The founder and CEO of Tesla, Elon Muskhas filed a confidential counterclaim against Twitter after the company sued him for rescinding the platform purchase agreement worth 43 million euros in early July, as reported by ‘The Wall Street Journal’.
We recommend you: Legal battle between Twitter and Elon Musk will start on October 17
The tycoon’s counterclaim will serve to point out that Twitter did not respond when asked about the number of fake accounts that existed on the social network and what was the social network’s way of locating and eliminating them, according to Musk’s legal team.
Likewise, the aforementioned newspaper has collected that it is “likely” that the founder of Tesla affirms that the company changed the number of monetizable daily active users before the agreement between both parties was finalized, which would have changed the purchase price of the network Social.
Musk’s legal team has previously claimed that Twitter violated its agreement for various reasons, including that the company had fired two executives and thus breached the agreement.
On the other hand, the trial for Twitter’s lawsuit against the tycoon will be held on June 17 and will last five days, as reported by a Delaware judge and the US network CNN has learned.
Judge Jude McCormick, who supervises the case, has given the order to hold the trial in mid-October ten days after anticipating that the process would take place in that month, although without specifying the day.
Holding the trial in October, McCormick has agreed with the company, which had asked to “expedite” the trial, although it will not take place in September as Twitter’s legal team had initially defended, alleging that the agreement to buy the company had to be before October 24.
On July 9, the tycoon transferred to Twitter that he was renouncing the social network’s purchase contract after receiving no response from the company when requesting information on the number of false accounts found on the platform, as well as the company’s way of auditing and suspending them.
Days later, Twitter filed a lawsuit against the billionaire in a Delaware state court to force him to commit to his offer to buy the company after breaking the agreement between the parties.
“Musk apparently believes that he, unlike any other party subject to Delaware contract law, is free to change his mind, wreck the company, disrupt its operations, destroy shareholder value,” the company said, as picked up by the NBC News network.
In mid-May, the tycoon had decided to temporarily suspend the purchase of Twitter, agreed at the end of last April for about 44,000 million dollars, pending details that would support the company’s calculation that false accounts represent less five percent of users.
Subsequently, through a letter sent in early June by Musk’s lawyers to the United States Securities Market Commission (SEC), the billionaire’s legal team considered Twitter’s position a “substantial breach” of its obligations under the merger agreement, so they warned of
that Elon Musk “reserves all resulting rights, including his right not to consummate the transaction and his right to terminate the merger agreement.”
With information from Europe Press.