REBNY Appeals Broker Fee Ban, Warns of Lasting Harm

REBNY claims the law violates brokers’ First Amendment rights and undermines legal contracts between brokers and landlords. The trade group says the legislation will disrupt the city’s rental market, drive up rents, and lead landlords to warehouse rent-stabilized units. REBNY argues that the city could have achieved its policy goals through less restrictive means.

The city, however, counters that reversing the law now would create "chaos," especially since renters and brokers have already adapted to the changes. A previous federal judge ruled against REBNY in June, stating that the group failed to show a constitutional violation and dismissed most of its claims.

REBNY’s appeal focuses on reviving its First Amendment argument, while leaving its state preemption claims aside for now. If the Second Circuit rules in REBNY’s favor, the case would return to the district court. If rejected, the group may take the fight to the Supreme Court.