To all the agents in the house,
The head operator of three Keller Williams Market Centers (essentially the company's term for franchisees) in the Dallas area accuses former Keller Williams CEO John Davis of sexual harrassment, sexual assault, and retaliating against her for not having a romantic relationship with him. Inga Dow's 57-page complaint against Davis, Gary Keller, David Osborn, Smokey Garrett, and the company itself allege a Keller Williams culture where "female employees were encouraged to perform sexual favors or acts for male counterparts and/or top clients."
Davis has denied these charges, and, as Inman News reported, said that he dated Dow from 1998 to 2003, something Dow has not corroborated or said is untrue. Messages left with Dow and her lawyers at Michael Kim Legal in Dallas have not been returned. Osborn, who was in business with Dow and Davis, told me that, "None of the allegations are true."
"We are caught up in this storm and I intend to vigorously fight these false allegations," Osborn said.
Dow's claim of a sexist, hostile work environment leaped off the page of the lawsuit's amended complaint filed last week. But she is also making a couple of other allegations about Keller Williams. I would be interested to know if these claims resonate, or not, with other members of Keller Williams' sprawling operation.
One is that the company has an "extremely hands-on model of control."
In theory, Keller Williams is a company made up of people independent of one another. Market Center operating principles who can run their own local show. Independent contractor agents that act as their own boss and entrepreneur. But, in practice, Dow alleges, there are effectively mandatory meetings, conventions and even "camps" that Keller Williams affiliates attend.
The second, related, allegation is that Keller Williams has a "Complex and incestous structure of business and employment relationships," where it is difficult to assess who has a stake in what. Davis, for example, stepped down as Keller Williams CEO in 2019.
But he still allegedly holds a stake in multiple Keller Williams-affiliated entities. Davis has denied this. In an emailed response to questions, a Keller Williams spokesperson did not answer whether Davis still owns these stakes.
Now, I'm not a lawyer. But Dow must show this top-down, intricate corporate culture to make these legal allegations stick. It is legally difficult for any independent contractor, much less the owner of an established business like Dow is, to make claims of a hostile work environment and workplace retaliation. Indeed, initial motions in the case filed by the defendants say basically that her job position prevents her from making a claim.
Agents, my question to you is whether any of this does - or does not - jibe with your experience with Keller Williams? Is there a culture that makes women feel uncomfortable? And, is there a culture where ostensibly independent contractors feel too much control is exerted on them?
Or are these the allegations of just one franchisee owner that, even if true or somewhat true - and Davis and Osborn say they are not true at all, do not reflect the company?
Please anonymously send me your thoughts at mblake@housingwire.com.
Sincerely,
Matthew Blake
Senior Real Estate Reporter
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