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Article

26 Jul 2016

Author:
C. Ryan Barber, Law.com

USA: Airbnb seeks to enforce arbitration clause in racial discrimination lawsuit

“Airbnb Pushes Arbitration to Shut Down Discrimination Suit in D.C.”, 21 Jul 2016

When Airbnb Inc. announced Wednesday that it had hired former U.S. Attorney General Eric Holder Jr. to devise a stronger anti-discrimination policy, the startup struck a conciliatory…tone in acknowledging racial bias on its home-sharing platform. But, in a lawsuit in Washington alleging discrimination…Airbnb asked a federal judge in Washington to put the case in the hands of an arbitrator. Airbnb, represented by Hogan Lovells, cited an “unambiguous and mandatory individual arbitration agreement”—a type of contract clause that has recently drawn regulatory scrutiny for depriving consumers of the chance to bring class actions and have their claims heard in court.  Airbnb filed its motion to compel arbitration in a case brought by Gregory Selden, a 25-year-old African-American man who claims he was rejected by a host because of his race. According to his complaint, Selden was later accepted by the host after creating phony profiles for white men…Airbnb lawyers argued Selden had agreed to the company’s terms of service…