NY governor approves fines for some rental ads—hours later, Airbnb sues

Enlarge / A computer screen shows the company logo in the Airbnb offices in Paris, France. on April 21, 2015. (credit: MARTIN BUREAU/AFP/Getty Images)

New York Gov. Andrew Cuomo signed a bill yesterday that will fine those who advertise short-term rentals that violate New York City’s short-term rental laws. The new rules are aimed squarely at illegal ads on the Airbnb platform.

Later on Friday, Airbnb filed a lawsuit (PDF) challenging the new law in court. The company says that the law violates Section 230 of the Communications Decency Act, which protects online platforms from liability for their users’ statements. The complaint also states that the New York law is an “unjustifiable content-based restriction on speech” that violates the First Amendment.

Renting out vacant apartments for 30 days or less is already illegal in New York. The new law imposes liability on anyone who places ads for such illegal rentals, whether the ad is in print, television, radio, or online. Fines range from $1,000 for a first offense to $7,500 for a third offense.

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Source: Ars Technica – NY governor approves fines for some rental ads—hours later, Airbnb sues