Elon Musk Wins Dismissal of Shareholder Lawsuit Over 2018 “Funding Secured” Tweets

Elon Musk has been found not guilty of claims by Tesla Inc. investors that he defrauded them when he tweeted 4 1/2 years ago that he was considering taking the company private and had “funding secured” to make the deal happen. The verdict in San Francisco federal court rejects allegations that the electric-car maker’s CEO violated securities laws and should pay billions of dollars in damages. This is a major vindication for Musk and proves that the billionaire is difficult to beat in court.

The outcome of the trial is a bitter loss for the shareholders who sought to recoup trading losses from fluctuations in Tesla shares after Musk posted the messages. Musk’s victory after about two hours of jury deliberations will be cause for celebration for his fans on Twitter who support his vows to champion free speech on the social media platform.

The verdict is unlikely to become a precedent that spurs more free-wheeling corporate disclosures on social media, as other CEOs will continue to use conventional methods to communicate about company business. This is because Musk is unique in that he posts whatever comes into his head about business, politics and culture on social media.

The trial was all about Musk, its star witness. During testimony, Musk said that the “funding secured” tweet was “absolutely truthful” and touted what he described as an “unequivocal” commitment by Saudi Arabia even though he had nothing in writing. He also said that he felt compelled to reveal that he was considering taking Tesla private because earlier that day, the Financial Times reported that Saudi Arabia was building a sizable stake in Tesla.

The jury learned of Musk’s relationship with Yasir Al-Rumayyan, the governor of Saudi Arabia’s Public Investment Fund, and a 2017 dinner with him joined by Softbank CEO Masayoshi Son, where taking Tesla private was discussed. Musk’s defense asked jurors to imagine a world through the entrepreneur’s eyes, in which a $60 billion deal to take Tesla private could be done on a handshake.

In the end, the billionaire prevailed despite evidence showing that Musk’s bankers had been barely consulted and hadn’t formally signed on to his take-private plan. Investment banking witnesses, including senior Goldman Sachs executive Dan Dees and Silver Lake Management’s co-CEO, Egon Durban, told jurors that even a week after the tweet, they were still working to figure out how the deal would be structured, including who would pay for it.

Musk is no stranger to courtroom battles and he’s been nicknamed “Teflon Elon” for his ability to escape unscathed. He has taken the stand and prevailed in trials in 2019 in Los Angeles and in 2021 in Delaware. He also testified in November in a Delaware investor case over his $55 billion Tesla pay package — but that one hasn’t been decided yet.

The verdict in the case of Tesla Inc. investors vs. Elon Musk is a major victory for the billionaire and a vindication of his ability to beat difficult cases in court. The outcome of the trial is a bitter loss for the shareholders who sought to recoup trading losses from fluctuations in Tesla shares after Musk posted the messages. Musk’s victory after about two hours of jury deliberations will be cause for celebration for his fans on Twitter who support his vows to champion free speech on the social media platform.

Though many executives testified, the three-week trial was all about Musk, its star witness. During testimony, Musk said that the “funding secured” tweet was “absolutely truthful” and touted what he described as an “unequivocal” commitment by Saudi Arabia even though he had nothing in writing. He also said that he felt compelled to reveal that he was considering taking Tesla private because earlier that day, the Financial Times reported that Saudi Arabia was building a sizable stake in Tesla.

The jury learned of Musk’s relationship with Yasir Al-Rumayyan, the governor of Saudi Arabia’s Public Investment Fund, and a 2017 dinner with him joined by Softbank CEO Masayoshi Son, where taking Tesla private was discussed. Musk’s defense asked jurors to imagine a world through the entrepreneur’s eyes, in which a $60 billion deal to take Tesla private could be done on a handshake.

In the end, the billionaire prevailed despite evidence showing that Musk’s bankers had been barely consulted and hadn’t formally signed on to his take-private plan. Investment banking witnesses, including senior Goldman Sachs executive Dan Dees and Silver Lake Management’s co-CEO, Egon Durban, told jurors that even a week after the tweet, they were still working to figure out how the deal would be structured, including who would pay for it.

