News Summary
Short-term rental owners in Las Vegas have filed a lawsuit against Clark County and Nevada, claiming new licensing regulations violate their constitutional rights. Represented by the Greater Las Vegas Short-Term Rental Association, plaintiffs argue that despite attempts at fair regulation, their concerns have largely been ignored. The situation worsens with long processing times for applications, high costs, and prohibitive rules regarding rental permits near hotels. The lawsuit highlights the ongoing conflict between rental operators, county regulators, and the hotel industry.
Las Vegas – Short-term rental owners in the Las Vegas valley have initiated a lawsuit against Clark County and the State of Nevada, asserting that new licensing regulations infringe upon their constitutional and property rights. The lawsuit has been filed in U.S. District Court and seeks to contest multiple provisions under the recently implemented county regulations.
A significant cohort of plaintiffs is represented by the Greater Las Vegas Short-Term Rental Association, an organization founded by Jacqueline Flores. The association has emerged as a voice for homeowners who claim that despite attempts to collaborate with local politicians to establish fair regulations, their efforts have largely been ignored.
The short-term rental sector is facing mounting challenges, particularly as it competes against the entrenched resort hotel industry, according to Flores. In 2021, Nevada’s Assembly Bill 363 was introduced, which established new regulations aimed at curbing illegal short-term rentals. Following this, in June 2022, Clark County enacted an ordinance specifically targeting short-term rentals in unincorporated areas.
As of March 2025, the situation for short-term rental applicants remains tense, with 175 business licenses approved, 141 denied, and approximately 515 applications still pending. Applicants have voiced concerns about the extensive processing times, particularly as many rely on rental income for financial stability. County officials have stated that they are processing an average of six applications per week, predicting that it will take roughly 18 months to clear the current backlog.
The costs associated with obtaining a short-term rental license range from $1,000 to $1,700, with applicants often reporting expenses between $6,000 and $7,000 just to navigate the licensing application process. In addition to the financial burdens, applicants must comply with rigorous requirements, which include securing special homeowner insurance and ensuring municipal wastewater connectivity.
One plaintiff, a co-founder of GLVSTRA, has experienced financial distress due to delays in securing a rental license, which he desperately needs to manage healthcare costs. The lawsuit also cites issues such as a prior legal case involving GLVSTRA that was dismissed, which indicated that plaintiffs must demonstrate actual harm to proceed with a lawsuit.
Particular provisions within the county’s regulations have fueled frustration among homeowners. For instance, properties located within 2,500 feet of a resort hotel are expressly prohibited from applying for rental permits. The lawsuit alleges that the county’s actions violate numerous constitutional rights, including those protected by the First, Third, Fourth, Fifth, and Fourteenth Amendments.
In addition, the Greater Las Vegas Short-Term Rental Association has reported significant government overreach, including claims of warrantless inspections and the presence of armed officers during these inspections. Since 2018, over 5,700 code enforcement cases related to short-term rentals have been filed, with potential fines levied on unlicensed rentals ranging from $1,000 to $10,000 daily.
As this legal battle unfolds, county officials have refrained from commenting on the ongoing litigation. The Greater Las Vegas Short-Term Rental Association is focused on challenging the legality of the county’s current regulations while advocating for homeowners’ rights in the context of Nevada’s evolving real estate landscape.
This lawsuit adds to the ongoing tensions between county regulators, established hospitality industries, and the growing market of short-term rental operators, highlighting the broader conversations around zoning laws, property rights, and governmental authority in accommodating diverse accommodation offerings within the Las Vegas valley.
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Lawsuit Filed Against Las Vegas Short-Term Rental Regulations
Additional Resources
- KTNV: Las Vegas Short-Term Rental Owners File Federal Lawsuit Against Clark County
- Wikipedia: Short-term rental
- Review Journal: Short-Term Rental Group Challenges Enforcement of Rules
- Google Search: Las Vegas short-term rentals
- News 3 LV: Short-Term Rental Group Sues to Block County Regulations
- Encyclopedia Britannica: Short-term rental
- Fox 5 Vegas: New Enforcement Tactics for Short-Term Rentals
- Google News: Las Vegas short-term rentals
- 8 News Now: Las Vegas Short-Term Rentals Backlog Exceeds 600 Applications
- Google Scholar: Short-term rentals Las Vegas
