DealerSocket Founder Seeks Company Records to Probe Self-Dealing

DealerSocket Inc., which makes software platforms for auto dealerships, was sued in Delaware Dec. 11 by its co-founder, who wants company records that will allegedly show Vista Equity Partners is using its majority stake to plunge the company into self-interested deals.

Vista took control of DealerSocket and its board in 2014, and the partnership appeared productive for years, according to the Chancery Court complaint filed by Jonathan Ord, who became a minority director in the deal.

But in September, Ord learned that majority directors linked to Vista were loading it up with debt to finance transactions that didn’t make business ...