Airbnb bends to NYC restrictions
Airbnb threw in the towel in its battle with the Big Apple on Friday, agreeing not to contest the city’s new policy of imposing fines up to $7,500 on people who use the Web site to illegally rent out their apartments.
The legal settlement — which leaves AirBnb’s clients hung out to dry — gives the Web site assur- ance from the mayor’s office that it will not be fined.
But its users who violate the terms now face penalties of anywhere from $1,000 to $7,500.
It has long been illegal in New York state to rent entire apartments for less than 30 days.
New legislation — signed by Gov. Cuomo in October — made it easier for the city to enforce that rule by cracking down on listings for such illegal short-term rentals on Airbnb and other Web sites.
Enforcement of the new law — and the city’s ability to start collecting fines — was put on hold after Airbnb sued the city and the state claiming that the law infringed on the company’s free-speech right to advertise and on laws governing Internet use.
The company had dropped the state as a defendant in its lawsuit last month, when it became clear that the city would be doing most of the enforcement.
“As Airbnb knows, this state law does not target their company,” said Melissa Grace, a spokeswoman for Mayor de Blasio.
“Instead, it provides the city with an additional tool to use against those seeking to turn permanent homes into illegal, shortterm-stay hotels.
“The city will enforce this and other existing laws against bad actors,” she said.