Compass Inc. (NYSE: COMP) announced it will dismiss its lawsuit against Zillow without prejudice following Zillow's decision to end restrictions on home sellers and real estate professionals who market listings on Compass websites or Redfin.com before listing on Zillow.

The real estate services company filed the lawsuit in response to what it called the "Zillow Ban," which previously prevented home sellers and their agents from marketing properties on certain platforms before using Zillow's services. Zillow announced the policy reversal on March 17, 2026.

"Our goal has always been to give homeowners more choice to decide when, where, and how to market their homes," said Robert Reffkin, Chairman and CEO of Compass. "We are pleased to see that other brokerages are now recognizing the strong consumer demand for more options in how they sell their homes."

The policy change removes the threat of being banned from Zillow's platform for real estate professionals who choose to market properties on competing platforms first. Compass stated this allows agents to fulfill their fiduciary duties to clients without facing potential penalties.

Compass operates globally with a presence in major U.S. cities and approximately 120 countries and territories. The company serves buyers and sellers through multiple real estate brands and maintains a network of more than 300,000 real estate professionals across its owned-brokerage and franchise operations.