Verkada Sued By Fired Male Sales Director Claiming Sexual Harassment
A former Verkada sales director, fired in September 2020 amid an internal investigation into rampant sexism and culture problems, has filed a lawsuit claiming that he was a victim of gender discrimination, sexual harassment, and retaliation at the company.
In this note, we examine the plaintiff's allegations and what they mean for the fast-growing cloud-managed enterprise-building security startup, which is currently valued at $3.2 billion after raising $205 million in a September 2022 Series D funding round.
Specifically, we examine the following:
- The Sales Directors Claims
- Exposed “Frat-Boy Culture”
- Alleged Female Serial Groper
- Lost Compensation
- EEOC Probe
- What Comes Next
****** ************ ** **-**** **************** ******* ** ****. **, **** in **********’* *** ***** ****** ******** Court, ******** ********** ** *** *****’* Fair ********** *** ******* ***, *** seeking *********** ******* ********* **** ****** and ******** *** ************ *** “********* distress.”
Atencio’s ******
****** *******, *** **** ** “*****” on*** ******** *******, ******* ** ******* ** ******** 2019 ** * ******** ***** *******. He “******** ** *** ***” *** received *** ********** ***** ********** ********, ending ** ** ******** ** ***** for *** *.*. **** ****** ** November ****, ********* ** *** *********.
***** *** **********, *** “**** ****** was ********* *** **** ******* ** the *******, ************* **** *** **** team *** *** ********** **** ** over $***,***,” *** **** ******** ***** quotas ****** *** *****-** ******, ******* said ** *** *********.*******, ***** ** ******** ** ******** where ** *** ********* ******** ******** by * ****** *********, ** *** fired ** ********* **** “******* ** his ***, ******, *** ** ***********” for ****** *** ******, ** *******.
*** ******* ** *** *********** *** “allegations ** ********* ** ******* ******** relating ** * ***** ******** ************ with ******* ********,” ***** *** ********* indicates ***** ****** *** ******* ******* for *******.
**** ******** *** ******* ***** ********** Atencio's ***********:
“**. ******* ********** ******** **** **********,” the ********* *******. “** ******** **** the *******’* ********* ** ******* *** in *** *******’* ********. **** *** time **** *** ***** ******** ******** started ******* ** ******* ** *** time ** *** *********, **. ******* did *** ********* * ****** ************ with ***. *****, ***** *** ******* to ********.”
******* **** **** ********** **** ******* had * ******** ************ **** ******* Verkada ********, ******** ** *** *** named ** ******* ** *** "#*************".
Exposed “****-*** *******”
** *** *********, ******* ******* ** was ***** ******* *** **** ******* “great ****** *** * ******* ******* to ************ *** ********** ** * hot-bed *** **** ****** *********** ******* many ** *** ****** *********.”
** ***** ** ***. **, **** post ** ****,“******* ***** ******, **************, *** ******* Challenges,”** ******** *** ******* *** * “tarnished **********” ** * ****** ** a “******** *********** ** ********, *******, and ****** * ‘****-***’ ******* ** misogynistic ********” ***** ******** **** ****** employees ** ****.
** **** ******, **** ******** ******* of ********** ****** **** ** * group ** **** ********* ***** ** internal ***** ******* ** ********** ****** of ****** ********* (***** ******** *** Verkada’s *** ************ ******) ***** **** sexually ******** *****. *** ***** ******* was ****** “#*************,”********* ** ****. ******* **** **** **** ******* was *** * ****** ** #***********.
**** ************ **** ******** ********** ********* ******** *** **** ********** drug *** ****** **** *****, ****** Verkada * **********, *****-**** ********** ***** bad ******** ** **** ***** *** tolerated. ** *** ****, *** ******* disputed ***** ***********, *** **** **** "illicit **** ***... **** ***** **** commonplace"*** **** ** **** *** ********** in-house ************ **** ******* **** ** “champagne ******.”
Football *******
****** ** *** **** ***** **********,*******’* ******* *** ******** **** ********* has ********* ** * ******* ****** Fireside ******** ** *** * ********** *** hiring ********, ************ ******** *******. *** instance, ** ***** **** ****** ***** members **** ***** *** *** ****** football ******** ** *** ***** ****** High ** ********, ********** *** **** were ***** **** ****** ** ****** as **** *****, ******* **** **** in ******* ****.
******* *** *** ******* ** *******,**** ********* ** ****** ***** **** Bettencourt, **** ********* ** *** ********** University ******** **** ******* **** *** 2009, ********* ** ********.
***** ***** *********** ** **** ** an ******** ***** **** **********, “******* employees *** **** ******* ** *** original ************* ****** ** ***** ***** away **** ***** *** ********** *** made ********* *********** ******* **. *******,” he *******.
Alleged ****** ******
*******’* ********* *******:
** ****, * ****** ******** ******** assaulted **. *******. ** *******,****, ******* employee “*” ******** **. ******* ** a ******* ** * ********** *** grabbed *** ******** ***** ****** ** kiss *** ***** ** ********** ********* himself **** *** ******.
