City of Chicago has filed a lawsuit against Airbnb, Airbnb Living LLC, and Slumber Stay LLC, one of the city’s most active short-term rental hosts. The lawsuit also names Slumber Stay’s manager, Milan Rubenstein, as a defendant.
According to a statement issued by Chicago Mayor Brandon Johnson, Commissioner of Business Affairs and Consumer Protection Ivan Capifali, and City Attorney Mary B. Richardson-Lowry, the lawsuit was filed in Cook County Circuit Court. The complaint alleges that the defendants have repeatedly violated Chicago’s Shared Housing Ordinance and various consumer protection laws.
The City alleges that Airbnb and the other defendants have profited from illegal short-term rental activities while evading legal obligations designed to protect short-term renters, maintain quality of life in neighborhoods, and preserve the supply of affordable housing.
Chicago Mayor Brandon Johnson said that requiring short-term rental companies to follow the same rules as everyone else is critical to the goal of building a safer and more affordable Chicago. Johnson stated that the administration will prevent bad-faith actors from evading regulatory oversight and will work to ensure the industry operates in a fair and safe manner for both city residents and visitors.
Johnson also noted that, at a time when housing costs are a major concern, the administration will continue to prioritize neighborhood stability, the needs of city residents, and responsible business practices.
