The Real Deal New York

Airbnb drops suit against NY — but continues fight against city

$30B company fighting law imposing $7,500 fine on illegal listings

November 23, 2016 09:00AM

From left: Bill de Blasio, Nathan Blecharczyk, Brian Chesky, Joe Gebbia and Andrew Cuomo

From left: Bill de Blasio, Nathan Blecharczyk, Brian Chesky, Joe Gebbia and Andrew Cuomo

Airbnb is withdrawing its lawsuit against New York state, but vowed to continue its legal crusade against New York City over what it claims are unfair rules constraining its business.

The short-term rental listing site had filed a suit against city and state in October, after Gov. Andrew Cuomo signed a bill imposing a fine of up to $7,500 on Airbnb hosts who break New York housing laws.

But now Airbnb and New York’s Attorney General Eric Schneiderman filed documents acknowledging that Airbnb’s complaint concerns New York City’s jurisdiction, and that the suit against the state should be dismissed.

“We have long sought to work with leaders in New York on clear, fair rules for home sharing,” an Airbnb spokesperson told the Wall Street Journal, “and we’re continuing to do all we can to protect the thousands of middle class families who depend on home sharing to earn a little extra money.”

Earlier this month, the Journal reported that Airbnb is in talks to settle its lawsuit.  Last week, a brokerage firm sued the company, most recently valued at $30 billion, for allegedly operating as an unregistered real estate broker.  [WSJ]Konrad Putzier 

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