California-based venture capital firm Benchmark Capital has filed suit against former Uber CEO Travis Kalanick for fraud, breach of contract and breach of fiduciary duty, according to Axios.
The suit relates to Uber's decision to increase the number of its voting directors on its board to 11 from eight, with the former CEO calling all the shots with regards to who would fill those seats.
But, Benchmark contends that it would never have given Kalanick those seats had it better understood his "gross mismanagement and other misconduct at Uber," which Benchmark claims included "pervasive gender discrimination and sexual harassment."
"Kalanick's overarching objective is to pack Uber's Board with loyal allies in an effort to insulate his prior conduct from scrutiny and clear the path for his eventual return as CEO-all to the detriment of Uber's stockholders, employees, driver-partners, and customers," the complaint, filed in Delaware Chancery Court, said.
Benchmark is seeking to make null and void the June 2016 shareholder vote and associated actions, which would eliminate the three board seats, including Kalanick's.
Benchmark was one of the earliest investors in the ride-sharing firm and holds a seat on its board of directors. The firm was also instrumental in forcing Kalanick to resign in June.
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