Posted by Claudine Osborne on 5/27/09 2:52pm
Msg #290091

Update on Transcontinental/NNA

On May 19 we had a lively discussion on this board about Transcontinental Title and the NNA background screen requirement.

I wrote to the Anti Trust division and I received a reply today from the Anti -Trust division regarding TC and the NNA background screening. They have determined that there are no issues that needs to be investigated. If someone else has received a reply can you let us know. If you would like to see the email please PM me or I may post it here if anyone is interested.

Once again I feel that I have tried doing something to help our field.

Reply by Stamper_WI on 5/27/09 3:04pm
Msg #290093

Yeah...here

our attorneys have determined that the information provided does not raise antitrust issues that warrant further review by the Division.

The mission of the Antitrust Division is to enforce the antitrust laws. Decisions by individual customers to use a particular background check do not violate the antitrust laws. Even if the NNA had asked Transcontinental Title to use its system, it would not be a violation of the antitrust laws. This is true even though the NNA requires notaries seeking background checks to also join the NNA. The NNA does not have monopoly power. Moreover, individual customers are entitled to make the decisions they wish about the background checks they use without violating the antitrust laws.

Reply by Patricia Manatt on 5/27/09 3:06pm
Msg #290094

This is the email response from the DOJ I just received in reference to my complaint about TCT.

"Thank you for contacting the Antitrust Division of the U.S. Department of Justice. Legal staff has reviewed your recent email message about Transcontinental Title's decision to require National Notary Association (NNA) background checks. We understand your concerns, and appreciate you bringing them to our attention. However, our attorneys have determined that the information provided does not raise antitrust issues that warrant further review by the Division.

The mission of the Antitrust Division is to enforce the antitrust laws. Decisions by individual customers to use a particular background check do not violate the antitrust laws. Even if the NNA had asked Transcontinental Title to use its system, it would not be a violation of the antitrust laws. This is true even though the NNA requires notaries seeking background checks to also join the NNA. The NNA does not have monopoly power. Moreover, individual customers are entitled to make the decisions they wish about the background checks they use without violating the antitrust laws.

We appreciate your interest in the enforcement of the federal antitrust laws and we hope you are able to resolve your concerns.

Sincerely,

Citizen Complaint Center

Antitrust Division

Department of Justice

At least I gave them my .02 worth. Hopefully someone else had a better return on their complaint.

Reply by Linda_H/FL on 5/27/09 3:18pm
Msg #290098

Yep...I got that response today too.. n/m

Reply by MW/VA on 5/27/09 3:37pm
Msg #290101

Thanks for the update. In truth we do not have to join NNA, submit to their BCG, or work for any company requiring it. It would be another matter if we had to do that to work in the industry, but we don't. They kind of shoot themselves in the foot, because I will not renew my membership either.

Reply by Marian_in_CA on 5/27/09 3:42pm
Msg #290102

Legally speaking... they're right.

I've always felt this way... but they're right. This doesn't rise to the level of anti-trust violations primarily because it doesn't follow all three aspects of anti-trust law.

We actually discussed this in a business law class last semester, and the instructor (a business attorney) was pretty adamant about it. He said that while it may not be ethical or polite... it's not illegal, because businesses are allowed to choose their vendors and service providers, and they are allowed to put qualifications in place as it suits them.

Now, from our perspective it seems awful... the people at TCT who make the decisions may not know that.

As I mentioned the other day. The solution to this is not to report the NNA to the authorities (who won't do anything), but to educate the Title/Escrow companies. Unfortunately, the NNA is the only organization large enough and marketable enough to get in the door to get that accomplished. That's the problem. The NNA is a marketing machine.

The key to winning this 'battle' is to be competitive with the NNA's marketing tactics. That means getting another organization willing to organize the support on a nationwide level. That's a tall order... but it can be done.

Reply by MW/VA on 5/27/09 3:51pm
Msg #290104

Re: Legally speaking... they're right.

Exactly, Marian. IMO, like any other business they need some good stiff competition to keep things in balance.

Reply by LisaWI on 5/28/09 10:18am
Msg #290165

Re: Legally speaking... they're right.

" like any other business they need some good stiff competition to keep things in balance."

Totally agree. These were my thoughts also. Does anyone think any of the other "Orgs" might be able to pull this off? ASN comes to mind.

Reply by NCLisa on 5/27/09 5:15pm
Msg #290113

The way to beat the NNA is to steer clear of them,

let all the newbies sign up with them, and let the educated excellent NSA's stay away from the NNA. The TC's will eventually get sick of the low quality selection of notaries the NNA offers.

I don't do closings for the low fees that Fass pays anyway, so I don't lose anything by not being a member of the NNA . I have a BGC done by a local private investigating firm, so I could support a local business, and not one company that has asked me for a BGC has failed to accept that.

Reply by Dennis D Broadbooks on 5/27/09 6:26pm
Msg #290120

It's Not Just the Newbies Who Swear by (Not At) the NNA...

...as there are also more than a few veterans who "see no evil" when it comes to the NNA. If it lines their pockets...

Reply by CaliNotary on 5/28/09 12:17pm
Msg #290183

Ain't that the truth

I'm pretty sure there are even people in this thread who are NNA members, and I'm sure there are going to be plenty of veteran agents joining to get the BGC when push comes to shove.

The reality is that the NNA won this one and there's nothing we can do about it. All we can do is have a business plan that either includes them or doesn't, and go from there. There is never going to be an organized movement by signing agents that is going to have the slightest effect on their business and it's time to give up the fantasy that there could be.

Personally, I've made it 6 years in this business without paying them a cent and I plan to keep it that way. And apart from the discussions about them on this board, I really don't give them a second thought or worry about what they're doing to screw up our industry. I just do what I've been doing and thus far it continues to work for me.