Which act prohibits brokers from discussing commission charges with one another?

The Sherman Anti-Trust Act is designed to promote fair competition and to prevent monopolies and conspiracies that could harm consumers. One of the specific violations addressed by this act involves price-fixing, which can occur when brokers collude or discuss their commission structures. When brokers communicate about commission rates, it can lead to standardized pricing practices that undermine competition among real estate professionals.

This act is especially relevant to the practices of real estate brokers, as it safeguards the integrity of the marketplace by ensuring that commission rates are determined independently by each broker rather than being coordinated through discussions with competitors. By making it illegal to discuss commission charges, the Sherman Anti-Trust Act upholds fair competition, allowing consumers to benefit from varied pricing and services in the real estate market.

The other acts mentioned, while important in their own right, focus on different aspects of real estate and commerce. The Real Estate Settlement Procedures Act primarily addresses issues related to closing costs and disclosures for buyers and sellers, the Federal Trade Commission Act governs unfair business practices broadly rather than specifically targeting commission discussions among brokers, and the Fair Housing Act is focused on preventing discrimination in housing. Each of these serves a distinct purpose that does not directly address the issue of commission discussions among brokers.