Entrepreneurs exposed to sexual harassment by US venture capitalists
While US law is clear about many workplace interactions, there is next to nothing about investor-entrepreneur relationships accounting for billions in start-up funding
San Francisco — A rash of sexual harassment scandals this northern hemisphere summer involving venture capitalists has laid bare a major weakness in laws meant to protect workers from unwelcome advances. While legislation is clear on many workplace interactions, there is next to nothing on the books concerning the investor-entrepreneur relationships accounting for billions of dollars in start-up funding. California legislators want to address that shortcoming, creating the prospect of a wave of lawsuits against venture capitalists. Changes to California law would also provide a template for other states. One of the first bills the California legislature will consider when it returns from recess in January would prohibit investors from sexually harassing founders. The proposal is simple: add one word, "investor", to a list of professionals who can be held liable for harassment. The state has carved out similar provisions to cover landlords, teachers and real-estate agents. Venture in...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.