Skift Take
The judge's ruling tossing out HomeAway's suit against the City of San Francisco's short-term rental law may not be the end of the story. HomeAway could still be liable for collecting occupancy tax under the city's pre-existing ordinance.
A U.S. District Court judge threw out HomeAway's lawsuit against the City of San Francisco's new short-term rental law, although HomeAway has until February 26 to file an amended complaint.
Under existing San Francisco law, short-term rentals of fewer than 30 days are barred. The new law, which is slated to go into effect on February 1, creates an exception and permits permanent residents who occupy their primary residence for at least 275 days during the calendar year to offer short-term rentals.
Judge Joseph Spero, sitting in U.S. District Court for the Northern District of California, on January 27 granted the City of San Francisco's motion to dismiss HomeAway's complaint challenging the short-term rental law, and denied HomeAway request for a prelimi
