A US District Court judge has dismissed a lawsuit posted by vacation rental firm HomeAway fighting the launch of San Francisco’s so-called ‘Airbnb law.’
The city wants to legalize vacation rentals in private homes but HomeAway argued the law favors Airbnb’s business model as it would be offered only for residents permanently living in the city.
HomeAway typically lists properties which are used as second homes where owners live elsewhere .
Chief Magistrate Judge Joseph Spero threw out HomeAway’s complaint purely because it is not a home owner affected by the ruling, which is set to begin next month.
A HomeAway customer living out of town should have make the claim and the company hinted at funding a new lawsuit brought by its users.
However San Francisco deputy city attorney Jeremy Goldman said the residency requirement is fair for all and is the best way to prevent any housing shortage.
"The city’s position is, it doesn’t discriminate based on where you live, but based on whether you are using residential property for commercial purposes," he said. "That applies to people regardless of where they live. If you live in San Francisco and buy up residential property to rent out for vacation rentals, and make it no longer available for people to live in, that has the same impact as if you don’t live in San Francisco," he said.
