© Wikimedia Commons/Dan Taylor/Heisenberg Media
The case dates back to the end of 2022. While he bought Twitter, Elon Musk would have voluntarily robbed four executives including former CEO Parag Agrawal of $128 million in severance pay which he would have used as part of the payment of 44 billion dollars from the transaction.
Twitter already singled out in the past
The four former executives decided to sue the entrepreneur on this basis before the northern court of California this Monday March 4, 2024 in the evening. Quoted by the agency Bloomberg, Parag Agrawal's lawyers emphasize in the 38-page document drafted as part of this complaint:
Under Musk's control, Twitter has become a financial backer, stiffing employees, owners, vendors and others. Musk doesn't pay his bills, believes the rules don't apply to him, and uses his wealth and power to trample anyone who disagrees with him.< /p>
For the moment, neither X (formerly Twitter) nor Elon Musk have responded to these accusations. In any case, and as our colleagues point out, these layoffs did not surprise anyone at the time. Trust clearly did not reign between the two parties, to the extent that these former managers had themselves filed a lawsuit with the aim of forcing the billionaire to buy the company, while he was trying to abandon this acquisition.
A deal that comes at a bad time for Elon Musk
It should also be mentioned that they are not the only ones to complain about the non-payment of bonuses or severance pay by Twitter. It has already happened that the courts have ruled in favor of the plaintiffs in recent months.
In any case, this case comes at a pretty bad time for Elon Musk who is already facing numerous legal cases. We already spoke to you at the end of January about this decision by an American court which ruled in favor of a Tesla shareholder who demanded the cancellation of a compensation plan for the businessman estimated at $56 billion.
The judge thus asked the parties in this case to “discuss among themselves to establish a final decision intended to implement this judgment” and “ to put an end to this matter at the trial level”. To find out more about this complex matter, you can always re-read our dedicated article here.
The bottom line:
- Former Twitter execs sue Elon Musk
- They accuse the contractor of having knowingly organized the non-payment of their severance pay
- They demand payment of 128 million dollars
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