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Lake Chapala's INSIDE LAKESIDE
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What ever happened with the federal lawsuit and fine against the GIL?

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What ever happened with the federal lawsuit and fine against the GIL? Empty What ever happened with the federal lawsuit and fine against the GIL?

Post by Talosian Sun May 12, 2013 5:25 am

I recall there were local (to Lakeside) hearings about the monopolistic practices/rules it used and ultimately some pretty hefty fines imposed.

Then I heard the GIL appealed (this was two or so years ago); the only thing I have heard since then from a real estate person who was involved in the action, is that it seemed to have been swept under the carpet and will stay there.

I no longer see the GIL logo in real estate office ads or the "A Proud Member of GIL" slogan.

Anyone know more?

Thanks.
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Post by Zedinmexico Sun May 12, 2013 7:45 am

No it did get real quiet.

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Post by shana Sun May 12, 2013 5:05 pm

Lawsuits still going on.

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Post by Talosian Sun May 12, 2013 5:27 pm

shana wrote:Lawsuits still going on.

As I said above, "

Then I heard the GIL appealed (this was two or so years ago); the only thing I have heard since then from a real estate person who was involved in the action, is that it seemed to have been swept under the carpet and will stay there."

As to it "still going on," where is it at and how do you know this?

A lawsuit can sit forever with the appellate court and I guess it's technically "still going on," so that says little.

Just curious.
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Post by shana Sun May 12, 2013 5:35 pm

A real estate broker mentioned lawsuits to me. I can only think that is what he is refering to as it was all Gil brokers we were talking about.

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Post by Texmexco Sun May 12, 2013 6:12 pm

A February 2012 post on TOB addressed this question also and gave the link. Just now I found and followed the link in that post and it does show that the monopoly suit is still pending, after two failed appeals by the local realtors. I gather it is the final appeal that is still pending, for how long...who knows. The suit appears to now be in its 6th year. Do I smell payoff here or just Mexican procrastination?

Here is that post with gov link:

It does get a bit confusing! I was told by several local real estate agents that the new CAR (chapalamls) site is the very same GIL group that has merely changed its name to Chapala Association of Realtors. They also told me that the monopoly/price fixing suit was over and they had won. However, I keep reading things to the contrary!!!!

So I went to check it out at the CFC (Federal Competition Commission) government web site:
http://www.cfc.gob.mx/index.php/publicacionesinformes

Many cases show Cierre (Closed), but for...
Case number (No de expediente): DE-019-2007
under Decisión, if you scroll down a bit, it shows that the GIL monopoly/price fixing suit is still PENDING UNDER FINAL APPEAL, with the $24,374,029.80 Multa (fine) also pending. When I click under the Multa (fine) amount on Ver detalles (See details), it shows how much fine has been levied against each GIL office and broker. Elsewhere on the site, it shows that this is the final appeal available to GIL, or CAR.

So, the agents I talked to must have been misinformed, mistaken or lying, or else the government web site is wrong. I speak Spanish and don’t believe I am misinterpreting the CFC site. It certainly DOES appear that Malaya is correct, and that the government suit and fines against GIL (or CAR) ARE still pending in the final appeal process.

I do know that the old site http://www.mlsmexico.com/ is NOT affiliated with GIL or CAR in any way. And that mlsmexico is NOT the one involved in the CFC suit; that one is the GIL/CAR chapalamls site.

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Post by Talosian Sun May 12, 2013 7:48 pm

Thanks TexMexCo.

I would love to see the fine finalized and payment forced.

But as said, esta es Mexico and $$ talks.
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Post by Jim W Sun May 12, 2013 7:57 pm

That would put most of Lakeside realtors out of business. As I understand it part of the suit dealt with employee ratios.......Gringo vs. Mexican sales agents. Obviously most agencies at Lakeside have an improper ratio.

It would be nice though, to see the sales commission similar to NOB.
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Post by Talosian Sun May 12, 2013 8:03 pm

Right, NOB the R.E. people set their own fees.

That's what got Justus Hauser kicked out of the GIL several years ago and he is the one who stood his ground.

There were probably others, but I know Justus was deeply involved against the GIL.
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Post by Jim W Sun May 12, 2013 8:22 pm

Justus is a good guy, and I listed my home with him for 6 months, however since he was "Black Balled" so to speak, his listings weren't shown on Lakeside MLS, and I moved my listing.

I hope one day Justus will get Justice, and all the offending brokers are forced to pay up, or close up.....LOL
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