Minnette Olsen 

To protect the consumers (i.e. sellers). It can be fraududent. Agents get to keep the rest for his commission,   Suppose the Olsen family wants to get $100K out of their property, the market value is $400K. The family was not advised.  Without doing any comepetive analysis, bidding the agent gets to keep $300K, a higher normal sale commission. 

Carol Williams said it best.

It creates a conflict of interest between the agency and the client.  

It puts the sellers at a distinct disadvantage.

that is th law

Because it is not in the consumers' best interest. It tends to benefit the agent who has a professional advantage over the general public.

They are illegal here.

consumer protection

Carol Williams nailed it.

Sam Shueh explained it well.  

I agree with Carol Williams.

##Because they do not benefit all sellers all the time.##

**You're welcome**

$$Please stop using the special characters before every question.  This isn't Craigslist, it won't boost your post to the top$$

It creates an environment where a seller can not easily see the cost/compensation paid the broker/agent. This practice can easily be construed as goals with counter intentions and may encourage deceptive practice by the agent/broker involved.

This consequently compels the use of assignable contracts and/or simultaneous or same day multiple transaction/ closings that will keep the seller completely in the dark until it is too late.

Minnette Olsen I have to go with Carol Williams answer. It also violates the fiduciary duty of Loyalty.

The politicians and/or the courts in those states have declared it to be illegal through the legal process.

Carol Williams nailed it.

It is illegal because state laws vary!

Because some think it put the seller at a big disadvantage.