A court has ordered Airbnb to pay a small French island more than €8 million in compensation for its failure to collect tourist taxes, reports The Times.
The landmark judgment in favour of Oléron, a tourist destination off the Atlantic coast that is known for its oyster farms, is viewed as a triumph for local councils fighting holiday rentals.
Poitiers appeals court made its decision after more than two years of legal proceedings. The dispute is one of many pitting French officials against the US holiday rentals platform. Airbnb said it was considering a further appeal.
The court upheld earlier rulings by lower courts and increased the amount Airbnb must pay Oléron by a factor of six.
The rentals website expressed outrage that “the penalties amount to more than 25 times the amount of the uncollected taxes”. The judges, however, said the award was “far from exorbitant in comparison to Airbnb’s financial capacities”.
Read more of this report from The Times.