The Heritage Foundation sues Airbnb

proxy ballot at its upcoming June 4 meeting. The Heritage Foundation and the American Conservative Values ETF submitted the resolutions in December 2024 following all protocols from both the company and the U.S. Securities and Exchange Commission. Despite being signed for by the same Airbnb mailroom employee on separate dates, the resolutions did not appear on Airbnb’s proxy ballot released in late April. When contacted almost a month before their annual meeting, Airbnb claimed it never received the resolutions and even accused FedEx of forging the signatures.
In response to Airbnb’s actions, Alliance Defending Freedom (ADF) partnered with legal firm Boyden Gray to file a lawsuit against Airbnb on behalf of The Heritage Foundation and the American Conservative Values ETF. The lawsuit alleges that Airbnb deliberately ignored the shareholder resolutions that were legally submitted. ADF Senior Counsel Alexandra Gaiser criticized Airbnb’s excuse of the resolutions being ‘lost in the mail’ as a blatant lie and highlighted the company’s lack of transparency towards shareholders.
Airbnb’s refusal to address the situation raised further concerns, especially when a left-leaning shareholder’s resolution was included in the proxy ballot. The situation escalated as Heritage and ACVF, owning significant amounts of Airbnb stock, raised important issues through their resolutions. Heritage’s resolution focused on Airbnb’s previous political divestment decisions, including de-listing Israeli-owned properties in the West Bank due to external pressure. The proposal aimed to analyze legal and reputational risks related to succumbing to anti-business activism trends such as the ‘Boycott, Divestment, & Sanctions’ movement.
On the other hand, ACVF’s resolution targeted Airbnb’s terms of use policies and their potential impact on shareholder value. The resolution pointed out how terms like ‘hate speech’ and ‘intolerance’ used in Airbnb’s policies could lead to customer discrimination. Specifically, Airbnb’s decision to prohibit ‘leaders of hate groups’ or ‘hateful’ speech from using the service resulted in negative media coverage after certain individuals were blocked.
The lawsuit, titled The Heritage Foundation v. Airbnb, was filed in the U.S. District Court for the District of Delaware. ADF emphasized the importance of protecting shareholder democracy and ensuring that companies like Airbnb comply with legal requirements. Gaiser expressed hope that the lawsuit will push Airbnb’s leadership in the right direction and bring about positive changes that benefit all shareholders in the company.
Alliance Defending Freedom aims to protect religious freedom, free speech, parental rights, and the sanctity of life through legal advocacy and alliance-building efforts. The lawsuit against Airbnb serves as a reminder of the importance of transparency and accountability in corporate governance, highlighting the need for companies to respect shareholder rights and adhere to legal obligations.