Fidelity National Financial, Jacksonville, Fla., has agreed to pay the Department of Housing and Urban Development $4.5 million to settle allegations of the anti-kickback provision of the Real Estate Settlement Procedures Act.
The settlement agreement says FNF denies the allegations and that it was in compliance with RESPA based on advice from its lawyers.
HUD was claiming FNF paid real estate brokers for the referral of settlement services. FNF has a online platform, TransactionPoint that automates a home sales transaction from listing to closing. Real estate brokers can a select settlement service provider through the system.
FNF entered into what HUD called "sub-license agreements" where FNF subsidiaries allegedly paid the real estate brokerages a fee for each referral of real estate settlement services.
In the settlement agreement, FNF maintains any payments were for the use of TransactionPoint since the fee was paid even if the transaction did not close. Those payments were also for goods actually furnished and services actually performed. Finally, the company said charges to consumers for settlement services were not affected by these payments.
FNF did not return a request for comment by deadline.
