The Twitter-Musk saga, which some have labeled the year’s transaction, is on track to become the year’s controversy in the next few months. Elon Musk Vs Twitter affair has taken many twists and turns over the past several months, and we may be about to see a courtroom showdown.
Because of how tumultuous the Twitter-Musk agreement has been, from his declaration of acquisition to his decision to withdraw from the transaction, the attention is heightened.
Twitter’s plan to sue Musk for reneging on the contract is the latest twist in a drama that resembles nothing except a Hollywood blockbuster. As it turns out, a power struggle in which the parties are vying for Twitter’s attention.
Whence we’ve come
It was in March of 2022 that Musk allegedly failed to disclose his substantial acquisition of Twitter shares in a timely way as needed by securities rules (netting him $144 million).
The stock grab was just the latest in a tumultuous relationship between Tesla CEO Elon Musk and Facebook. Musk has been prosecuted for defrauding investors for “misrepresentative tweets” and brought to court for his Twitter-based assault on a cave diver. He recently suggested converting Twitter’s San Francisco headquarters into a refuge for unhoused persons.
Next step Of Elon Musk vs Twitter?
Both Twitter and Elon Musk face a bumpy road ahead.
Surveys telling People on Twitter what improvements they want to see made to the network have been often submitted and, in some instances, removed by the excessively enthusiastic tweeter. Twitter workers, meanwhile, have been left questioning what this acquisition means for the platform they work on as well as their stock-heavy remuneration, according to the New York Times.
To prevent “workers who may be unhappy about the acquisition from ‘going rogue,'” Bloomberg says the corporation “went so far as to lock off improvements to its product.”
In the meanwhile, Musk issued a video on (where else?) Twitter, in which he outlined some of his goals for the future of Tesla.
Also, he said, “I aim to make Twitter stronger than ever by expanding the products with innovative capabilities, making the algorithm source code to promote confidence, fighting the spam robots, and verifying all people,” he said.
Judge Kathleen St J McCormick has been appointed to Twitter’s lawsuit in the Delaware Chancery Court. According to a Bloomberg law article, all legal challenges arising from the purchase would be adjudicated in Delaware, the corporate home of several corporations, including Twitter and Musk’s Tesla.
To finalize the $44 billion purchase, Twitter has reportedly recruited the US legal firm of Wachtell, Lipton, LLP, to Reuters. Tesla CEO Elon Musk enlisted the help of Wachtell, Lipton, Rosen & Katz when he announced his intention to take Tesla private in 2018. To settle US Securities & Exchange charges that he deceived investors, Musk had to pay millions in civil penalties and resign as Tesla’s chairman.
‘Musk’s technique is likewise a model of dishonesty,’ he said.
The case claims that Musk has a limited entitlement to information necessary for the transaction to be completed under the agreement. Instead of using that privilege, however, Musk has worked tirelessly to demonstrate that the firm he committed to acquire has made serious misrepresentations about its operations to authorities and investors.