******* **** ** ******** *** ******** to ***********, *** ** *** **** aware ** * ***** ******** ***** “J” ******* ** ******* ******** **** another **** ********. *** “** ************* was **** ********* ******* ‘*’ *** either ******, *** *** *** ***** been *********** ** ******** ** ****** responsibility *** *** ******** **********,” ********* to *** *********.
Relationship *****
** ********, ******* **** **** ** soon ** *** ******* “***** ******” about *** ******** ************ **** ** employee, *** ******* “*********** ******** * full *************, *** **** ****** ****, fired **. *******, ******* ********* *** policies ** ****** *** *** *********** of ***** ******* ** ******* ***** for ****** ***.” ** ******* ** wasn’t ******* *** “****** *********” **** as *********, **********, ********* ********, ********* or ********.
** ******* **** ***** *** *******’* reputational ******, “****** ************ ****** ******* a ****** ******** *** ****** ******* was ****** *** * ****** ****** for *******.”
Lost ************
** *** *******, ******* ** ******* damages **** ******* “************ ******* ********* lost *****, ********, ********** ******** *** other ******** ********” ** **** ** a ***** ******** *** “****** **** and ******* *** ********* ********.” ** is **** ******* “********* *** ******** damages” ***** ** *** **** *** attorneys’ ****, *** *********** *** ************ interest.
** **** ** *** **** ********, he ** ****** *** *** **** proceeds ** ** ***** ** **,*** shares ** $*.** *** ***** ** was ******** **** ** *** ******** to ******** ** ***** *** *** U.S. ******* ****** ** ******** ****. In *** *********, ** **** **** Verkada “****** ** **** ** ** its ********* ** **** *** ***** effective ** ** **/**/****.”
*******, *** ******* ****** ***** ******** 2020 ** ***** *** ******, ***** Verkada ****** $** ******* ** ******* * ******* ******* * ***** ** $*.** *** share, ********* ** ******** ************* *******. The ***** *** ***** *** *** most ****** ****** * ***** *** $7.45 *** * ******* ** *** shares *** $*.** *** ******* *******, according ** *** ************* ********.
“**** *********** ***** *********** ****** **. Atencio ** **** *** ******* ** exercising *** ****** ** *** ****** price ** $*.**, ** ** ******** 2020, *** ***** *** ***** *** jumped *************,” ** **** ** *** complaint. “** *** **** ******** ** 3 ****** ** ******* ** *** 30,000 ******.”
EEOC *****
****** ****** *** *******, ******* ***** a ********* **** *** *.*. ***** Employment *********** **********, ***** ** *********** for ********* ******* **** ********** ****** discrimination ** **********, ********* ** *** court ******. *** ******* ***** **** Atencio ******** * “***** ** ***” letter **** *** ****** ** ****. 21, ****.
***** ******* *********, *** ****** ****** * “***** to ***” ****** ** ** ** unable ** ********* ******* * ******* anti-discrimination *** *** ********, ****** * plaintiff ********** ** ***** *** **** on ***** ***. ** *** ****** does **** ***** ** ********** ***** to ******* *** *** *** ******, it **** **** ** *** **** and **** ** ***** * ********** or *** ** *** *********’* ******.
********* ***** ******’* *******, ********** **** ** **** ** file * ******* ** ******* ***** after ********* * “***** ** ***” notice. ********** *** *** *** “***** to ***” *******, ***** ***** *** notice ** ****** ** *** *************** ** **** ********** *** *******. ********** **** *** **** ** file * ******* ***** ***** *** after ********* * ******.
*******’* ****** ****** ******, ** ****** & ******* *** ** ******* ****, California, **** **** *** ***** ***** consider ********* * “***** ** ***” letter **** *** ****, ******* ** the ***** ******, ********** *** ****** the ****. ** **** **** ******* also “***** ****** *****” **** *** state ******, *** ******** ** ******* further ** *** ****.
*************** *** ********** **** *** *** respond ** ****’* ******* *** ******* on *** ****. * ************** *** the **** ******** ** ******* ******* Atencio ***** * *****, ****** *************** protections.
Verkada ********
*******'* ** ** ************* ***** *'********* ****:
******* ** ********* ** ******** * fair, ****, *** ********** ********* *** its ********* – *** ** ****** appropriate ****** ** ****** ** **** up ** **** **********.
******* ******** ** ******* *******, **** no ********* ***** *** **** *** any ******.
What ***** ****
********* ** ***** *******, ******* *** been ****** **** *******’* *********. *** next ***** ***** ***** ****** ** an ****** ** ****** *** ********* from *******. ** ***** ** *** doubt ***** ******* ****** ********** **** followed, *** ******* *** *** **** information ** ******* ** ******* **** the **** ** ****** ***.
** ****** ********** **** ********, *** the ******* ********* ***** ******* ** a ****** ** *******, ** ** possible *** ******* *** ******** *********** a ********** **** *******.
******* ** **** ********* ** ******** publicity ***** *** *******, **** ******** upset ******** ***** ******** ** * **** ****** *** sales ******, *** ****** * **** ******* public *******.
