Elon Musk Settles Lawsuit with Former Twitter Executives for Undisclosed Sum
San Francisco – Elon Musk has reached a provisional settlement with four former Twitter executives who were seeking $128 million in damages, according to a court filing. The executives alleged they were wrongfully dismissed following Musk’s acquisition of the social media platform, now known as X, in 2022.
The lawsuit,filed in March 2024 in federal court in san Francisco,claimed Musk rushed the Twitter takeover to avoid paying approximately $200 million in stock options that were due to vest the day after the deal closed. The four former executives accused Musk of fabricating grievances to justify their termination.
The terms of the agreement are confidential, but the judge’s document states the settlement is contingent upon certain conditions being met. If those conditions aren’t fulfilled, the case will be revisited on October 31st.
This settlement arrives amidst a wave of legal challenges filed by former employees, clients, and subcontractors of X following Musk’s tumultuous acquisition, which included the layoff of roughly two-thirds of Twitter’s workforce. In March, Musk transferred ownership of X to his artificial intelligence company, xAI.
