Twitter has had enough of the pushback against Elon Musk. A lawsuit has been filed in a Delaware court over the takeover of the portal by the world’s richest man.
Elon Musk has withdrawn a $44 billion offer to buy Twitter. The world’s richest man believes that the company’s authorities have not fulfilled the conditions that were written in the initial agreement. The main issue is the provision of reliable data on the number of fake accounts and so-called bots registered with the portal. After all, Elon Musk has suspicions that the real number of users is inflated by worthless accounts. Which should obviously have the effect of reducing the company’s value.
Twitter is suing Elon Musk
Twitter authorities have finally lost patience with the head of Tesla and SpaceX. In their view, his behavior is frivolous and instead of abiding by agreements, he does what he wants. After long weeks of pushing, they decided to seek justice in court. The company’s authorities have hired the law firm Wachtell, Lipton, Rosen & Katz to see the deal through.
“It has become apparent that Musk believes that, unlike everyone else subject to Delaware contract law, he can change his mind with impunity, destroy the company, disrupt its operations, erode the value of its shares and walk away,” the lawsuit says.
One of the largest protests in Wall Street history
Although the lawsuit has not yet started, analysts are already calling it one of the largest in the history of the US stock market. Such terms, however, come to mind on their own, both because of the amount of the transaction and the parties involved in the lawsuit. After all, we are talking about one of the largest social networks in the world and the richest man on the planet, which will additionally likely provide a lot of confusion around the issue.
After all, more than once Elon Musk commented on the matter ridiculously on his Twitter account. Already more than a million likes have been gathered by a post from July 11, in which the billionaire used his photos and comments on the takeover case.
In the lawsuit, the law firm made a number of allegations against the billionaire. First and foremost, it is about ruining the company’s position on the stock market and “secretly” buying up its shares without giving proper notice. The list of charges is said to be very long.
