The Florida Supreme Court ruled that a couple’s lawsuit against Airbnb Inc. over a host’s secret videotaping at a vacation rental house must move to an arbitrator. According to Justice Ricky Polston of the 6–1 state supreme court, the couple signed an Airbnb user agreement that required an arbitrator, not a judge, to decide whether the disagreement could be fought in court.
The decision is a victory for the online property rental company in its efforts to keep user lawsuits out of the courts. The Texas pair, who go by the pseudonyms John and Jane Doe, claim to have booked a condo in Longboat Key via Airbnb. The condominium’s owner allegedly used concealed cameras to capture their entire three-day visit, including encounters that the lower court described as private and intimate.
The Does sued both the owner and Airbnb after learning of the recordings, claiming that Airbnb should have alerted them about similar privacy violations at other houses and should have ensured that the Longboat Key property didn’t contain hidden cameras. Airbnb asked the trial court to compel arbitration, and the court agreed, allowing the arbitrator to choose the best forum for the couple to continue their claim.
In a split ruling, the intermediate court reversed, finding that the user agreement’s reference to arbitration procedures was not clear enough to imply the couple’s consent. The trial judge’s decision was upheld by the Florida Supreme Court, which said the intermediate court’s decision was an “outlier.”
According to him, including the AAA rules “clearly and unambiguously evidences the parties’ intend to empower an arbitrator” to decide whether the case should be tried in court or through arbitration. According to him, the court joined all of the federal appeals courts that have heard the case.
Airbnb, Inc. is an American firm that runs an online marketplace for housing and tourism activities, principally homestays for vacation rentals. The platform, which is based in San Francisco, California, is available via a website and a mobile app.
Airbnb does not own any of the houses advertised; instead, it makes money from commissions on each booking. Brian Chesky, Nathan Blecharczyk, and Joe Gebbia launched the company in 2008. Airbnb is an abbreviated version of AirBedandBreakfast.com, which was the company’s original name.
The company has been chastised for facilitating bait-and-switch schemes, participating in West Bank settlements, perhaps driving up home rents, and causing nuisances for residents living near leased properties. Many governments regulate the firm, including the European Union and cities like San Francisco and New York City.