Bark Inc. Accused of Letting Leaders Steer Deals to Themselves

An investor sued Bark Inc. and members of its board, challenging a clause in the company’s charter that allegedly gives its leaders blanket permission to steer corporate opportunities to themselves.

The lawsuit, filed Wednesday, targets a provision that eliminates the duty of board members and executives to give Bark a first shot at potential deals they learn about through their work for the company. Waivers of the “corporate opportunity” doctrine are only legal if they work on a case-by-case basis, unlike Bark’s, the suit says.

“The waiver provision is broad, limitless in scope, and without qualification,” according to the complaint ...