BREAKING NEWS: Twitter sues Elon Musk for refusing to ‘honor his obligations to the company and stockholders’ after he terminated $44 billion takeover deal
Twitter has sued Elon Musk for violating his $44 billion agreement to buy the social media platform.
The suit filed on Tuesday asked a Delaware court to order the world’s richest person to complete the merger at the agreed $54.20 per Twitter share, according to a court filing.
‘Having mounted a public spectacle to put Twitter in play, and having proposed and then signed a seller-friendly merger agreement, Musk apparently believes that he – unlike every other party subject to Delaware contract law – is free to change his mind, trash the company, disrupt its operations, destroy stockholder value, and walk away,’ said the lawsuit.
On Friday, Musk said he was terminating the deal because Twitter violated the agreement by failing to respond to requests for information regarding fake or spam accounts on the platforms, which is fundamental to its business performance.
Twitter has sued Elon Musk for violating his $44 billion agreement to buy the social media platform
Twitter’s General Counsel Sean Edgett informed staff of the lawsuit in a company-wide memo on Tuesday afternoon.
‘We have also filed a motion for an expedited trial alongside the complaint, asking for the case to be heard in September, as it is critically important for this matter to be resolved quickly,’ Edgett wrote in the memo, according to the New York Times.
‘At this point we anticipate the next step in the process will be for the court to set a schedule for the case,’ he added.
The lawsuit was a widely anticipated step after Musk announced his intent to pull out of the April 25 merger agreement, which specified penalties for backing out of the deal.
Developing story, more to follow.
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