Rachel Soale v. eXp Realty LLC

CourtDistrict Court, D. Arizona
DecidedMarch 9, 2026
Docket2:25-cv-00773
StatusUnknown

This text of Rachel Soale v. eXp Realty LLC (Rachel Soale v. eXp Realty LLC) is published on Counsel Stack Legal Research, covering District Court, D. Arizona primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rachel Soale v. eXp Realty LLC, (D. Ariz. 2026).

Opinion

1 WO 2 3 4 5 6 IN THE UNITED STATES DISTRICT COURT 7 FOR THE DISTRICT OF ARIZONA

9 Rachel Soale, No. CV-25-00773-PHX-GMS

10 Plaintiff, ORDER

11 v.

12 eXp Realty LLC,

13 Defendant. 14 15 16 Pending before the Court is Defendant eXp Realty, LLC’s (“Defendant”) Motion to 17 Dismiss Plaintiff Rachel Soale’s (“Plaintiff”) Class Action Complaint for failure to state a 18 claim, pursuant to Federal Rule of Civil Procedure 12(b)(6) (Doc. 12). For the reasons 19 discussed below, Defendant’s motion is granted in part and denied in part. 20 BACKGROUND1 21 Plaintiff is an Arizona resident and the owner of phone number (304) 695-XXXX, 22 a personal residential telephone number, which she registered with the Federal 23 Communication Commission’s (“FCC”) Do-Not-Call Registry (“DNC Registry”) in 2008. 24 (Doc. 1 at 2-3). Defendant “is a global real estate brokerage.” (Id. at 2). 25 In January 2025, Plaintiff received “numerous telephone calls and text messages 26 from (520) 772-4900,” all relating to her 2024 attempt to sell her house on the Multiple 27 Listing Service (“MLS”). (Id. at 3). The calls were not made directly by Defendant. (See

