Elon Musk to countersue Twitter, as they collide over court schedule
The court battle between Twitter board and Chief Executive Officer of Tesla, Elon Musk, has taken a new turn, as the billionaire is reportedly planning to file a countersuit against the social media company.
Judge Kathaleen McCormick of Delaware Court of Chancery, in United States is expected to hear the case on Tuesday when both parties argue over schedule of their court case, New York Post reported.
Musk’s decision to file a countersuit comes amid disagreements between both parties on date for the takeover trial to begin, with Twitter demanding September, while the businessman is opting for February.
Their court case is bordered on Musk pulling out of the $44 billion takeover deal he signed with the board. He had blamed the board’s breach of contract for the termination of the acquisition.
He said the board refused him information regarding their bot accounts, which the investor explained was crucial to Twitter’s operation. Musk had hinted that the spam account was more than the 5% the management claimed, however, the board said they have offered him information he requested based on the agreement had.
Musk risks losing $1 billion for backing out of the deal. The amount is penalty for the party that pulls out, but Twitter also filed a lawsuit against Musk to enforce the completion of the acquisition.
Twitter board wants the trial to begin in September due to the possibility of other litigations arising, which would prevent the debt financing for the takeover of the company by Musk, considering the debt financing expires in April.
The social media company further stated that Twitter’s stock performance hangs in the shadow of Musk, creating uncertain for its growth, “Millions of Twitter shares trade daily under a cloud of Musk-created doubt.” Adding that, “No public company of this size and scale has ever had to bear these uncertainties.”
However, court papers showed Musk argued that he needs time to come up with data relating to the bot accounts, to defend himself, and he would be prepared in February 2023.
DON'T FORGET TO SHOW LOVE BY SHARING