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Dale says CREA engaging in ‘smear campaign’ against him

CREA is engaging in a “public exercise of character assassination without fear of repercussions” in its filing to the Competition Tribunal opposing Lawrence Dale’s application for intervenor status, says Dale in his response to CREA’s filing.

Lawrence Dale

Lawrence Dale

“It is clear that, as opposed to addressing Dale’s request for leave to intervene on its merits, CREA has introduced wholly irrelevant facts solely for the purpose of engaging in a calculated smear campaign against Dale,” says Dale’s response.

“CREA devotes a significant portion of its response to chronicling litigation that directly or indirectly involves Dale in some capacity. The existence of litigation between Dale and Realtysellers against CREA is irrelevant to the tribunal’s consideration of Dale’s request,” it says.

Melanie Aitken

Melanie Aitken

Commissioner Melanie Aitken does not oppose Dale’s intervenor application, stating that he “is in a position to make unique and informed representations to the tribunal on matters relevant to the proceedings as defined in the pleadings.” However, she says that, recognizing Dale’s “past and existing litigation proceedings between CREA and Realtysellers…there should be limits on Mr. Dale’s intervention.” She says Dale should not have the right to inspect documents produced by either the commissioner or CREA; that he should not be entitled to conduct oral examinations for discovery and should not be examined for discovery by either CREA or the commissioner; and that he should not be permitted to review discovery transcripts, except those that directly concern Realtysellers or its principals.

Dale disagrees that his intervention should be limited. “The argument that Dale’s participation in the instant proceedings should be constrained because of the existence of other proceedings assumes that Dale would or could make improper use of the participation rights granted to him,” says Dale’s response. “Dale submits that there is no basis for assuming that he will engage in such conduct. Dale must address the issues specifically raised by the commissioner and has no right to introduce new issues. Further, Dale’s role as an intervenor will be limited by the scope of the rights granted by the tribunal. Finally, any concern is negated by the tribunal’s inherent ability to control its process, including Dale’s participation in these proceedings.”

In the response to CREA’s filing, Dale says, “Once CREA’s anticompetitive practices preventing entry by competitors seeking to offer non-traditional real estate services are lifted, Dale plans to re-enter the relevant market with a non-traditional brokerage.”

He continues, “While CREA has made much of the May 2009 revocation of the broker registrations of Realtysellers and Stephen Moranis, this information is completely unrelated to Dale or his eligibility to provide real estate services; non-traditional or otherwise. This is yet another example of CREA’s deliberate and improper tactic of introducing wholly irrelevant information solely for the purpose of attacking Dale’s character.”

The National FSBO Network (NFN) has also asked for intervenor status at the tribunal hearings, stating that if the commissioner’s application is successful, it could “ultimately lead to the demise of FSBO businesses and the cost effective services they provide and effectively a monopoly situation.”

The commissioner opposes the request, saying that “the grounds submitted by NFN in its motion materials are insufficient to grant leave to intervene on this matter.” She says that since NFN does not offer residential real estate brokerage services, “it is not directly affected by the MLS restrictions.”

CREA says it agrees with NFN that the tribunal should “be provided with a complete understanding of the real estate marketplace before making a decision on the commissioner’s application” and that NFN should be granted intervenor status.

All of the case documents can be viewed here.

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