Yup, I really don’t see how twitter and Musk are going to dodge massive lawsuits. He’s going to be sued by the FTC at the very least.
Kind of disappointed in myself for still laughing at impersonators on Twitter but it is what it is
If the Russian bots had been this good in 2016 I would have voted Trump myself.
If you want to read a full transcript.
https://twitter.com/sambowne/status/1590955314186420225?s=20&t=LS-uk-U2P7R7jXQvwE8tGg
https://twitter.com/ashleyfeinberg/status/1590890079849164800
Elon, stop commiserating with the guy who’s living in his mom’s basement
https://mobile.twitter.com/DarthPutinKGB/status/1591010267772633088
https://mobile.twitter.com/DarthPutinKGB/status/1591010557250850818
Really testing the limits of the “fuck you” legal strategy.
is he though? I thought that he restructured the financing before closing so that less of his other assets are exposed (this is why he brought in all the other hanger-on investors). Would be insanely epic if he actually lost control of Tesla in a forced sale to cover interest payments etc tho.
Yeah, that seems incredibly far-fetched. He might lose a bunch of money, but he’s not going to be personally liable for debt payments, employee salaries, etc. He won’t lose more than what he’s invested (and I don’t know if we even know the final amount) unless he chooses to sink more money into this dumpster fire. Which only a completely lunatic would do. So maybe?
As I understand it, it’s extraordinarily hard for shareholders/lenders to successfully sue company officials for being terrible at their jobs. The business judgment rule requires a showing of gross negligence or fraud or something like that, and my anecdotal non-lawyer reading of these kinds of cases is that courts are extremely reluctant to come to that conclusion.
Musk buying the debt at .60 would be a pretty awesome and very funny outcome here.
Yeah my dated recollection is you have to show self dealing / conflict of interest, which potentially negates the BJR by converting the claim from duty of care to duty of loyalty. Whether Musk is self-dealing, who knows, but now that it’s a private company I’m not sure it matters (don’t think you can do a derivative suit?).
Pretty sure you can still sue a private company for fraud (a securities class action against public companies are just basically fraud claims) and file derivative lawsuits against them.