has hired a heavy-hitting Delaware-based law firm to sue for backing out of his $44billion deal to buy the company.
<p class="mol-para-with-fo Chancery Court where the lawsuit would be heard.
Delaware’s chancery courts deal with non-jury proceedings overseen by judges known as chancellors.
They often tackle business wrangles, with many top US firms – including Twitter – basing their corporate headquarters there, even when their main offices lie elsewhere.
Chancery courts can’t order punitive damages to be paid, and generally hear cases more quickly than criminal trials, with the Twitter debacle likely to be wrapped-up within a few months.
Musk has hired Emanual Urquhart & Sullivan LLP., the firm which defended him in a 2019 defamation case, and is currently representing him in lawsuit related to his failed attempt to bring Tesla public in 2018.
Musk announced his plans to walk away from the deal on Friday afternoon, alleging the company misrepresented its user data during negotiations.
Musk announced his plans to walk away from the deal on Friday afternoon, alleging the company misrepresented its user data during negotiations
The hiring of Wachtell gives the company access to lawyers Leo Strine (above) and Bill Savitt, who previously served as Chancellors of the Delaware Chancery Court where the lawsuit would be heard
The Tesla CEO – whose $233 billion fortune makes him the world’s richest man – has avoided discussing the collapsed deal, only repeating his allegations of fake account issues on the social media platform, as he addressed an audience of moguls on Saturday, one person who attended the conference told Reuters.
The billionaire entrepreneur and CEO of Tesla and SpaceX took the stage at the Allen & Co Sun Valley Conference, an annual gathering of media and technology executives in Idaho, less than 24-hours after he announced he was terminating the Twitter deal.
Musk’s arrival at the conference, known as the ‘billionaires’ summer camp,’ delivered a jolt to the off-record event this week, where the headline-making typically happens beyond the prying eyes of the media.
The interview was conducted by Sam Altman, CEO of OpenAI, an artificial intelligence research company, funded by Musk and several others, as the world’s richest man discussed the possibility of life on Mars in the future, but stayed silent about Twitter.
‘It just seems like an absolute mess,’ said one senior media executive, who spoke on condition of anonymity ahead of the interview.‘The guy makes his own rules … I’d hate to be Twitter, where you have to take this guy seriously.’
Elon Musk (pictured) is reportedly avoiding discussing the termination of his $44 billion Twitter takeover at the Sun Valley tech mogul conference
Also attending the annual Allen & Co Sun Valley Conference, in Idaho, is Twitter CEO Parag Agrawal (left), who arrived on Wednesday with his wife, Vineeta
Twitter CFO Ned Segal (right) is among the attendees.Twitter’s deal with Musk was expected to be the dramatic highlight of the tech-heavy event
Sun Valley is typically covered like an athleisure version of the Met Gala, with photographers capturing the arrivals of fleece-vested media moguls and reporters making note of power-lunches at the Konditorei cafe on the property.
This year, the five-day, invite-only conference, sportsbook software running from July 6 to 10, is being held at the edge of Idaho’s Sawtooth National Forest in a tiny town of just 1,500 people.
One Hollywood power-broker on Friday expressed hope that the Musk interview would enliven the conference’s staid, cerebral atmosphere this year.
Following Musk’s announcement, one chief executive noted the elephant in the room – Saturday’s remarks might well be uncomfortable to two conference attendees: Twitter CEO Parag Agrawal and Chief Financial Officer Ned Segal.
One of Musk’s last public messages to Agrawal came in the form of a tweet of a poop emoji in response to the Twitter CEO’s defense of how the company accounts for spam bots.
It is not clear if Musk has met Agrawal or Segal at the Idaho event.
Musk’s attorneys had delivered an eight-page letter to Twitter, saying he planned to call off the deal to acquire the social network.
The document, filed with the Securities and Exchange Commission, alleged Twitter failed to respond to repeated requests for information over the past two months, or obtain his consent before taking actions that would impact its business – such as firing two key executives.
Experts speculated the move may have been a bid to drive the price down. Musk initially offered $54.20 per share in April, but the price was down to $36.81 on Friday night.
Bret Taylor, Twitter’s chairman, tweeted on Friday the board was ‘committed to closing the transaction’ under the current terms of the deal and they were ‘confident’ they would win.
Musk was the key guest at the Sun Valley Conference, known as the ‘billionaires’ summer camp,’ whose guest this weekend included Bill Gates (pictured)
Also in attendance were CNN News anchors Van Jones (left) and Anderson Cooper
Twitter’s stock fell to $36.81 a share on Friday, a dramatic drop from when Musk had agreed to buy the company at $54.20 per share in April