Industry Update
External Article12 December 2018

Airbnb and Major Landlord Settle Lawsuit Over Subletting Violations

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The Miami settlement could have broader implications for Airbnb when other big landlords take it to task for hosts violating their apartment leases. And, it isn't a bad thing for Airbnb to resolve its issues with various regulators and to erase some of these legal irritants when it will likely solicit investors for a 2019 initial public offering.

Airbnb and a landlord that owns several large apartment complexes in Miami and other markets settled a lawsuit in which the plaintiff argued that tenants were violating their leases and creating harmful conditions by acting as hosts and renting their apartments to Airbnb customers.

In a joint statement Tuesday, Apartment Investment and Management Co. (Aimco), which owns the Bay Parc Apartments, Flamingo North Tower and Flamingo Center Tower apartment complexes in Miami, indicated that they have settled all of their disputes and the litigation between them has been dismissed. Plaintiff Aimco and defendant Airbnb said they believe the settlement is mutually beneficial.

While focused on Miami, the ruling any ruling would have directed how companies like Aimco pursued Airbnb in other destinations. The Denver-based Aimco operates in 22 markets and has 250,000 units on the market.

Read the full article at skift Inc.

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