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So what happens if someone posts a fraudulent listing of one’s property and then reports it to the city?

Then that person is making three felonies: fraud, perjury, and frameup. AirBNB requires a lot of verification, you can't just use Tor, protonmail, and a VoIP number to list a place. That person would leave such a digital trail that would be easy to find with a subpeona. And both AirBNB and the person framed have every incentive to help with that investigation.

Frameup is a big fucking deal.

Why would AirBNB have an incentive to help with the investigation? They want the law gone, which means they want people to hate the law and demand it be repealed.

Wouldn't they be liable for not helping law enforcement?

Only if the the state worker has a subpoena signed by a judge. But it sounds like these are code enforcement people, which are generally just city employees rather than full law enforcement.

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