A Legal Battle Over Short-Term Rentals Erupts in New York City

Suddenly, the business practices of Airbnb seem to be under attack in many locations—including one of the company's most lucrative markets.

2 minute read

October 24, 2016, 10:00 AM PDT

By James Brasuell @CasualBrasuell


New York Apartments

Ryan DeBerardinis / Shutterstock

Katie Benner reports: "Hours after Gov. Andrew M. Cuomo of New York signed a bill that would impose steep fines on Airbnb hosts who break local housing regulations, Airbnb filed a federal lawsuit contending the new law would cause it 'irreparable harm.'"

"The heightened battle in New York follows lawsuits that Airbnb has filed against its hometown San Francisco and in Santa Monica, Calif., which have both moved to fine the company for illegal listings," according to Benner, in a gesture to the broad scope of Airbnb's legal battles. Airbnb has also been banned in Berlin, while fighting legal battles in Amsterdam and Barcelona. One exception is the city of New Orleans, which recently legalized (with strings attached) Airbnb rentals in much of the city.

However, given New York City's huge market for short-term rentals, the "New York law is particularly worrisome for Airbnb," according to Benner. Airbnb's legal complaint "the company contends that the law violates the company’s constitutional rights to free speech and due process, as well as the protection it is afforded under the Communications Decency Act, a federal law that says websites cannot be held accountable for content published by their users."

The article includes a lot more detail about the political battles and negotiations leading up the state's adoption of the law, as well as a preview of the battles to come.

Joshua Brustein and Christian Berthelsen provide additional coverage of the new law and the resulting lawsuit in a separate article for Bloomberg.

Friday, October 21, 2016 in The New York Times

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Get top-rated, practical training

Painted bike lane with bike symbol and diamond on street in downtown Toronto, Ontario.

A Troubling Trend of Backlash to Bike Lanes

Some cities are going so far as to rip out protected bike infrastructure that took years of advocacy to build.

February 19, 2025 - Momentum Magazine

Cars on a New York City street

USDOT Revokes Approval for NYC Congestion Pricing

Despite the administration’s stated concern for the “working class,” 85 percent of Manhattan commuters use public transit to enter the city.

February 20, 2025 - StreetsBlog NYC

Tiny home village for unhoused reisdents in Torrance, California.

Tiny House Villages for Addressing Homelessness: An Interview with Yetimoni Kpeebi

One researcher's perspective on the potential of tiny homes and owner-built housing as one tool to fight the housing crisis.

February 20, 2025 - Mark Tirpak

Elk stands looking over its shoulder in a meadow with snow-capped mountains in background in Rocky Mountain National Park, Colorado.

Poll Shows Residents of Western States Prefer Conservation Over Oil and Gas

The majority of the poll’s respondents identified as politically conservative or independent, with 40 percent supporting MAGA platform.

17 minutes ago - High Country News

Close-up of green sign with SEPTA logo in Philadelphia, PA.

Philadelphia Tests Bulletproof Enclosures for Bus Drivers in Wake of Fatal Shooting

The city is one of several aiming to improve driver safety.

1 hour ago - U.S. News & World Report

View of Pennsylvania state capitol building with historical plaque in foreground.

Trump Administration Unfreezes Pennsylvania Climate Funding Amidst Lawsuits

Funding for air and water quality programs still at risk.

2 hours ago - Inside Climate News

Urban Design for Planners 1: Software Tools

This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.

Planning for Universal Design

Learn the tools for implementing Universal Design in planning regulations.