• Judge strikes down Elon Musk;s massive, multi-billion-dollar pay packag

    From JAB@21:1/5 to All on Wed Jan 31 12:38:03 2024
    Judge strikes down Elon Musk;s massive, multi-billion-dollar pay
    package

    A Delaware state court judge has thrown out the 2018 pay package that
    helped to make Tesla CEO Elon Musk one of the richest people in the
    world.

    Delaware Chancery Court Chancellor Kathaleen McCormick, who oversaw
    the bench trial that concluded in November 2022, ruled Tuesday that
    Musk and the Tesla board "bore the burden of proving that the
    compensation plan was fair, and they failed to meet their burden."

    The 303 million split-adjusted stock options that Musk had received as
    part of the package are worth $51 billion today, when calculated using Tuesday's closing price, less the modest exercise price of $23.34 a
    share.

    https://www.cnn.com/2024/01/30/investing/elon-musk-pay-package-thrown-out/index.html

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  • From JAB@21:1/5 to All on Sat Feb 3 11:52:09 2024
    Billionaires Hate Him: How One Thrash Metal Drummer Cost Elon Musk $56
    Billion

    Failing upwards poster boy, disgusting hoarder of wealth, and
    Tesla/Space X/Twitter CEO Elon Musk is dealing with a legal loss
    that's gonna cost him $56 billion and it's all thanks to former Dawn
    of Correction drummer Richard Tornetta.

    We reported on this case back in November 2022, but the basic gist is
    that Musk received a massive $56 billion pay package from Tesla. At
    the time it was granted to Musk for alleged performance goals he met.
    Tornetta, however, contested that in court. His claim was that the
    board was not acting in good faith, but rather as a rubber stamp for
    whatever Musk wanted. As a result, Tornetta complained that their
    granting his huge pay bonus was a failure of their fiduciary
    responsibilities to shareholders. And with just nine shares in the
    company, that made the musician one of those shareholders.

    Since Tesla was incorporated in Delaware, the case was filed in
    Delaware Supreme Court. Earlier this week, Chancery Court Chancellor
    Kathaleen McCormick ruled in favor of Tornetta. According to CNBC, the
    court decided that Musk had "extensive ties" within the board that
    heavily influenced its decision in granting that huge compensation
    package. McCormick laid it all out in her decision.
    ...
    ...
    In response to the ruling, Musk urged other hyper rich CEOs to "never incorporate your company in the state of Delaware." He also suggested
    that he would move the company's incorporation to Texas, which is
    where Tesla is headquartered.

    Tornetta's lawyer, Greg Varallo, said in a statement that his client
    was happy with the court's ruling.

    https://www.metalsucks.net/2024/02/02/billionaires-hate-him-how-one-thrash-metal-drummer-cost-elon-musk-56-billion/

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