20 July 2026
Twitter Hits Back at Musk For Dumping $44 Billion Deal
According to reports, the social media giant Twitter has filed a lawsuit against SpaceX and Tesla CEO Elon Musk, seeking to force the billionaire to close the acquisition deal as agreed by both parties.
The court document states that the complaint filed in the Delaware Court of the Chancery on Tuesday (July 12, 2022) alleges that Musk violated the terms of a merger agreement signed by both Twitter and the Tesla CEO.
According to the complaint, Musk “repeatedly disparaged Twitter and the deal” since signing the merger agreement.
The latest complaint was filed shortly after Musk terminated the deal to purchase the social media company for $44 billion, after an initial suspension. Elon Musk gave the reason behind the termination as he was refused to provide information relating to spam bots.
Although, the lawsuit stated that Musk’s claims were a “pretext” and without merit.
Court document states, “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.”
In April, Elon Musk bought a 9.2% stake in Twitter, followed by the billionaire’s appointment to the company’s board of directors.
Later, he offered to buy Twitter for $44 billion, which the company accepted. After sometime, Twitter accused Musk of acting against the deal since the markets started declining.
The lawsuit claimed rather than bear the cost of the market downturn, as the merger agreement requires, Musk wants to shift it to Twitter’s stakeholders.”
Disclaimer: The author’s thoughts and comments are solely for educational reasons and informative purposes only. They do not represent financial, investment, or other advice.
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