“Legal Battle Erupts: Lawyers Seek $6 Billion from Tesla Amid Musk Pay Package Dispute”

Elon Musk’s lawyers seek $6 billion fee in payout battle, he calls it ‘criminal’ – India Today

Lawyers who successfully challenged Elon Musk’s $56 billion pay package from Tesla are now requesting approximately 11% of Tesla’s shares, valued at nearly $6 billion, as attorney fees. They argue that Musk doesn’t deserve such a hefty compensation package, and part of it should go to them. Chancellor Kathleen McCormick of the Delaware Chancery Court is tasked with determining the allocation of the compensation. Musk has expressed dissatisfaction with the lawyers’ demand, branding it as “criminal.” The legal battle stemmed from a lawsuit by Richard Tornetta, a Tesla shareholder, who contended that Musk leveraged his connections with the board to secure the pay package, breaching fiduciary duties. McCormick sided with Tornetta, an outcome that displeased Musk. Tornetta’s legal team, including lead attorney Greg Varallo, acknowledges the unprecedented nature of their fee request but justifies it by citing the significant benefit their litigation provided to Tesla.

Hash Tags: #Tesla #ElonMusk #LegalBattle #AttorneyFees #CompensationPackage

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