28 1 This recitation of the facts accepts as true any non-conclusory factual allegations made by Plaintiff in her Complaint, construed in the light most favorable to her. 1 Id. at 3-5; Doc. 12 at 2). Rather, the calls, “prerecorded voice[mail] messages,” and texts 2 came from the Joshua Jackson Realty Group. (Doc. 1 at 3). 3 In one voicemail, a male voice says: “Hey this is Josh Jackson at eXp Realty.” (Id. 4 at 5; Doc. 16 at 6). Joshua Jackson is a licensed Arizona real estate agent and an 5 independent contractor with Defendant, listed on Defendant’s national website “as one of 6 its licensed real estate agents,” and operates the Jackson Realty Group. (Doc. 1 at 5; Doc. 7 12 at 1, 3). Jackson’s Arizona licensure lists Defendant as his employer. (Doc. 1 at 5; Doc. 8 16 at 7). 9 According to Defendant’s Independent Contractor Agreement (“IAC”), its affiliated 10 “real estate agents are independent contractors and not employees.” (Doc. 12 at 3). 11 Defendant’s real estate agents “receive commission, not salaries, . . . are responsible for 12 their own taxes and benefits[,]” and must “comply with ‘all applicable laws, rules, and 13 regulations when providing’ services.” (Id.). 14 The messages from Jackson Realty Group “expressly acknowledge that they are 15 sent for the purposes of convincing Plaintiff to list her property through [Jackson], and not 16 to continue any ongoing relationship or transaction.” (Doc. 1 at 6). Nonetheless, the links 17 provided in the text messages took Plaintiff to a website which “prominently features 18 Defendant’s logo and branding” and contains “an electronic booklet touting [Defendant’s] 19 program to ‘guarantee’ that it will sell a consumer’s home within 23 days.” (Id. at 5). 20 Plaintiff believes that “Defendant obtained [her] telephone number via records 21 searches or third-party databases that link the suspected telephone numbers of homeowners 22 . . . , searching for expired listings to thereafter offer real estate services to those 23 homeowners.” (Id. at 6). Defendant advertises “[p]owerful lead generation platforms” to 24 potential agents, “along with training and mentorship for lead generation techniques.” (Id. 25 at 7). “Defendant receives a portion of commission proceeds derived from any 26 representation of a consumer by its affiliates and employees.” (Id. at 7-8). Indeed, 27 Defendant’s business relies on the following policy, which defines Defendant’s relationship 28 with its real estate agents: 1 All real estate brokerage relationships established for any real estate transactions, regardless of agency status, exist solely as 2 between eXp and the client (or customer), and not as between Agent and the client (or customer). Agent provides real estate 3 services to the client (or customer) on eXp’s behalf; all listings taken by Agent in connection with eXp’s business are and 4 remain the separate and exclusive property of eXp, and not of Agent. During the Term of this ICA, Agent shall diligently 5 carry out Agent’s duties on behalf of eXp with all reasonable skill, care, and diligence as expected of a licensed real estate 6 professional in Agent’s state(s) of licensure. 7 (Id. at 8). 8 Defendant’s website allows consumer to opt-in to communications from Defendant 9 “directly or by a third party vendor . . . acting on [Defendant’s] behalf” through phone calls 10 or text messages, “including marketing and promotional messages, using an automatic 11 telephone dialing system, related to [Defendant’s] products and services for real estate 12 transactions, even if [the consumer’s] name appears on the ‘Do Not Call’ list.” (Id.). 13 Plaintiff “did not give her prior express written consent to Defendant to send solicitation 14 or telemarketing messages to her cellular telephone.” (Id. at 5, 7). Nor did she “request 15 real estate services from Defendant, . . . use Defendant’s website or submit any inquiries 16 on it, [or] . . . otherwise communicate with Defendant prior to receiving these telemarketing 17 communications.” (Id. at 6). 18 DISCUSSION 19 I. Legal Standard: Failure to State a Claim 20 Under Rule 12(b)(6), a party may move to dismiss a claim for relief by asserting 21 “failure to state a claim upon which relief can be granted.” Fed. R. Civ. P. 12(b)(6). “To 22 survive a motion to dismiss, a complaint must contain sufficient factual matter, accepted 23 as true, to ‘state a claim to relief that is plausible on its face.’” Ashcroft v. Iqbal, 556 U.S. 24 662, 678 (2009) (quoting Bell Atlantic Corp. v. Twombly, 550 U.S. 544, 570 (2007)). “A 25 claim has facial plausibility when the plaintiff pleads factual content that allows the court 26 to draw the reasonable inference that the defendant is liable for the misconduct alleged.” 27 Id. “The plausibility standard . . . asks for more than a sheer possibility that a defendant 28 has acted unlawfully.” Id. 1 Indeed, the “[f]actual allegations must be enough to raise a right to relief above the 2 speculative level.” Twombly, 550 U.S. at 545. In reviewing the complaint and any 3 appropriately considered documents,2 the Court will “accept factual allegations in the 4 complaint as true and construe the pleadings in the light most favorable to the nonmoving 5 party.” Manzarek v. St. Paul Fire & Marine Ins. Co., 519 F.3d 1025, 1031 (9th Cir. 2008). 6 The Court will not, however, accept as true unreasonable inferences or conclusory legal 7 allegations cast in the form of factual allegations. W. Mining Council v. Watt, 643 F.2d 8 618, 624 (9th Cir. 1981). 9 II. Application 10 Plaintiff’s Class Action Complaint alleges that Defendants have violated the 11 Telephone Consumer Protection Act (“TCPA”), 47 U.S.C. § 227, and its implementing 12 regulations. (Doc. 1 at 2). The TCPA provides private causes of action based on violations 13 of its provisions or the regulations it authorizes. 47 U.S.C. § 227(b)(3), (c)(5). A plaintiff 14 may sue under a theory of direct liability or a theory of vicarious liability—under “federal 15 common-law principles of agency.” Campbell-Ewald Co. v. Gomez, 577 U.S. 153

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Rachel Soale v. eXp Realty LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rachel-soale-v-exp-realty-llc-azd-2026.