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Wayzata faces lawsuit over Airbnb ban

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Published  October 20, 2025 2:48pm CDT
Wayzata
FOX 9
Short-term rentals draw concerns in Twin Cities

Short-term rentals draw concerns in Twin Cities

As cities across Minnesota look for ways to handle short-term rentals, property owners who rely on them are fighting back against what they say are moving target of changing rules. FOX 9’s Soyoung Kim details the growing concerns.

The Brief

    • A group of rental owners are challenging a new city ordinance in Wayzata.
    • The ordinance bans short-term rentals, like Airbnb, from operating in the city.
    • The new ordinance takes effect next year, but the rental owners are asking a judge to block its implementation.

WAYZATA, Minn. (FOX 9) - Rental owners have filed a lawsuit against the City of Wayzata after the city council approved a ban on short-term rentals, like Airbnb and Vrbo stays.

Wayzata Airbnb ban

The backstory:

In September, the Wayzata City Council passed an ordinance prohibiting short-term rentals from operating in the city. The ordinance takes effect starting next April.

Rental owners do have the option to convert the rentals to longer-term rentals, but rentals must be at least 30 days.

What they're saying:

The council cited concerns with the short-term rentals becoming nuisances for the city.

What we know:

A lawsuit filed by five rental owners is challenging the new city ordinance.

The lawsuit argues that the city did not go through the property process to pass the ordinance, like holding a public hearing. They also argue the ordinance itself does not comply with city and state laws.

What they want:

The lawsuit asks a judge to allow the rental owners to continue to operate their short-term rentals in the city.

WayzataTravel