Airbnb Australia Melbourne


May 24, 2017 way in which we use and sell goods and services. Rather than a straight transaction with a seller and a buyer and no intermediary, these sites do not sell anything at all. Rather, they introduce a person wanting to sell with a person wanting to buy. The parties
then conduct the transaction between themselves. These disruptive existing legal and regulatory framework. This article unpacks the different facets of the way our current laws are falling short of interfacing with the new breed of disruptors, using Airbnb
as an example.


There are also numerous other regulatory

matters that round out the * Food, health and safety regulations; * Fire or disability access regulations; and * The requirement for public liability insurance. Airbnb provides host protection insurance that protects hosts against third party claims of property damage or injury up to $1 million. This host protection coverage cover landlords and homeowners associations. ***
page. Emma is a Practice Leader at LegalVision and has 15 years of experience in legal practice. Emma heads up the commercial leasing team at LegalVision and also assists clients in the areas of Commercial Leasing
Planning. Emma

has large franchisor clients amongst her client base and regularly negotiates lease terms with large shopping centres contributing author for Lexis Nexis Australia and a freelance writer, having had pieces published at Kidspot, Flying Solo and Business Woman Media.

considered whether Airbnb was a sublease or licence. In this case, a The tenants then listed the apartment on Airbnb to third party guests for short-term stays. The landlord upon discovery initiated proceedings because the tenants had sublet the apartment unlawfully to At first instance, in the Victorian Civil and Administrative Tribunal leases to the Airbnb guests
As such, the VCAT ruled that the tenants had not sublet the apartment. However, the Supreme Court overturned the original

VCAT decision, deciding that the tenants had let the whole apartment and that subleasing. This case considered the narrow issue of subleasing and that the whether Airbnb itself was illegal. In fact, a test case may be difficult given the differing laws between Australian states and territories and within local government areas.


The law treats Airbnb differently depending upon which state the Airbnb rental is situated, but

there is also an issue between different local government areas within states. For example, local councils in New South Wales regulate short-term holiday rentals. The Zoning Laws or Local Environmental Plan of a particular council determines whether an individual can let a property as a holiday rental. A breach of these laws can result in action being taken under the planning laws or more generally under the Interestingly, third parties can bring an action under the EPA where approval. This law means that it is possible for an industry council could prosecute a resident for

letting their property on Airbnb. For instance, the Sydney Morning Herald reported in 2015 that Randwick Council had issued a letter threatening property owners with a fine for renting their properties on Airbnb. This penalty was on the count of operating an unauthorised bed and breakfast establishment.


Airbnb arrangements
This heat was due to the fact the sharing economy lets people operate evade tax, including Capital Gains Tax and GST. Technically income earned from an Airbnb short-term holiday let must be declared to the tax office, but many avoid this obligation, which is easy to do without a firm regulation of the industry.

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