What term is used for the conspiracy among real estate companies to set compensation rates?

The term "price fixing" refers to the illegal conspiracy among competing real estate companies to establish compensation rates or set prices at a certain level, rather than letting them be determined by market forces. This practice distorts fair competition, potentially leading to inflated commissions and harm to consumers, which is why it is prohibited under antitrust laws. Real estate professionals are required to operate based on competitive pricing models that reflect the true value of services rendered, rather than colluding to fix prices among themselves. Understanding price fixing is critical for those in the real estate industry, as engaging in or facilitating such practices can lead to severe legal repercussions and undermine trust in the market.