France: Airbnb ordered to pay eight million euros [$9.5 million] fined by a Paris court after more than 1,000 of his registrations were found to violate registration laws in the French capital.
The colocation platform was fined 8,000 euros per ad “given the seriousness of the breaches… and their consequences for the general interest in the fight against the shortage of rental housing”, although the overall fine of less than 12.5 million euros was planned by the Parisian authorities.
The decision came after a long saga, which began in 2019 when the case was first filed. Officials in Paris, one of Airbnb’s biggest markets, found that 1,010 listings on the city’s home-sharing platform did not have the necessary registration number after legislation was passed four years ago.
Short-term rental properties are allowed to be rented for no more than 120 nights per year and all related income must be declared to the tax authorities in Paris.
A war of words has erupted between the rental platform and the French capital over perceived grievances that Airbnb is perpetuating an affordable housing shortage in the city by driving up property prices. Airbnb defended itself by saying that as a service provider it should not be held responsible for ensuring its users comply with local regulations.
Anne Hidalgothe mayor of Paris, previously told the French weekly The Sunday newspaper that Parisians “considered colocation as a business, rather than those who only rented a few days a year”.
His anger towards the platform was further escalated by the Partnership between the International Olympic Committee [IOC] and Airbnb before the Paris 2024 Olympics, which will be held in 2024.
During this week’s announcement, Hidalgo wrote on Twitter: “This decision, a first in France, is a great victory in our fight for housing for all and the regulation of the rental market”.
Meanwhile, Deputy Mayor Ian Brossat called the decision a “victory” in an interview, saying more than half of Airbnb’s 30,000 listings in Paris did not provide valid registration numbers. Before the pandemic, it was reported that there were 65,000 listings on Airbnb in the French capital.
Airbnb says it will now require all its hosts in Paris to provide proof that their apartments have been registered with the city, marking a change in the company’s stance. Until now, the platform did not ban tenants who did not provide legitimate registration numbers on their listings.
The platform is also committed to introducing similar rules in Bordeaux from July 30, and others French tourist destinations like Bordeaux, Lyon, Nice and Marseille later this year.
Airbnb said in a statement, “This new step is part of several commitments Airbnb has made to promote responsible tourism.”
However, he clarified that a “vast majority” of Paris landlords were already acting in accordance with the regulations set out by the Paris authorities.
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