Skynet Corporation d/b/a ZeroBrokerFees.com v. Slattery
May the government restrict the speech of real estate advertising websites?

This is the question the Institute for Justice seeks to answer with a federal court lawsuit filed on Tuesday, June 13, 2006 in U.S. District Court in Concord.  It challenges New Hampshire’s onerous licensing regime on behalf of ZeroBrokerFees.com, an Internet real estate advertising company.  Current State law requires Internet advertising companies like ZeroBrokerFees.com to become licensed real estate brokers in order to provide their service.

ZeroBrokerFees.com was started by Ed Williams and Frank Mackay-Smith, former mortgage lenders who quickly recognized the power of the Internet to transform real estate transactions.  Their company uses the Internet to distribute listings to a large audience—providing consumers maximum choice and flexibility in selling or buying their home without paying high broker commissions. 

In its court papers, the Institute for Justice contends that New Hampshire’s law is an unconstitutional prior restraint on speech, an invalid regulation of commercial speech and improperly discriminates against certain companies and individuals based solely on the media they use to convey information. 

Founded in 1991, The Institute for Justice has successfully defended First Amendment rights nationwide and is committed to reinforcing and expanding the U.S. Supreme Court’s recognition that “the free flow of commercial information is indispensable” to a free society.   In 2004 the Institute for Justice freed online advertisers from complying with California’s onerous real estate licensing regime.