top of page

Elon Musk’s $56B Payday? Judge Says, ‘Nice Try, Elon’

Why Elon Musk's Tesla Pay Deal Keeps Getting Shot Down
Why Elon Musk's Tesla Pay Deal Keeps Getting Shot Down

Q: What happened to Elon Musk’s $56 billion Tesla compensation package?

A: A Delaware judge rejected it again, proving even billionaires can’t win every argument.


Q: Why was the pay package denied?

A: The judge found “extensive ties” between Musk and those negotiating the deal. Translation: he stacked the deck.


Q: Didn’t Tesla shareholders vote to approve the pay deal?

A: Twice, actually. Musk even said, “Hot damn, I love you guys,” but apparently, the judge didn’t share the enthusiasm.


Q: What’s the judge’s issue with the shareholder votes?

A: She called the second vote invalid due to "creative but fatally flawed" arguments and misleading statements.


Q: What were those misleading statements?

A: Tesla told shareholders the second vote would "fix" the judge’s first ruling. Spoiler: it didn’t.


Q: How did the judge summarize her stance?

A: “[A] stockholder vote alone cannot ratify a conflicted-controller transaction.” In other words, nice try.


Q: What does this mean for Musk’s future paycheck?

A: He’ll have to keep fighting in court. Delaware’s Supreme Court might be the next stop on this legal rollercoaster.


Q: What other projects is Musk juggling?

A: SpaceX, X.com (formerly Twitter), The Boring Company, and now a central role in Trump’s "Department of Government Efficiency" (DOGE - yes, really).


Q: How much did the attorneys suing Musk want in fees?

A: Over $5 billion, but the judge said, “Let’s dial it back” and awarded $345 million instead.


Q: What’s the big takeaway from this case?

A: Even when you’re a billionaire with rockets and robots, you can’t always bend corporate law to your will.


Q: Final thoughts?

A: Elon Musk might want to add “master negotiator” to his next to-do list - after all, third time’s the charm, right?

December 3, 2024

Facebook Button
Twitter (X) Button
LinkedIn Button
Commentaires

Share Your ThoughtsBe the first to write a comment.
bottom of page