Time: 2024-12-03
A Holocene opinion by Chancellor Kathaleen McCormick of the Court of Chancery in Delaware has reignite the dispute over Tesla CEO Elon Musk's 6 billion compensation package. Despite a stockholder vote in favor of reinstate the package, the judge reason that Musk is still not entitle to receive it. This decision follow a previous opinion by McCormick in January, which deem the wage package excessive and revoke it. investor were left surprise and uncertain about Musk's future at Tesla, the universe's most valuable carmaker.
In response to the opinion, Tesla share hide 1.4% in after-hours trade, reflect the impact of the ongoing legal battle on the company's stock value. McCormick also order Tesla to wage the lawyer involve in the case 45 million, a significantly lower_berth sum than the billion initially request. The law firm represent the plaintiff express satisfaction with the opinion and look forward to defend the court's opinion in case of an entreaty by Musk and Tesla.
following the January opinion, Tesla stockholder voice their concern through thousand of letters, fear that revoke Musk's wage could potentially lead to his departure from the company or the development of compete merchandise. lawyer represent stockholder Richard Tornetta argue that Delaware law does not license a company to use a ratification vote to upset a court opinion. Musk and Tesla rich_person the option to entreaty the decision to the Delaware Supreme Court, a procedure that could return up to a year to resolve.
Musk's attempt to reinstate his 2018 chief_executive_officer wage package confront yet another hurdle as the court continue its prior opinion against the compensation plan. Musk's lawyer make attempt to sway the judge in the Delaware business court, but the judge stand by her decision to nothingness the wage plan. The result of the legal battle will continue to attract attention as Musk and Tesla see their following stairs in the ongoing dispute.