Because Airbnb’s business model is not designed to function like a real estate broker. The travel platform does not have a license to broker real estate in New York. This is where Parker Madison takes issue with Airbnb. Parker Madison does have a license and is following the rules that are established for real estate brokers. However, Judge Broderick decided that Parker Madison did not have any reason to claim that Airbnb was harming the brokerage. Unfortunately for Parker Madison, the fact that the two businesses are run in very different ways, Parker Madison was unable to show any correlation between the two.
Is it possible to win against Airbnb?
Parker Madison has claimed that Airbnb has taken clients from them, but due to the nature of the businesses, Parker Madison did not have proof of the accusation. Without that proof, Judge Broderick had no choice but to choose to dismiss the case against Airbnb. Parker Madison would need to prove that the two businesses function in similar ways to be able to prove any type of damage that Airbnb would cause. It appears that Parker Madison was not prepared for its case against Airbnb, because it was not able to respond to questions from the judge when it had the opportunity to fight against the motion to dismiss.
