Airbnb Ordered to Pay Paris Government $9.5 M

A French court ordered Airbnb to pay the Paris government $9.47 million in fines for illegal listings. A Paris law passed in 2017 requires rental companies such as Airbnb to provide the government with registration numbers for their rentals. The company allegedly fail

BY Realty Plus
Published - Monday, 05 Jul, 2021

Airbnb Ordered to Pay Paris Government $9.5 M

A French court ordered Airbnb to pay the Paris government $9.47 million in fines for illegal listings. A Paris law passed in 2017 requires rental companies such as Airbnb to provide the government with registration numbers for their rentals. The company allegedly failed to do so with 1,010 listings, prompting the city to sue in 2019. “This is the first time in France that a community has condemned a digital giant. The responsibility of the platforms is finally recognized. A formidable victory for Parisians,” said Deputy Mayor Ian Brossat, who oversees housing in the city. The purpose of the law is to ensure that the listed properties are not rented for more than 120 nights out of the year and that owners declare their rental income to local tax authorities. Airbnb argued unsuccessfully that it is not at fault if users of the platform do not comply with local regulations. The court ordered the company to pay $9,470 per illegal listing. The company’s actions violated the “public interest of fighting against the shortage of rental lodgings” in Paris, the court said. Airbnb made the decision to not allow rental listings without reference numbers in February while the case was being adjudicated. “Airbnb will help hosts and guests follow the rules, such as by enforcing registration for hosts in Paris and other major cities across the country who list entire homes and by launching a dedicated hotline for neighbors to report noise or nuisance,” the company said. As part of its “landmark commitment to the French government,” in addition to making sure hosts comply with regulations, the company will promote travel to less trafficked French mountain villages.