** *** "**** **** *****", ********** that ***** *** **** ***** *** are **** ***** ** ***** ******* and **********. (** *******, *** ** be ********, *** ** *** ******** hedonism ******.)
*** "**** ****" ********** ***** **** made *** ****** ** ******** **** emboldened, ******** "*****'* ** *** **** would ** ******** ** ** **** the *** *** ***** **** ********". I've **** ****** ** ***** ****** in **** **** ** ******* ********, and **** * ****** ** **, but **** **** ** *** **** with ** **** ***** ******* **** are ***, **** ** **** ** a ****** ** * ***, *** two, **** **** ** ****** * guy *******'* **** ********** ** **** just ******* **** *** * *****.
********** ***** **** **** ** ******* of ******, *** ** *** *********** do ***** ****, * **** ******* and *** ***** *** ********* *** unwanted ******** **** **** ***********, **** as * ***** ** *** ******* were ********. **** *** **** ** be ******* ** ***** ** ***** and *** ******** **** ******** ** only ** **** *** ***** ********* that **** * ******* ****** **** from ***. ****** ****** ** ********* anybody.
***-***** *** *** ***** *** ***** I **** ** ***** *** **** there ** * ***** ** ********** between ** *** **.
**** ********* ** *** ********** ********** football **** ******* **** *** ****
***** *********** **** ***** **** "******* football *******", *********** ** * ** school ***** ***** ** ******** ************ and **** ** ** "** *** show ** *** ***'* ****, *** can ** ** *** ****" ****. Anyone *** **/*** ** ******* ** a ** ****** **** ******* ****, but **** ** *** *** ** is.
***** ** *****, ** ******* ***** at ***, *** **** **** *** know ** ** ****.
** ******** ** ** *******, **** 7.3% ** **** ****** ******** ******* go ** ** **** *** **** football, ********* **.
******:********* *********** ** ********* ** ******* athletics - ****.***
*** ** *** ** * ******** rant *** * *** ***** **** this. ** ******* *** ****** ** at ******** *****, *** *********** ** a *****/*** ********** **** ** ** D2/D3. * ***** **** ***** **** playing ** * **** ** ****** then ******* **/**. ***’* *** ** wrong, ******* **** ** **** **** attainable ** *** **/** ***** *** the ****** ** ***** ******.
*** *********** **** ******* *********** *** not **** ** ******** ***** ** the *** **** **** **** ********* on ****...
**** ** ********** ********* *** ***** I ****** ** *******, ***** ** second ***** ** **** ****** ** aside *** *** ** **** **** one ** *** *********** ** *** Account *********'* ** ** ****** *** dating *** ** *** **** *********'* and **** * "****** ***** ********* because *** ***** ******* *** **********."
**. ******* *** *** ********* * dating ************ **** ***. *****, ***** was ******* ** ********.
****** ******** ******** **** ***** ******** be **** ** ** *****. ** you *** ** *** **** ** leadership ******** ** ** ** **** best ******** ** **** ** ***** of ******.
****** *** ************ ****. * **** back ** *** *********:
**** *** **** **** *** ***** employee ******** ******* ******* ** ******* to *** **** ** *** *********, Mr. ******* *** *** ********* * dating ** ******** ************ **** ***. Hence, ***** *** ******* ** ********.
** ** ******* ****** ** *** he *** * ****** ************ *** it *** ******* ****** *** ******** so **** ********* ***** ** ** need ** ******** ********?
** ******** **** *** *******’* ********* as ******* *** ** *** *******’* handbook.
*** *******'* ******** *** *** ******** in ***** ******* ** ****.
***, **** ** ********* ****** ******* ** **** **** the ******* ** ***** ********* **********:
*** **********, *******, ********* ** ***** company ******** ** * ********* ** influential ******** **** [******* ****]must ******** *** ********* ** * ******** ** ****** ************ with another co-worker. [emphasis added]
**** ** ********** ********* **** **** Atencio's ******** **** ("****** ** ******** relationship"). **** **** ******* ** ** sensible ** *** ***** *** **** to **** **** ****** *** **** employees *** ** ***** ** ** saying "**** ** *** **** * sexual ************" ** ** ***** ********* employees ** ***** *********.
** ** *****, ** ** ********, as *** ********* *******, **** *******'* handbook **** *** ******* ********** "******" relationships *** * ***** *** **** choice ** "*** *** ********* * dating ** ******** ************ **** ***" is *** ********** ****.
***** ******** **** **** ** ***** finals:
******* ***** **** ******** *** ***** Valley *** ***** ***** - *** San ***** *****-*******
** **** ********* **** **** **. I ****** ** **** **** ****** there.
**************** ** * ****** ****** ** the ***** ** *******? * *** not *** **** *** ******....
** *** ***********, * ******* **** so ******* ******* *** ********* ******* in ******** *** ******** ********* ********* the **** *** ***** ***** ** problems. ** *** ***** ****, ****** the ******* "***" *** "***** ********" is **** ** ***** ***** *******'* success, ** *******'* *** ******** ********: