The relationship between Twitter and Elon Musk has ceased to be friendly, and, apparently, now the parties are preparing for a legal confrontation in court.
Recall that in April 2022 it became known that Elon Musk intends to buy Twitter for $44 billion . Later, he tried to reduce the amount of the transaction , citing this decision as an underestimate of the number of spam accounts on the platform. The parties were unable to reach an agreement. In June, Musk threatened to pull out of buying Twitter because of a “violation” of the agreement, and last Friday he announced that he was canceling the deal to buy the social network.
In response, Twitter chairman Bret Taylor tweeted that the company would take legal action to close the deal as agreed. And to demonstrate its seriousness, Twitter has hired the law firm Wachtell, Lipton, Rosen & Katz and its founding partner Martin Lipton. The latter is credited with inventing a plan to protect shareholder rights from a hostile takeover known as the “poison pill”. It was a defense method that Twitter originally wanted to use to prevent Musk from buying the company. Thus, at first Twitter management wanted to avoid a buyout of the company, and now they are striving for it. Musk commented on the situation with the purchase of the company and the disclosure of information about the number of bots on the social network in another post on Twitter.
pic.twitter.com/JcLMee61wj
— Elon Musk (@elonmusk) July 11, 2022
Twitter has hired two key lawyers for its team. One of them, William Savitt, has previously represented companies such as Anthem and Sotheby’s in Delaware court against activist investors. The other, Leo Strain, is a former chancellor of the Delaware Court of Chancery with 20 years of experience as a state court judge. Before joining the law firm in 2020, he was Chief Justice of the State Supreme Court.
In turn, Musk hired Quinn Emanuel Urquhart & Sullivan, which was defending Samsung against Apple’s patent lawsuit. At the time, the Cupertino-based company claimed that the Galaxy devices were just imitations of the iPhone. Also, this company has previously defended Musk’s interests in various cases.
Source: The Verge