Musk has a long and controversial record of tweeting whatever comes into his head about business, politics and culture. He is no stranger to courtroom battles and he’s been nicknamed “Teflon Elon” for his ability to escape unscathed. He has taken the stand and prevailed in trials in 2019 in Los Angeles and in 2021 in Delaware. He also testified in November in a Delaware investor case over his $55 billion Tesla pay package — but that one hasn’t been decided yet.

The verdict in the case of Tesla Inc. investors vs. Elon Musk is a major victory for the billionaire and a vindication of his ability to beat difficult cases in court. It is unlikely to become a precedent that spurs more free-wheeling corporate disclosures on social media, as other CEOs will continue to use conventional methods to communicate about company business. This is because Musk is unique in that he posts whatever comes into his head about business, politics and culture on social media.

The outcome of the trial is a reminder that Musk is difficult to beat in court, and that he will continue to post whatever comes into his head about business, politics and culture on social media. Though other CEOs will continue to use conventional methods to communicate about company business, Musk’s victory will be cause for celebration for his fans on Twitter who support his vows to champion free speech on the social media platform.

It is clear that Musk has a long-standing reputation of being able to beat difficult cases in court. His ability to escape unscathed has earned him the nickname “Teflon Elon”. He has taken the stand and prevailed in trials in 2019 in Los Angeles and in 2021 in Delaware. He also testified in November in a Delaware investor case over his $55 billion Tesla pay package — but that one hasn’t been decided yet.

The verdict in the case of Tesla Inc. investors vs. Elon Musk is a major victory for the billionaire and a vindication of his ability to beat difficult cases in court. It is unlikely to become a precedent that spurs more free-wheeling corporate disclosures on social media, as other CEOs will continue to use conventional methods to communicate about company business. However, Musk’s victory will be cause for celebration for his fans on Twitter who support his vows to champion free speech on the social media platform.

The trial was all about Musk, its star witness. The jury learned of his relationship with Yasir Al-Rumayyan, the governor of Saudi Arabia’s Public Investment Fund, and a 2017 dinner with him joined by Softbank CEO Masayoshi Son, where taking Tesla private was discussed. Musk testified that the “funding secured” tweet was “absolutely truthful” and touted what he described as an “unequivocal” commitment by Saudi Arabia even though he had nothing in writing.

Musk’s defense asked jurors to imagine a world through the entrepreneur’s eyes, in which a $60 billion deal to take Tesla private could be done on a handshake. Investment banking witnesses, including senior Goldman Sachs executive Dan Dees and Silver Lake Management’s co-CEO, Egon Durban, told jurors that even a week after the tweet, they were still working to figure out how the deal would be structured, including who would pay for it.

In the end, the billionaire prevailed despite evidence showing that Musk’s bankers had been barely consulted and hadn’t formally signed on to his take-private plan. The outcome of the trial is a reminder that Musk is difficult to beat in court, and that he will continue to post whatever comes into his head about business, politics and culture on social media. Though other CEOs will continue to use conventional methods to communicate about company business, Musk’s victory will be cause for celebration for his fans on Twitter who support his vows to champion free speech on the social media platform.

The verdict in the case of Tesla Inc. investors vs. Elon Musk is a major victory for the billionaire and a vindication of his ability to beat difficult cases in court. It is a reminder that Musk is a difficult person to beat in court, and that he will continue to post whatever comes into his head about business, politics and culture on social media. His victory will be cause for celebration for his fans on Twitter who support his vows to champion free speech on the social media platform.

The trial was all about Musk, its star witness, and his testimony was key to his success. He testified that the “funding secured” tweet was “absolutely truthful” and touted what he described as an “unequivocal” commitment by Saudi Arabia even though he had nothing in writing. He also said that he felt compelled to reveal that he was considering taking Tesla private because earlier that day, the Financial Times reported that Saudi Arabia was building a sizable stake in Tesla.

The jury learned of Musk’s relationship with Yasir Al-Rumayyan, the governor of Saudi Arabia’s Public Investment Fund, and a 2017 dinner with him joined by Softbank CEO Masayoshi Son,

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