Following Judge’s Injunction, Short-Term Rental Owners in Clark County Prepare for Next Phase of Legal Challenges

LAS VEGAS, NV – After a federal judge issued an injunction that prevents Clark County from enforcing a number of its enforcement efforts against unlicensed short-term rentals, homeowners within the municipality galvanized by the win are now gearing up for the next phase of legal challenges.

Earlier in December, U.S. District Court Judge Miranda Du issued a ruling after listening to both sides of a dispute between Clark County and the Greater Las Vegas Short-Term Rental Association (GLVSTRA).

The county is being sued by GLVSTRA – representing over 800 homeowners – as well multiple other plaintiffs – including Airbnb – claiming that property owners’ Constitutional rights have been violated after being forced to wait years for rental licenses to be granted, losing out on thousands of dollars in potential profits in the process.

The injunction issued by Judge Du blocks Clark County from imposing many of their short-term rental ordinances while the lawsuit plays out in the court system, including a pause on fines and citations for those operating rentals without a license.

The County cannot comment on pending litigation, but the County is aware of the order and will be reviewing it to determine next steps,” a county spokesperson told the media at the time the injunction was granted.

However, an attorney representing one of the plaintiffs, Mark Hutchison, declared that the injunction was the first step in securing justice for the hundreds of homeowners that are currently part of the lawsuit, and if successful, it may even have far-reaching implications for renters across the entire nation.

The ruling by Judge Du makes very clear that short-term rental owners and those who own properties and have a desire to rent them on a short-term basis, have property rights that are protected by the United States Constitution, and that the county has violated their property rights – and have violated their constitutional rights by not standing up a meaningful licensing scheme – and then, seeking to impose draconian fines against these property owners,” he said. “It’s a far-reaching ruling that it will have impact not only in Nevada, but I think throughout the nation.”

Lawyers representing the plaintiffs are also requesting a ruling from the court as to whether or not Clark County’s ordnances violate Nevada Assembly Bill 363, which upon passing into law in 2021 mandated that cities and counties within the state allow and create procedures for granting short-term rental licenses.

From that point, Clark Couty has been severely criticized for the slow, long, and drawn-out process of reviewing applications and granting licenses, with GLVSTRA’s Jackie Flores claiming that this bottleneck on the county’s part is by design.

“This has everything to do with protecting the resort hotel industry,” she said.

Shelter Realty Property Management specializes in the areas of  Henderson, Las Vegas and North Las Vegas, NV. Feel free to give us a call at 702.376.7379 so we can answer any questions you may have.