Divisive Airbnb Legal Issues Addressed by Gomez and Simone Law

​Gomez and Simone, one of the leading Los Angeles real estate attorney groups is weighing in on an ever-evolving legal issue in the California real estate landscape. Among one of the hot button issues that has persistently grown in cities like San Francisco, Los Angeles, and other popular California tourist towns is the legality of Airbnb and the greater short-term rentals market.

According to Managing Partner Attorney Mark Gomez, it's important to be fully aware of legal options and binding agreements that apply to the short-term rental issue. Currently, a range of taxation and regulation is being considered in Sacramento, but so far nothing has been made into law yet. Some municipalities in the state have adopted their own codes that either regulate or restrict putting properties on the short-term rental market. It is a complex mix of interests at stake that are pitted against each other, including apartment landlords, homeowners, rental tenants and cities. Business licensing, zoning issues, tenants' tights, and property owners' rights are considerations in the issues, as well as the issue of housing scarcity and affordable housing.

With Airbnb, a city could fine you for unpaid taxes...

Mark Gomez, Managing Partner, Gomez & Simone

In his 2017 article "Top Seven Real Estate Commandments," Gomez writes that currently the most common rules that govern the short-term rental business are contained within lease agreements between tenants and landlords, as well as Home Owner Association agreements. There have been some highly-publicized cases of tenants who have been evicted for the purpose of making available short-term rental space. Who is in the wrong and who is in the right, depends greatly on the contents of the agreement. Gomez said that landlords who are considering renting out their property on the short-term rental market should first consult with an eviction attorney.

"The difference can sometimes be that a tenant, who has little to no assets, has nothing to lose while a homeowner usually has equity in their home that can be attached to a judgment if a tenant wins in court. Some tenants take advantage of this situation and roll their dice with litigation against a landlord, especially a new landlord," said Gomez.

Also to be considered are city codes and Home Owner Association Rules that cover the issue of short-term rentals for homes. For example, the City of Anaheim passed a stringent set of codes that limit the number of short-term rental properties allowed along with rules to be enforced on property owners.  

"With Airbnb, a city could fine you for unpaid taxes, your HOA could fine you for operating a business without a license or violating their HOA rules, or your 'customer’ could refuse to leave and after 30 days become entitled to tenant rights under California Law."

For more information on short-term rental legal issues, or to make a press inquiry, contact Gomez & Simone directly at (855) 219-3333.

Source: Gomez & Simone

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