A federal judge has rejected calls from Airbnb to change a San Francisco law that requires it to block or remove hosts who haven’t registered with the city.
The San Francisco ordinance, which came into force in August, means it is illegal for Airbnb to collect fees for booking services provided to the owners of properties, which have not been properly registered with the city.
More than 75% of the 7,000 Airbnb hosts in San Francisco listed on the site are not registered.
U.S. District Judge James Donato dismissed an argument from the homestay giant that the ordinance was motivated by a desire to suppress speech, reported Reuters.
Airbnb claimed the law goes against federal laws, including the Communications Decency Act and the First Amendment.
Although the judge disagreed, he said more clarification of the law was required.
The decision could have major repercussions for Airbnb who has used similar arguments in its legal battles with other US cities and states.
Airbnb said: “While we appreciate that the judge has acknowledged our concerns about the inadequacy of the screening obligations in the new law and has continued to postpone enforcement of these rules as a result, we respectfully disagree with the remainder of his ruling.
“No matter what happens in this case, we want to work with the City to fix the broken system long before the legal process runs its course.”
