Couldn’t Happen To A Nicer Chap
Axios business editor Dan Primack landed a monster scoop this afternoon: former Uber CEO Travis Kalanick faces a lawsuit from an early Uber investor:
Benchmark Capital is suing the former Uber CEO for fraud, breach of contract and breach of fiduciary duty.
per the suit:
‘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. 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.
On a related note
Ryan Graves, Uber’s first employee and original CEO, has resigned from his current post, according to an email sent to employees and obtained by Axios’ Kia Kokalitcheva.
Updated August 14th 2017
What is without question, though, is that whatever outcome results from this mess will be a suboptimal one; most Uber critics still fail to appreciate that the ride-sharing market is demand driven, which meant Uber really did have a chance to be the transportation behemoth of much of the world. Now the company is retreating throughout Asia, is on the regulatory run in Europe, and stuck in a fight it should have never drawn out with Lyft in the United States. Perhaps Benchmark will get its all-time great return, reputations be damned. It seems unlikely its return will be what it once might have been.