Sponsor
Audience-funded nonprofit news
radio tower icon laist logo
Next Up:
0:00
0:00
Subscribe
  • Listen Now Playing Listen

This is an archival story that predates current editorial management.

This archival content was written, edited, and published prior to LAist's acquisition by its current owner, Southern California Public Radio ("SCPR"). Content, such as language choice and subject matter, in archival articles therefore may not align with SCPR's current editorial standards. To learn more about those standards and why we make this distinction, please click here.

News

Airbnb Sues Anaheim Over New Short-Term Rental Rules

With our free press under threat and federal funding for public media gone, your support matters more than ever. Help keep the LAist newsroom strong, become a monthly member or increase your support today.


It's only been a few weeks since the city of Anaheim decided to ban short-term rentals and Airbnb is already suing. The suit was filed in the U.S. District Court of Santa Ana on Thursday, according to the L.A. Times. The suit alleges that the new laws put the onus on Airbnb and similar sites when it comes to ensuring that listed properties meet the city's regulations by asking the sites to remove any listings that do not have a permit or are in violation of the new regulations in some other way. The sites have 10 days to do so, or may be fined $500 to $2,000, depending on how many offenses they've racked up.

The city began requiring permits in 2014, which cost $250 annually. However, the city stopped issuing permits in 2015 after the number of permits reached 400. There are now 363 permitted short-term rentals in the city and according to the new laws, they have 18 months to shut down starting August 11. There are also other new rules which include how many people can stay in one rental at a time, as well as noise and parking restrictions. Those found operating short-term rentals without a permit may have their water and power shut off.

Airbnb contends that it should be the property owners, not the listing sites, who are responsible for following these rules. The suit also alleges that the regulation is in violation of the Communications Decency Act of 1996, which states "no provider or user of an interactive computer service shall be treated as the publisher or speaker of any information provided by another information content provider." So, basically Airbnb is saying that they shouldn't be held responsible if an Anaheim resident decides to use their platform to violate city laws.

The only way for Airbnb to be safe, the suit claims, is to simply stop listing all Anaheim rentals. Airbnb also claims the regulations are in violation of the First Amendment, saying "it is a content-based restriction on speech, in the form of rental listings," according to the OC Register.

Sponsor

"We want to keep working with governments to craft rules that work, but the city of Anaheim quickly banned this economic lifeline and created regulations that violate federal law,” Alison Schumer, a spokesperson for Airbnb, said.

Airbnb is also suing San Francisco for similar reasons.

Anaheim residents opposed to short-term rentals claimed that operators were turning residences into hotels, driving up the price of apartments that could have otherwise gone to people who actually live and work in Anaheim. Those in favor say that operators were fixing up problem properties, or simply making money needed to support themselves. A Fullerton couple told the OC Register that they bought two condos four years ago, charging people $200 a night to stay. They used this money so that the mother of the family could quit her job and stay home with her children.

At LAist, we believe in journalism without censorship and the right of a free press to speak truth to those in power. Our hard-hitting watchdog reporting on local government, climate, and the ongoing housing and homelessness crisis is trustworthy, independent and freely accessible to everyone thanks to the support of readers like you.

But the game has changed: Congress voted to eliminate funding for public media across the country. Here at LAist that means a loss of $1.7 million in our budget every year. We want to assure you that despite growing threats to free press and free speech, LAist will remain a voice you know and trust. Speaking frankly, the amount of reader support we receive will help determine how strong of a newsroom we are going forward to cover the important news in our community.

We’re asking you to stand up for independent reporting that will not be silenced. With more individuals like you supporting this public service, we can continue to provide essential coverage for Southern Californians that you can’t find anywhere else. Become a monthly member today to help sustain this mission.

Thank you for your generous support and belief in the value of independent news.
Senior Vice President News, Editor in Chief

Chip in now to fund your local journalism

A row of graphics payment types: Visa, MasterCard, Apple Pay and PayPal, and  below a lock with Secure Payment text to the right