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Paris Could Sue Airbnb for 14 Million Dollars

Nikhil Dornala

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Airbnb

The City of Paris is reportedly suing Airbnb since they published 1,000 illegal rentals adverts, which could have costed the American rental website more than EUR 12.5 million (approximately $14 million), said the mayor of Paris during a newspaper interview on Sunday.

Under French law, homeowners in Paris have the facility to rent out their places on short-term rental platforms for about 120 days in a year. Advertisements will need to include a registration number so as to ensure that these properties are not rented out for more than stipulated amount of time.

France had passed a law in 2018 which made companies such as Airbnb punishable with fines up to EUR 12,500 per illegal posting, and the new provision Paris will be using this law to challenge Airbnb in court, said Paris Mayor Anne Hidalgo to the Journal du Dimanche newspaper.

During the interview, Hidalgo said thus- “The goal is to send a shot across the bows so as to get it done with the unauthorised rentals which will spoil some Parisian neighborhoods.

Several cities around the world have expressed their distaste and concerns regarding platforms such as Airbnb which stand as unfair competitors to hotels and could also turn a few neighborhoods into tourist-only zones.

A spokeswoman for Airbnb said that they implemented measures which would help Paris users aware of their website as well as comply with the European rules, but went on to add that these rules in Paris had remained “inefficient, disproportionate and in contravention with the European rules.

France has remained as Airbnb’s second-largest market after the United States. Paris is one of the most visited cities in the world and is Airbnb’s single biggest market, which has around 65,000 homes listed for rental purposes.

Airbnb was founded in 2008 in San Francisco, and it matches people who wish to rent out a part or all of their homes to temporary guests, with the help of their website.

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