Major Lawsuit Exposes Dark Secrets of National Real Estate Group

image of realtor and couple getting keys to a house

A sexual harassment lawsuit against the National Association of Realtors exposes alarming workplace misconduct.

At a Glance

A former product manager, Roshani Sheth, filed a lawsuit against NAR, alleging sexual harassment.
Sheth claims she faced professional retaliation and racial discrimination after reporting misconduct.
Sheth is seeking over $2 million in damages, citing emotional distress and loss of wages.
Sheth’s lawsuit draws attention to cultural failings within NAR and the real estate sector.

Sexual Harassment Allegations at NAR

Roshani Sheth, a former product manager for the National Association of Realtors (NAR), has filed a federal lawsuit on the grounds of sexual harassment and discrimination. She claims that inappropriate conduct by male supervisors included comments on her appearance and sex life. When she attempted to address these issues with NAR higher-ups, she faced professional retaliation.

Sheth alleges that after reporting these issues, she was unlawfully terminated in 2019. Her reports to senior NAR officials, including Donna Gland, Linda Russell, and Chief Legal Counsel Katie Johnson, resulted in a toxic work environment rather than corrective actions. The lawsuit is not only targeting these individuals but also aims at highlighting broader systematic issues within NAR.

Racial Discrimination and Professional Retaliation

In addition to sexual harassment, Sheth, who is Indian American, cited instances of racial discrimination within NAR. Her lawsuit outlines “various acts of discrimination based on [Sheth’s] sex and national origin during her employment.” These acts included unequal terms of employment and failure to promote.

Moreover, Sheth claims that NAR officials interfered with her future employment prospects by failing to verify her employment to potential employers. She received hostile messages from NAR employees following her complaints, allegedly aimed at further damaging her career and mental well-being.

Seeking Compensation and Cultural Changes

Sheth is pursuing over $2 million in compensatory and punitive damages for the emotional distress and loss of wages caused by these allegations. Her willingness to publicly share her complaints, even breaking a nondisclosure agreement to bring light to the issue, emphasizes the crucial need for transparency and reform in workplace culture.

The lawsuit follows a series of other accusations against NAR, including those involving former President Kenny Parcell. Parcell resigned after a New York Times investigation revealed a pattern of sexual harassment. These cases have led to significant organizational upheaval within NAR.

The need for immediate and comprehensive cultural changes within NAR and the real estate sector cannot be overstated. Roshani Sheth’s allegations and the subsequent lawsuit should serve as a wake-up call to organizations about the importance of maintaining a safe and inclusive workplace.

A former NAR employee has sued the trade association, alleging retaliation and cyberstalking after she reported sexual harassment https://t.co/abGTVcq67u

— The Real Deal Chicago (@trdchicago) June 25, 2024

Ongoing Industry Implications

This case underscores a broader cultural issue within the real estate industry and many other sectors. The pressure on organizations to address these systemic problems and foster genuine equality in the workplace is more significant than ever.

Sheth’s lawsuit is significant not only for the compensation it seeks but also for the precedent it sets. This case may inspire other victims to come forward and drive critical changes in how the real estate sector addresses and mitigates issues of sexual harassment and professional misconduct.