Tesla Defends Musk’s $56B Pay Plan In Delaware Supreme Court Battle

Benzinga

Tesla urged Delaware’s Supreme Court to reinstate Elon Musk’s $56B pay package after a 2024 ruling voided it. The case could redefine Delaware corporate law as firms flee to Texas and Nevada amid “Dexit.”

Transcript

00:00It's Benzinga bringing Wall Street to Main Street.

00:02Tesla argued before the Delaware Supreme Court that Elon Musk's $56 million pay package

00:06should be reinstated, according to Reuters. Case filed in January 2024 ruling by Chancellor

00:11Kathleen McCormick that struck down the 2018 plan, citing a lack of board independence and

00:16incomplete shareholder information. Tesla's attorney said reaffirming the 2024 ratification

00:21vote would resolve the case, while opposing counsel warned it would make lawsuits never-ending.

00:25The outcome could reshape Delaware's corporate law landscape, which has faced backlash since

00:30the rule of triggering a dexit of companies reincorporating in Texas and Nevada.

00:35Musk loses the appeal. Tesla's backup $25 billion compensation plan would take effect.

00:40For all things money, visit Benzinga.com.

Category

Transcript

Be the first to comment

Recommended