Santa Monica Wins Suit Against AirBandB, Homeaway

Written by on June 18, 2018

Santa Monica has won a major lawsuit brought by two large overnight rental companies.

This … according to the Santa Monica Daily Press.

Airbnb and HomeAway have lost their lawsuit against Santa Monica’s strict home sharing ordinance.

That echoes a decision from a different federal judge over San Francisco’s regulations.

The home sharing companies had argued that Santa Monica rules on renting houses or apartments over the internet violate federal laws that allow free speech over the internet.

A district court judge rejected that attack … and said Santa Monica has a right to regulate land use … it’s not restricting freedom of speech.

AirB and B and Homeaway now have to verify that its hosts are properly registered with the City of Santa Monica before booking guests.

Santa Monica’s strict home sharing ordinance prohibits the use of apartments, condominiums and houses for short-term rentals unless the host is present during the stay.

Hosts must register with the City and obtain a business license.

Santa Monica says 187 apartments and homes are listed on Airbnb in Santa Monica … 187 permits versus the estimated 950 places offered for rent.

The federal judge also rejected claims that Santa Monica’s ordinance violates the California Coastal Act … the court said that’s a matter for state courts to decide.

Malibu is in the process of drawing up an overnight rental ordinance for our area.

The federal judges are removing questions about whether it would be legal for Malibu to require homeowners to register with the city … and for requirements that Air B And B and Homeaway only advertise homes with city licenses.

The Santa Monica part of this story was reported by the Santa Monica Daily Press.


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