July 29, 2022
Musk, Twitter get Oct. 17 trial in buyout fight
Twitter's lawsuit to force Elon Musk to complete his $44 billion buyout bid is set to go to trial on October 17, a US judge has ordered, in a case with major stakes for both sides.
The trial is due to open in a court in the eastern state of Delaware and is set to last five days to decide whether Musk can walk away from the deal.
The Tesla boss wooed Twitter's board with a $54.20 per-share offer, but then in July announced he was "terminating" their agreement on accusations the firm misled him regarding its tally of fake and spam accounts.
Twitter has countered by saying Musk already agreed to the deal and can't back out now.
An order from the judge handling the case, Kathaleen McCormick, lays out an expedited schedule to resolve a fight that has left Twitter in limbo.
She reminds both sides that they "shall cooperate in good faith" on matters like handing over information to each other, a key topic that can result in delays.
Billions of dollars are at stake, but so is the future of Twitter, which Musk has said should allow any legal speech—an absolutist position that has sparked fears the network could be used to incite violence.
Twitter blamed disappointing results last week on "headwinds," including the uncertainty imposed on the company by Musk's chaotic buyout bid.
© 2022 AFP