23,000 to get out of her dead son’s deal.
“I don’t mind paying something that’s honest and above board, but I don’t like to be taken advantage of. And I feel they’re taking advantage big,” Betty said.
We’ve also learned MV Realty is not currently signing new deals.
In a statement the company says:
MV Realty has voluntarily temporarily suspended entering into new customers contracts as we work to address the concerns raised by regulators and legislators. The Company remains confident that the Homeowner Benefit Program fully complies with the law and benefits consumers who receive a cash incentive to select MV Realty as their listing agent.
We’ll keep you updated as the bill makes its way to the House.
An MV Realty spokesperson tells KIRO 7 that the company operates with transparency and in full compliance with the law and it extended condolences to the Glenn family for their loss.
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