There is an interesting legal fight going on between Airbnb and the city of New Orleans, and if you have any interest in the real estate market in this particular city, then you should be keeping up with the Airbnb New Orleans Lawsuit. Why, well, here we’re seeing that Airbnb is actually suing the city for some strict rules that they brought up and want Airbnb to follow these rules or else they’d have to face legal consequences. This is precisely what Airbnb is resisting against, and now they have taken the legal route for that. So, let’s get to some details of this case and find out what really is going on here.
How Did We Get Here?
Well, if you look at the details, this case actually goes back to 2016 when New Orleans started allowing STRs, which are just the short-term rentals, you know, the homes and apartments that can be rented out for 30 days or less. But the thing is, after this became a popular thing, more and more people started renting out these STRs, and the demand of Airbnb started rising too/ And then we saw that many complaints started rising regarding these STRs, like, many locals came up and said that these were making the housing prices shoot up way too much in the area, and all of this together was just running the quiet and chill vibes of the neighborhoods.
Sure, the city officials had to do something about it, so, back in 2019, they came up with a few rules that straight up ban the STRs that are run by out-of-state owners. But a federal court said that wasn’t okay.
That wasn’t it though, the city then came up with newer rules in 2023 to fix things up, but did they? Well, not quite actually!
So the city went back to the drawing board and came up with newer rules in 2023, which they hoped would finally solve the problem.
What’s Airbnb Mad About?
Well, we saw that on 14th February 2025, Airbnb and a few local homeowners filed this Airbnb New Orleans Lawsuit. Why? Like, what’s their main complaint, though? Oh, they’re straight up saying that the city is going too far with these strict rules. The overall point of this lawsuit is that the city is trying to stop the homeowners from using their properties however they want, which is a clear violation of their rights under both U.S. and Louisiana law. Just like the Humana Stars Lawsuit, which centers on alleged overreach and accountability in a federally regulated system, the Airbnb New Orleans case raises questions about how far local authorities can go in restricting private enterprise.
Airbnb’s Side of the Story
And if you look at what Airbnb is saying so far, you’ll kinda feel for them. They say that they’re just a platform to list the properties and connect them with renters, that’s all! So, it should not be their responsibility to make sure that the homeowners are following these rules.
Other than that, they also point out that short-term rentals help the local economy. In fact, they say the average Airbnb host in New Orleans made around $16,000 in 2023. And if you live in the United States, you know that it’s not just the side income, you know, it’s money they count on to pay bills, especially now when everything’s getting more expensive.
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Read related cases in our Other Major Lawsuits & Disputes section.
