The lawsuit claims that Airbnb engaged in discriminatory practices against two conservative organizations to uphold a political image favorable to its left-leaning shareholders.
On June 2nd, Alliance Defending Freedom and Boyden Gray, a strategic and legal consulting firm, filed a lawsuit against Airbnb, joined by the Heritage Foundation and American Conservative Values ETF. The litigation was submitted in the U.S. District Court for the District of Delaware, alleging that Airbnb failed to disclose two separate shareholder resolutions submitted in December 2024.
Ahead of its June 4th vote, Airbnb provided its shareholders with a summary of requests and feedback intended for evaluation during company decisions. In a recent vote, Airbnb dismissed the proposals from legacy shareholders and the ACVF; these initiatives were deemed as liberal funds advocating for Environmental, Social, and Governance (ESG) initiatives according to the Heritage Foundation’s press release.
Heritage and the ACVF oppose left-wing anti-Israel politics
The ACVF, a trading fund promoting conservative values, stands against corporate involvement in politically divisive issues, believing they harm shareholders, customers, and employees.
“The ACVF strongly believes that withdrawing corporate capital is a significant and immediate incentive for management to concentrate on business,” states the ACVF on their website. “The ACVF rejects investments in entities pursuing what they perceive as ‘woke/liberal agendas’—viewing them as a misallocation of investor capital. Our stance is that shareholder advocacy can positively influence the long-term performance of the companies we invest in.”
Having over $447,000 invested in Airbnb, the ACVF proposed that Airbnb conduct a report assessing the company’s exposure to religious or political discrimination, as highlighted in the litigation.
The legacy group urged Airbnb to resist leftist pressures calling for the company to distance itself from Israel, linking such demands to the anti-Israel “boycott, divestment, and sanctions” movement. According to ADF News, this group is involved in what is seen as “deeply anti-business activism.” Report.
Was it lost in email?
The Heritage Foundation asserts that they received a FedEx receipt signed by an Airbnb employee confirming that the proposal was received. Press release. According to ADF news, the same employee also signed for the ACVF proposal on a different date, yet Airbnb claimed both documents went missing in the mail. Report.
“Airbnb’s ‘lost mail’ assertions are both new and dubious,” remarked ADF senior advisor Alexandra Gaiser. “While Airbnb promotes tolerance and diversity, its actions reveal an intolerance towards views held by a significant portion of the nation. Companies seeking to evade shareholder transparency can appeal through legal means against resolutions, but they cannot mislead investors. That’s unacceptable.”
Despite lawsuits from both the Heritage Foundation and the ACVF, Airbnb refused to amend the vote prior to its company meeting on June 4th, essentially disregarding the two shareholder proposals.
Airbnb “Ignored the Law”
Andrew Olivastro, Chief Advance Officer of the Heritage Foundation, stated that Airbnb violated legal obligations by failing to notify both Heritage and ACVF about the exclusion of their proposals.
“SEC rules demand that companies inform shareholders and provide an opportunity for them to respond if a proposal is excluded. Airbnb has ignored these regulations and the law,” Olivastro said. “I suspect that additional legitimate processes have been overlooked by Airbnb. Heritage and ADF are pursuing legal action to reiterate that shareholder rights should not be subject to mood or political bias; they are safeguarded by law.”
In the joint lawsuit, Boyden Gray expressed that Heritage and ADF represent the interests of the ACVF. Both Heritage and ACVF are seeking injunctive, declarative, and financial relief related to the unlawful exclusion of their proposals from the 2025 proxy materials as stated in the litigation.
Airbnb’s unlawful actions not only pose a threat to conservative entities but also concern all shareholders due to the potential deceptive undertakings of the company.
“Airbnb is actively undermining shareholder democracy, violating the law, and putting all company shareholders at considerable risk,” Gaiser concluded. “Our goal isn’t simply to guide Airbnb’s leadership in the right direction; rather, we aim for this to initiate significant and enduring changes that equitably benefit all Airbnb investors.”
Leftist Ideology Pervasive in Business
Despite a recent retreat by several companies from leftist propaganda, organizations like Airbnb continue to yield to ideological narratives and pressures. For years, conservative and Christian organizations have believed that remaining silent would earn them compassion and grace. However, they find themselves increasingly suppressed by leftist narratives.
Now, groups like Heritage and ACVF are actively fighting back, refusing to remain quiet while larger, wealthier firms sidestep the law and discriminate against conservative organizations.
By advocating for transparency, fairness, and neutrality, Heritage is rallying Americans who demand that businesses prioritize merit and ethics above divisive agendas, as stated in the press release.
Source: thefederalist.com