According to an article in GeekWire, recently, a federal judge in Illinois dismissed a lawsuit against Zillow Group which claimed that its Zestimate tool represents an unfair business practice and makes it more difficult for people to sell their homes.
Chicago-area home-sellers led by Vipul Patel brought the lawsuit last year. They argued that Zillow markets Zestimate as a reliable home valuation tool, but it is actually often inaccurate and difficult to get changed. They also alleged Zillow lowers Zestimate values for homeowners selling properties themselves rather than using the company’s affiliated Premier Agents.
U.S. District Court Judge Amy J. St. Eve shot down the home-sellers’ arguments that Zillow’s practices violated Illinois laws against deceptive trade practices and consumer fraud. In her opinion last week, she wrote that Zillow is very clear about the fact that Zestimate is a starting point, not a valid appraisal.
Zillow said following the decision that “We are pleased that the court has dismissed the claims in this lawsuit not once, but now twice – finding the allegations in the lawsuit without merit. The Zestimate has proven itself to be a sought-after and valuable free tool for consumers.”
Read more here.
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