B.W. v. Airbnb, Inc.

Summary

The United States District Court for the Northern District of California denies Airbnb’s motion to dismiss a negligence action brought by B.W., who alleges carbon monoxide poisoning and permanent injury at an Airbnb rental in New Mexico. Applying California’s governmental-interest choice-of-law test, the court applies California law and concludes that B.W. adequately alleged Airbnb owed him a duty of care. The court also denies Airbnb’s request to strike the prayer for punitive damages.

Holdings

1. California law governs the duty-of-care and punitive-damages issues because California and New Mexico have materially different laws, both states have interests in applying their laws, and B.W. did not show that New Mexico's interests would be more impaired by application of California law.
2. The complaint adequately alleged that Airbnb owed B.W. a duty of care because Airbnb's entire conduct in facilitating rental transactions while allegedly knowing of the risk posed by properties without carbon monoxide detectors created a risk of harm.
3. The complaint adequately supported a prayer for punitive damages under California law because its allegations, taken as true and viewed favorably to B.W., plausibly alleged despicable conduct carried on with conscious disregard for the safety of others.

Questions Presented

1. Whether California or New Mexico law governed the negligence and punitive-damages issues under California's governmental-interest choice-of-law test.
2. Whether the complaint adequately alleged that Airbnb owed B.W. a duty of care under California law.
3. Whether the complaint adequately alleged facts supporting a prayer for punitive damages under California law.

Disposition

other