Orlando Realtor Scandal: Lockbox Giant Supra Accused of Poaching Members

Lisa Mailhot  |  November 4, 2024

Buyers

Orlando Realtor Scandal: Lockbox Giant Supra Accused of Poaching Members

 

In a significant legal move, the Orlando Regional Realtor Association (ORRA) has initiated a lawsuit against lockbox provider Supra and its parent company, Honeywell International, alleging they engaged in "intentional interference" with ORRA’s business relationships. In a bold legal battle, the Orlando Regional Realtor Association (ORRA) has filed a lawsuit against Supra, a lockbox provider, and its parent company, Honeywell International, accusing them of "intentionally interfering" in ORRA’s business relationships. Allegedly, Supra used ORRA's confidential member list to coax ORRA members to switch to rival associations. This serious accusation could reshape member loyalty dynamics within real estate associations and challenges the integrity of vendor relationships.

ORRA’s Allegations: Confidential Information Used to "Intimidate" Members

According to the lawsuit, ORRA, which boasts over 20,000 members, had a longstanding partnership with Supra since 2006. However, when ORRA decided not to renew its lockbox services agreement with Supra in June 2024, things took a sharp turn. On July 8, Supra allegedly sent an email to ORRA’s entire member list, warning members of potential business disruptions, ultimately urging them to “associate with other entities.”

ORRA's complaint accuses Supra of:

  • Misleading members about future service disruptions
  • Encouraging members to leave ORRA, resulting in an estimated loss of 67 to 100 members
  • Using confidential contact information in direct violation of their agreement, attempting to manipulate ORRA members’ business decisions.

One of the most alarming aspects of ORRA’s claim is the assertion that Supra’s email

“completely misrepresented ORRA and violated the Agreement by using the Confidential Information of ORRA,”

explicitly encouraging members to sever ties with ORRA.

Honeywell’s Defense: Denial of Allegations and Assertion of Vendor Rights

In response, Honeywell denies all claims of improper conduct, emphasizing that Supra accessed member contact details legally through its billing platform, not ORRA’s database. According to Honeywell, the communication was part of Supra’s legitimate efforts to “protect or promote a pre-existing economic interest” in its lockbox services and did not involve “improper means.”

The Legal and Ethical Implications: What’s at Stake?

The legal complaints brought by ORRA include claims of:

  • Tortious interference with both business and contractual relationships
  • Breach of contract and good faith
  • Misuse of confidential information to ORRA’s disadvantage.

If the court sides with ORRA, it could impose an injunction prohibiting Supra from accessing ORRA member information and mandate hefty damages, potentially reshaping how real estate vendors interact with association members.

Bottomline

The outcome of this case may set a precedent for real estate associations and the protection of member data in vendor partnerships. Whether you’re a seasoned Realtor or just starting out, loyalty and integrity within vendor relationships are crucial to long-term success.

If you’re considering a move and are drawn to the beautiful properties and opportunities in Orange County, let’s connect to explore your options!

 

 

Reference: Brambila, Andrea V. "Orlando Realtors Accuse Supra of Colluding to 'Steal Members'." Inman News, October 30, 2024.

RECENT BLOG POSTS

Mortgage Rates Drop, Boosting Homebuyers' Purchasing Power

As mortgage rates drop to their lowest level in months, homebuyers are gaining more purchasing power. Discover how this shift is benefiting house hunters and what it m… Read more

California Eases Building Rules to Tackle Housing Crisis

California is tackling its housing crisis by rolling back the California Environmental Quality Act (CEQA), long criticized for stalling new developments. This game-cha… Read more

Understanding Current Housing Market Trends

The housing market is experiencing some noticeable changes, from fewer new listings to a drop in buyer activity. In this blog, we dive into the latest market shifts, w… Read more

US Median Home Prices Hit Record High

The median sales price of a U.S. home has surged to a record high of $396,500, but with more homes on the market, buyers are in a stronger position to negotiate. Learn… Read more

Mortgage Applications Rise Slightly After Recent Decline

Mortgage applications have increased by 1.1% following a decline the previous week, signaling some shifts in the housing market. In this blog, we explore the latest mo… Read more

Longtime Homeowner? This Hidden Tax Could Cost You Thousands

Many longtime homeowners in Orange County are sitting on a hidden tax burden due to outdated capital gains rules that haven’t changed since 1997. Learn how this overlo… Read more

Home Prices Slow as Buyers Gain Power

May 2025 saw home prices at seasonal highs, but growth has nearly stalled as market dynamics shift. With more listings than buyers, slower sales, and increased negotia… Read more

What Home Sellers Must Know About Capital Gains Tax

Selling your home may come with a tax obligation if you earn a profit. Learn how capital gains taxes work, what exemptions may apply, and how to plan strategically to … Read more

Builders Struggling with Rates and Tariffs in May

The construction of single-family homes remained slow in May as builders face the dual challenges of high interest rates and tariff-related cost increases. Learn how t… Read more

We are excited to assist you in finding your perfect home

Let's find a time that suits you best to chat about your goals, show you how we work, and figure out how we can help you the most