Travis Kalanick Sued for Fraud by Uber Investor Benchmark Capital
The former CEO's face a lawsuit over fraud, breach of contract and breach of fiduciary duty allegations.
First, he’s out of a job and soon he’ll be in court.
Travis Kalanick, the former Uber CEO, is being sued by an investor Benchmark Capital. If the lawsuit is successful, Axios reports Kalanick will be kicked off the board of directors and dash his hopes of a Steve Jobs-like return to the company.
According to Axios, a key part of the legal complaint reads: “Kalanick, the former CEO of Uber, to entrench himself on Uber’s Board of Directors and increase his power over Uber for his own selfish ends.”
Benchmark Capital filed the lawsuit alleging fraud, breach of contract and breach of fiduciary duty in Delaware Chancery Court on Thursday morning, Axios reports. The venture capital firm was an early investor in Uber but helped spearhead the former CEO’s forced resignation, fearing his leadership would hurt the company’s IPO prospects.
Since Kalanick’s departure, tensions between him and Benchmark Capital have run high as Uber struggled to find a CEO. There have been rumors of the former CEO meddling the hunt for his replacement. Notably, the company has failed to find a viable female candidate, which was a priority given the allegations Kalanick resigned under.
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