CarsDirect.com Sued Over Eavesdropping

CarsDirect.com Inc. faces a purported class-action lawsuit from employees who say the online auto shopping site has eavesdropped on their phone conversations since October 1998.

Wendy Weller and Bill Chiappetta filed suit on behalf of an estimated 500 people who allegedly had their calls unknowingly recorded, according to the complaint filed in Los Angeles County Superior Court.

The plaintiffs said the company disclosed in January that it had installed wiretapping devices on the phones of all employees, including managers, officers and directors at the company’s Culver City offices. The suit claims negligence, invasion of privacy and unfair business practices and seeks unspecified monetary damages.

CarsDirect.com hasn’t seen the lawsuit and declined to comment, spokeswoman Wendy Barbour said.