James Delahunty
11 Feb 2019 8:21
Airbnb is facing a lawsuit in Paris that could cost the company around $14 million due to advertisements.
Paris Mayor Anne Hidalgo revealed the details of the lawsuit to the Journal du Dimanche newspaper. At issue is the publishing of "illegal" rental adverts for property in the French capital. Last year, a law came into effect that would make firms punishable by fines up to €12,500 for illegal rental postings.
Regulations in France state that homeowners can rent out their property on short-term rental platforms for no more than 120 days in a year. To enforce the limit, advertisements are required to include a registration number so that properties can't be rented out for longer periods.
"The goal is to send a shot across the bows to get it over with unauthorized rentals that spoil some Parisian neighborhoods," Mayor Hidalgo said, reports Reuters.
Airbnb's stance is that the French rules are inefficient, disproportionate and in contravention of European rules. Nevertheless, it has implemented measures to help Parisian users comply with the law.