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Broad Coalition Supports Aimco Appeal of California Court Decision in Case Against Airbnb

2018-07-02 17:51 ET - News Release

LOS ANGELES, July 2, 2018 /PRNewswire/ -- Organizations representing the multi-family industry, municipal and county government, neighborhoods, hotels and lodging, and homeowners' associations today filed friends of the court briefs in the Ninth Circuit Court of Appeals in support of Apartment Investment and Management Company's (Aimco) efforts to hold Airbnb legally accountable for brokering and promoting illegal short-term rentals. 

Aimco logo. (PRNewsFoto/Aimco) (PRNewsFoto/)

On June 22 Aimco filed its own Ninth Circuit brief in its appeal of a December 2017 U.S. District Court ruling that the federal Communications Decency Act (CDA) grants Airbnb "immunity" from liability for its brokering of illegal short-term rentals at Aimco's apartment communities. The coalition filing amicus briefs backing Aimco's position that the CDA does not give Airbnb such broad immunity are the National Multifamily Housing Council and the National Apartment Association; the California Apartment Association and Avalon Bay Communities; the League of California Cities,  International Municipal Lawyers Association and California State Association of Counties; the American Hotel and Lodging Association; the Cooper Square Committee, Friends of Petrosino Square, Hell's Kitchen Neighborhood Association, the Housing Conservation Coordinators,  Westside Neighborhood Alliance and the Hotel Association of New York City; and the Community Associations Institute.

"Airbnb is a full-fledged real estate broker of illegal short-term rentals and should be held to the same level of scrutiny and accountability as a 'brick-and-mortar' broker engaged in comparable unauthorized activities," said Aimco's legal representative Mike Williams. "The CDA defense does not protect travel giant Airbnb for its business conduct which goes far beyond passive publishing to encompass a suite of brokerage and support services that facilitate, promote, and consummate these rental transactions that Airbnb knows are illegal."     

Williams added, "Aimco is joined by a strong coalition of organizations who share our concerns that Airbnb's unchecked actions violate local laws, create disruptions and safety concerns for residents, and introduce a revolving door of strangers into neighborhood communities."

A group of New York neighborhood associations filed an amicus brief with the court, highlighting the harms Airbnb has caused to affordable housing and stable communities.  "Airbnb's pitch that it helps the little guy 'make ends meet' and just facilitates short-term uses of extra space in resident-occupied units, may sound nice, but the reality is very different.  In New York City, for example, most listings are for entire units.  Airbnb rentals are routinely taken off the market for long-term use and are run like mini, unauthorized, and unregulated and illegal hotel rooms," said Tom Cayler, President of New York's West Side Neighborhood Alliance, which joined the brief.  "Airbnb does not 'share', they take.  This problem will only grow worse until Airbnb can be held accountable for its misconduct that goes beyond simply publishing property listings."

To protect the safety and quality of life of its full-time residents, Aimco is pursuing legal actions in California and in Florida to stop Airbnb's illicit short-term rental activities that are expressly prohibited in Aimco's lease agreements.  Despite repeatedly notifying Airbnb of this provision and asking Airbnb to stop, Airbnb has refused to cease brokering illegal short-term rentals.  While all prospective Aimco residents undergo criminal background checks, many Airbnb customers are unvetted and unknown trespassers who pose potential safety risks and have caused disruption and, in some cases property damage, at Aimco apartment communities.

Aimco is one of the country's largest owners and operators of apartments with 184 communities in 22 states and the District of Columbia. Aimco common shares are traded on the New York Stock Exchange under the ticker symbol AIV, and are included in the S&P 500.

 

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