The Quebec government has launched a new public registry short-term-rentals registry to combat illegal listings.

The initiative marks the final phase of Law 25, or An Act to fight illegal tourist accommodation, which has been in force since September 2023.

The registry enables users to verify whether short-term rental properties are properly registered with the province.

According to Quebec’s Ministry of Tourism, it offers “quick and transparent access to key information on tourist accommodation establishments, such as the category, registration number, issuing and expiry dates, and the establishment’s address,” CTV reported.

The new measure also places responsibility on platforms like Airbnb to ensure compliance. Non-compliant listings could lead to fines of up to $100,000 per infraction. The law aims to improve oversight after incidents like the 2023 fire in Old Montreal, where seven lives were tragically lost in a heritage building with illegally listed units, according to CTV.

A ministry analysis shows the compliance rate with the act improved to 90% in early 2024 from 58% in August 2023, CTV reported.

Airbnb, however, has expressed safety concerns over the transparency of host addresses in public registries.

“Our same concerns apply to public registries that require posting a host’s personal information such as their listing address,” the company said in a statement, CTV reported.

Meanwhile, in British Columbia, Airbnb faces legal challenges. The B.C. Supreme Court recently certified a class-action lawsuit against the company, alleging violations of provincial consumer-protection laws. The lawsuit claims Airbnb offers unlicensed real estate brokerage and travel agent services and improperly collects user fees.

Justice Elizabeth McDonald stated that the plaintiff, Margo Ware, had presented “a good arguable case” that could expose Airbnb to damages under B.C.’s Business Practices and Consumer Protection Act, the Canadian Press reported. The case, applying to bookings made in Canada for British Columbia accommodations, excludes those originating in the United States.

The lawsuit argues that Airbnb lacks the necessary Canadian licenses to operate as a real estate or travel agent and is not registered as a federal money-services business. The company has yet to file a response and attempted to have the case moved to California, but the court ruled otherwise.

These developments highlight the growing regulatory and legal scrutiny of short-term rental platforms across Canada.

In a previous interview with Connect CRE Canada, Airbnb’s Canadian leader Nathan Rotman said short-term rentals should be regulated in their respective jurisdictions.

“I would say that this is a hyper-local activity that is best regulated at the local level,” said Rotman.

A Conference Board of Canada report shows that short-term rentals have no material impact on the country’s rental-housing market, according to the company. Rotman said the report shows STRs do not affect rental-housing affordability or vacancy rates in Canada’s largest cities.

“The solution to the housing crisis in Canada is to build more housing and to increase the overall supply, not to restrict the very small number of people who are short-term renting extra space in their homes to make ends meet,” said Rotman.

The Conference Board found that Airbnb units did not meaningfully increase rents in 19 Canadian cities between 2016 and 2022 because the amount of space used for STR activity was too small in most neighbourhoods. And, municipal and provincial STR regulations did not reduce long-term rents.

But municipal and provincial policies to regulate STRs have “significantly reduced Airbnb activity.”

The federal government has also contemplated efforts to restrict STRs, the Globe and Mail has reported.

Airbnb supports the creation of local STR-operator registries, said Rotman, citing a need for trust and safety. But he said Ottawa should not regulate STRs.