Monopoly Allegations Revived
The Ninth Circuit’s June decision marked a sharp reversal of a 2023 California district court ruling that tossed CREXi’s claims. The lower court had found insufficient evidence of monopoly power and ruled CoStar’s broker contracts were not exclusive.
But the appellate panel saw it differently. CREXi alleged CoStar’s contracts effectively locked in brokers, while technological barriers created a moat around its platform. The panel highlighted evidence that CoStar raised prices after acquiring competitors or forcing rivals from the market—classic markers of monopoly power.
Broader Antitrust Stakes
The battle has drawn heavyweight interest. In August, a tech industry group and antitrust scholars sided with CoStar, warning the Ninth Circuit’s stance could upend long-standing antitrust doctrine.
The Chamber of Progress argued the ruling might pressure companies to share proprietary systems with rivals, “sidestepping foundational refusal-to-deal principles” and potentially chilling innovation across technology-driven markets.
