Shareholders sue Uber’s board over sexual assaults, other incidents

A Detroit pension fund filed a lawsuit against Uber's board of directors on March 14, 2024, alleging that the company's leadership has prioritized growth over safety and compliance, leading to thousands of lawsuits. The lawsuit, filed in Delaware's Court of Chancery, claims that Uber's board and senior management ignored red flags and failed to implement adequate controls, which contributed to a "culture of impunity." Specifically, the complaint cites instances of sexual assault and harassment by drivers, as well as other misconduct, that have resulted in significant financial and reputational damage to the company. The Detroit Police and Fire Retirement System, the lead plaintiff, stated that the board's actions and inactions allowed these issues to persist, harming shareholders. The suit seeks to hold the directors personally liable for the alleged breaches of their fiduciary duties. Uber has faced numerous lawsuits and investigations related to driver misconduct and workplace issues in the past, including a 2017 report detailing over 100 sexual assault claims in the US during a single year. The company has since implemented new safety policies and training programs, but this lawsuit suggests that shareholders believe these measures have been insufficient.