<HTML> <HEAD> <title>WebForm1</title> <meta name="GENERATOR" content="Microsoft Visual Studio .NET 7.1"> <meta name="CODE_LANGUAGE" content="Visual Basic .NET 7.1"> <meta name="vs_defaultClientScript" content="JavaScript"> <meta name="vs_targetSchema" content="http://schemas.microsoft.com/intellisense/ie5"> <META http-equiv=Content-Type content='text/html; charset=UTF-8'> </HEAD> <body > <TABLE id="Table1" cellSpacing="1" cellPadding="1" width="100%" border="0"> <TR> <TD><b>Comment Number:</b></TD> <TD>518795-00007</TD> </TR> <TR> <TD><b>Received Date:</b></TD> <TD>9/21/2005 7:32:21 PM</TD> </TR> <TR> <TD><b>Organization:</b></TD> <TD>CleanOffer, Inc.</TD> </TR> <TR> <TD><b>Commenter:</b></TD> <TD>Faudman, David</TD> </TR> <TR> <TD><b>State:</b></TD> <TD>CA</TD> </TR> <TR> <TD><b>Agency:</b></TD> <TD>Federal Trade Commission</TD> </TR> <TR> <TD><b>Rule:</b></TD> <TD>Competition Policy and the Real Estate Industry</TD> </TR> <TR> <TD><b>Docket ID:</b></TD> <TD>To Be Added</TD> </TR> <TR> <TD><b>Attachments:</b></TD> <TD><a href='518795-00007.pdf'>518795-00007.pdf</a>&nbsp<a href='http://www.adobe.com/products/acrobat/readstep2.html' target = _blank >Download Adobe Reader</a><br></TD> </TR> </TABLE> <hr/> <b>Comments:</b><br/><br/> September 21, 2005 To Whom It May Concern: In theory, the recent antitrust lawsuit by the Department of Justice (DOJ) against the National Association of Realtors (NAR) is intended to foster competition and provide consumer protection. The homebuyer and homeseller certainly deserve to have a variety of options in how they buy or sell property. Additionally, the government has a responsibility to protect the consumer. I am both an active local residential real estate agent/broker, and the founder and CEO of a successful on-line MLS search and Client Relationship Management tool for local real estate agents and their committed clients/buyers, one which works on a daily basis within MLS rules for the display of listings data. In this capacity, I have a deep understanding about the issues and concerns surrounding MLSs, brokers and consumers, and presumably because of this, I have been contacted previously by DOJ for comments on the issue of online listings access. In addition, I have attended the various NAR VOW workshops and am very familiar with the various NAR listing display proposals. In summary, it is clear to me that: &bull; Residential real estate is a local, not a national business " True real estate buyers and sellers demand and deserve competitive choices in how they buy and sell real estate " Creative business models must be encouraged in the residential brokerage industry " The value-added aspect of MLS listing data (pictures, narrative, compilation, etc.) must be afforded all the rights of any other copyrighted material MLSs play a crucial role not only in providing real estate agents with a central database for most local property listings, but also in spending a tremendous amount of money policing the data to ensure its accuracy in order to protect the consumer. One MLS official estimates that he spends 60% of his budget for this purpose. This key public service is paid for by the membership fees of the creators of this system, real estate agents, in order to better serve their clients. Agents and MLSs must be afforded copyright protection on the value-added aspect of their listings otherwise this system will be unfairly undermined to the ultimate disadvantage of the public. Recently, we asked Inman News, a premier on-line real estate news publisher, if we could post an article they wrote about our company, CleanOffer.com on our website. They replied,  We do not allow anyone to post our material on their Web site without a licensing contract. Even though the story was about our company, I agree with Inman that their copyright should be protected. The same applies to MLS property listings. The NAR plays a crucial role in protecting consumer rights and in promoting Realtor ethics. As the DOJ points out in its complaint, "The real estate brokerage business is local in nature. The problem with the NAR s proposed MLS listing display policies is not so much in the details of the proposals, but rather in the fact that a national association is trying to determine operational rules for local MLSs. Until MLSs are national in nature, NAR must leave their operations up to local associations and local market forces. Any data display policy that NAR tries to enforce on all local MLSs can only be viewed by DOJ as anti-competitive. Let local buyers and sellers drive the behavior of real estate agents and their MLSs. NAR should withdraw any national MLS policy rules. Based on my longstanding experience as a real estate agent/broker and as the founder of an online real estate company, I respectfully submit my request to serve as a panelist to comment on the above stated issues and information at the October 25 Workshop at the FTC's Satellite Building Conference Center. My contact information can be found below. Thank you for your consideration. Sincerely, David Faudman CEO CleanOffer, Inc.&nbsp;&nbsp;<A name=RDACT1></A> </body> </HTML>