Airbnb Sues Hometown San Francisco to Block Rental Rules

Airbnb says San Francisco law violates First Amendmenent
Company could face thousands in fines a day, Airbnb says

The Airbnb Inc. logo and application on an iPhone and iPad.

Photographer: Andrew Harrer/Bloomberg

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By Eric Newcomer

June 27, 2016 at 11:02 PM UTC

Updated on

June 28, 2016 at 1:59 AM UTC

This article is for subscribers only.

Airbnb Inc., the second-most highly valued San Francisco-based startup, sued its hometown over claims the city’s rental restrictions violate protections for internet companies and its free-speech rights.

The company is hoping to avoid thousands of dollars in daily fines it could face when a new San Francisco law takes full effect next month. The law, passed with a 10-0 vote by the city’s Board of Supervisors, would require Airbnb to make sure that hosts on its platform have registered with the city.